We do expect revenue and profit growth at the aircraft part maker will moderate, however.
We're encouraged by the recent evolution in passenger revenue per available seat mile, but we still see headwinds on the horizon for 2017.
Even with faltering demand for large wide-body jets, we still see investment opportunity in firms exposed to the strength of the narrow-body market.
Larger wide-body jets remain a concern for the likes of Boeing and Airbus, but narrow bodies look more secure.
Although the airline has a few upsides specific to its business, we expect 2017 to be a tougher year.
We believe volatility will persist over the next several months with three wide-moat Mexican airports that we cover.
We expect defense names to move upward over the short- to mid-term and outperform the market.
Transdigm's competitive advantages stem from intellectual property and high switching costs on its products.