The Rolls-Royce (LSE: RR.) share price continues to make headlines after its best six-month performance in years, thanks to engine fixes, rising free cash flow and upgraded guidance. But with the stock now flirting with £12, the valuation looks ambitious, and execution will need to follow.

Over the past two years, the shares have surged around 440%, turning the aerospace and defence giant into one of the FTSE 100’s biggest comeback stories. Its market-cap now sits near £95bn — a staggering recovery for a business that just a few years ago was fighting for survival.

Yet, after hitting record highs in late September, the price has begun to cool.

The turnaround under CEO Tufan…