SCHEDULE 13G/A: Royce & Associates LP Discloses 4.97% Passive Stake in CPI Aerostructures, Inc.

Investment adviser Royce & Associates LP has filed an amended Schedule 13G, reporting a passive beneficial ownership of 4.97% of CPI Aerostructures, Inc.'s common stock as of March 31, 2025.

Summary

• Royce & Associates LP, an investment adviser, filed Amendment No. 18 to Schedule 13G concerning its holdings in CPI Aerostructures, Inc.
• The filing reports beneficial ownership of 646,469 shares of CPI Aerostructures, Inc. common stock.
• This ownership represents 4.97% of the total class of securities.
• Royce & Associates LP holds sole voting power and sole dispositive power over all 646,469 shares.
• The securities were acquired and are held in the ordinary course of business, without the purpose or effect of changing or influencing the control of the issuer.
• Royce & Associates LP is an indirect majority-owned subsidiary of Franklin Resources, Inc., but exercises its voting and investment powers independently.
• The firm explicitly disclaims any pecuniary interest in the reported securities and states it does not constitute a 'group' with Franklin Resources, Inc. affiliates or Principal Shareholders.

Sentiment

Score: 6

Explanation: The document is a neutral, factual disclosure of a passive ownership stake. The continued investment by a notable firm can be seen as a positive signal, while there are no explicit negatives or risks related to the issuer within the filing itself.

Positives

• The filing indicates a continued, significant, and passive investment by a reputable investment adviser, Royce & Associates LP, in CPI Aerostructures, Inc.
• The stated purpose of holding the securities in the ordinary course of business suggests a long-term, non-activist investment approach.

Future Outlook

This Schedule 13G filing is a disclosure of passive ownership and does not contain any forward-looking statements or guidance regarding CPI Aerostructures, Inc.'s future performance or outlook.

Management Comments

• "By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were acquired and are held in the ordinary course of business and were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect." (Certification by Daniel A. O'Byrne, Vice President of Royce & Associates LP)
• "RALP disclaims any pecuniary interest in any of the securities reported in this Schedule 13G."
• "RALP believes that it is not a 'group' with FRI affiliates, the Principal Shareholders, or their respective affiliates within the meaning of Rule 13d 5 under the Act and that none of them is otherwise required to attribute to any other the beneficial ownership of the securities held by such person or by any persons or entities for whom or for which RALP or the FRI affiliates provide investment management services."

Industry Context

This filing represents a routine disclosure of a significant passive ownership stake by an investment adviser in a company operating within the aerospace and defense sector. It reflects an investment decision by Royce & Associates LP, a firm known for its focus on small-cap value investing, indicating their continued interest in CPI Aerostructures within this industry.

Stakeholder Impact

• Shareholders: Provides transparency regarding a significant institutional investor's stake, potentially offering some confidence or insight into institutional interest in the company.

Next Steps

• Royce & Associates LP will continue to file amendments to Schedule 13G if their beneficial ownership percentage changes significantly or if their investment intent shifts from passive to active.

Key Dates

Keywords

CPI Aerostructures, Royce & Associates, Schedule 13G, Beneficial Ownership, Investment Adviser, SEC Filing, Common Stock, Passive Investment, Shareholding Disclosure