As the Q3 earnings season wraps, let’s dig into this quarter’s best and worst performers in the defense contractors industry, including BWX (NYSE:BWXT) and its peers.
The stocks in this article have caught Wall Street’s attention in a big way, with price targets implying returns above 20%.
But investors should take these forecasts with a grain of salt because analysts typically say nice things about companies so their firms can win business in other product lines like M&A advisory.
A number of stocks fell in the afternoon session after the broader U.S. stock market declined amid investor caution and a pullback in technology stocks.
Market swings can be tough to stomach, and volatile stocks often experience exaggerated moves in both directions.
While many thrive during risk-on environments, many also struggle to maintain investor confidence when the ride gets bumpy.
BWX's third quarter was marked by robust revenue growth and exceeded Wall Street’s expectations, yet the market reacted negatively as investors weighed the company’s lower operating margin and cautious guidance. Management pointed to significant contributions from both government and commercial operations, highlighting strong execution in new national security contracts and rapid growth in the commercial nuclear and medical isotope businesses. CFO Michael Fitzgerald noted, “Seasonality in large material procurements shifted some revenue forward, resulting in a larger than expected beat this quarter, but also implies a weaker fourth quarter.”
Shares of aerospace and defense company BWX (NYSE:BWXT)
fell 5.1% in the morning session after the company reported third-quarter earnings that beat expectations, but investors focused on valuation concerns and a slight miss in future revenue guidance.
Aerospace and defense company BWX (NYSE:BWXT) reported revenue ahead of Wall Streets expectations in Q3 CY2025, with sales up 28.9% year on year to $866.3 million. On the other hand, the company’s full-year revenue guidance of $3.1 billion at the midpoint came in 0.5% below analysts’ estimates. Its non-GAAP profit of $1 per share was 16.5% above analysts’ consensus estimates.
Risk appetite cooled on Tuesday as investors interpreted the latest batch of corporate earnings as solid but not spectacular, offering a convenient excuse to take profits after strong year-to-date rallies.
Aerospace and defense company BWX (NYSE:BWXT) reported revenue ahead of Wall Streets expectations in Q3 CY2025, with sales up 28.9% year on year to $866.3 million. On the other hand, the company’s full-year revenue guidance of $3.1 billion at the midpoint came in 0.5% below analysts’ estimates. Its non-GAAP profit of $1 per share was 16.5% above analysts’ consensus estimates.
