Amaero Ltd (ASX:3DA) is a global specialist in advanced materials manufacturing for the defence, aerospace and other industrial sectors, developing a critical metals alloy powder manufacturing facility in Tennessee, USA. The company has announced that it has received a $4.6m purchase order from Titomic (ASX:TTT) for refractory alloy powders with powder shipments expected across Q3 and Q4 FY26. The order has been received under the previously announced five-year exclusive supplier and development agreement between Titomic and Amaero for refractory and titanium spherical powders. The powder shipments will support Titomic’s development programme with a leading defense prime contractor. Amaero says in conjunction with the exclusive agreement, it will contribute $2.3m toward development expenses for the programme. Titomic announced on 15 December that it had secured an Early Manufacturing Development contract with a leading defense prime contractor to support a new effort for production of next-generation defense articles with the effort leveraging TTT’s proprietary cold-spray additive manufacturing systems to address long-standing production delays and capacity constraints on critical components for defense systems. We view Amaero’s collaboration with Titomic on this programme as a positive opportunity to accelerate and cement its position as a key supplier of refractory and titanium powders to the defense and aerospace sector. This purchase order also will add to Amaero’s FY26 revenue, which will potentially have been affected by the 43-day US Government shutdown in terms of revenue and contracts. Our DCF valuation remains unchanged at $0.82/share fully diluted. This represents potential capital upside of 228% on the current share price. A -/+15% sensitivity analysis gives us a valuation range of $0.34-$1.21/share.