Rolls-Royce shares rise on Philippine Airlines engine deal

Rolls-Royce Holdings shares rose 0.46 percent to GBX 1,490.80 on September 25, 2026, outperforming the FTSE 100. The stock's performance was supported by a deal to supply 18 engines for nine Airbus A350-1000 aircraft ordered by Philippine Airlines. This package, which includes maintenance services, is valued at hundreds of millions of pounds and targets widebody aircraft demand in the Asia-Pacific region.

Analyst Bernstein raised its price target for Rolls-Royce from GBX 1,500 to GBX 1,600 while maintaining a Neutral rating. The company has seen significant long-term growth, with shares increasing 1,035 percent over five years.

Rolls-Royce's growth is driven by three primary divisions: Civil Aerospace, benefiting from a recovery in global flight hours; Defence, supported by increased military spending; and Power Systems, which is seeing high demand for electricity from data centers. Additionally, the company holds potential in the small modular reactor market for low-carbon power.