Premium #224 – Rolls-Royce and the commercial engine market

Rolls-Royce has seen its stock price swing a lot in recent times.  The company is a leading aero-engine maker with a reputation for building fine products.  In the next chart Rolls-Royce shows up as a key player in what is in essence a three horse race.

Rolls looks pretty strong and stable.  It is P&W that has been losing share to the other competitors.  However, as the next chart shows, Rolls-Royce was doing much better (in market share terms) when it was part of the IAE consortium. Selling its stake to P&W meant giving up a lot of business.  Clearly the chart above is going to see big changes as P&W claws back even more share.