BAE Systems plc ADR (BAESY) AI Stock Analysis

• Market Cap: $70.70B
• Dividend Yield: 1.72%
• Average Volume (3M): 18.12K
• Price to Earnings (P/E): 29.3
• Beta (1Y): 0.41
• Revenue Growth: 17.21%
• EPS Growth: 9.04%
• Country: US
• Employees: 107,400
• Sector: Industrials
• Sector Strength: 89
• Industry: Aerospace & Defense
• EPS (TTM): 1.84
• Shares Outstanding: 752,819,600
• 10 Day Avg. Volume: 11,306
• 30 Day Avg. Volume: 18,117
• PEG Ratio: -2.34
• Price to Book (P/B): 2.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.63
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 63 Neutral
• Price Target: $103.00 ▲(6.36%Upside)

BAE Systems scores well due to its strong financial performance, characterized by robust revenue and profit margins. However, technical indicators suggest bearish momentum, and the high P/E ratio indicates a potentially overvalued stock. The absence of recent earnings call insights or corporate events leaves the technical and valuation concerns more prominent.

BAE Systems plc ADR Business Overview & Revenue Model

Company Description

BAE Systems plc ADR (BAESY) is a global defense, aerospace, and security company headquartered in the United Kingdom. The company operates in various sectors including military and commercial aerospace, land warfare systems, naval systems, and cybersecurity. It provides a wide range of products and services such as combat vehicles, munitions, naval ships, submarines, radars, avionics, electronic systems, and cyber intelligence solutions, serving clients in over 40 countries worldwide.

How the Company Makes Money

BAE Systems generates revenue primarily through contracts with governments and commercial clients for its defense, aerospace, and security products and services. The company's key revenue streams include the sale of military hardware such as aircraft, ships, and combat vehicles, as well as the provision of support and maintenance services for these products. Additionally, BAE Systems earns income through its cybersecurity and intelligence services, offering solutions to both government and private sector clients. Significant partnerships and joint ventures, particularly with the United States and United Kingdom governments, contribute to its earnings by securing long-term defense contracts. The company's diverse portfolio and global presence help mitigate risks and ensure a stable revenue flow.

BAE Systems plc ADR Financial Statement Overview

Summary

BAE Systems shows impressive financial health with robust revenue growth, strong profit margins, efficient cost management, and solid cash flow generation. The balance sheet is stable with reasonable leverage and effective capital utilization.

Income Statement

BAE Systems has demonstrated strong revenue growth with a 14.05% increase from 2023 to 2024. The gross profit margin stands at an impressive 65.45%, indicating efficient cost management. The net profit margin is healthy at 7.44%, and both EBIT and EBITDA margins are robust at 10.20% and 15.10% respectively. These metrics suggest strong profitability and operational efficiency.

Balance Sheet

The company's balance sheet shows a reasonable debt-to-equity ratio of 0.87, indicating a balanced leverage profile. The return on equity is solid at 16.84%, showcasing effective capital utilization. The equity ratio is 30.45%, suggesting a stable capital structure with a fair proportion of assets financed by equity.

Cash Flow

Free cash flow has slightly decreased by 1.46% from 2023 to 2024, but remains strong, supporting operational and strategic initiatives. The operating cash flow to net income ratio is 2.01, highlighting strong cash generation relative to earnings. The free cash flow to net income ratio is 1.41, reflecting healthy cash conversion from profits.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.31B	23.08B	21.26B	19.52B	19.28B
Gross Profit	17.23B	15.10B	14.16B	12.56B	12.50B
EBITDA	3.97B	3.45B	3.06B	3.13B	2.58B
Net Income	1.96B	1.86B	1.59B	1.76B	1.30B
Balance Sheet
Total Assets	38.14B	32.06B	31.46B	27.14B	27.53B
Cash, Cash Equivalents and Short-Term Investments	3.38B	4.11B	3.36B	3.11B	2.96B
Total Debt	10.15B	6.48B	6.86B	6.36B	6.68B
Total Liabilities	26.36B	21.34B	20.06B	19.47B	22.61B
Stockholders Equity	11.62B	10.56B	11.21B	7.44B	4.64B
Cash Flow
Free Cash Flow	2.76B	2.80B	2.15B	1.99B	689.00M
Operating Cash Flow	3.92B	3.76B	2.84B	2.45B	1.17B
Investing Cash Flow	-5.27B	-541.00M	-422.00M	66.00M	-2.04B
Financing Cash Flow	695.00M	-2.19B	-2.33B	-2.26B	973.00M

BAE Systems plc ADR Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 96.84
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BAESY, the sentiment is Neutral. The current price of 96.84 is below the 20-day moving average (MA) of 100.74, below the 50-day MA of 101.61, and above the 200-day MA of 78.65, indicating a neutral trend. The MACD of -1.07 indicates Positive momentum. The RSI at 34.79 is Neutral, neither overbought nor oversold. The STOCH value of 1.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BAESY.

BAE Systems plc ADR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LHX	77 Outperform	$50.95B	30.40	8.90%	1.72%	2.93%	43.29%
GD	76 Outperform	$84.22B	21.02	17.91%	1.87%	11.85%	16.12%
HII	71 Outperform	$10.30B	18.92	12.27%	2.07%	-1.04%	-21.80%
NOC	71 Outperform	$81.42B	20.91	26.50%	1.48%	-0.65%	77.20%
LMT	64 Neutral	$98.09B	23.65	73.06%	3.12%	1.09%	-35.50%
BAESY	63 Neutral	$70.70B	29.26	17.85%	1.72%	17.21%	9.04%
Sector *	58 Neutral	HK$15.00B	4.65	-2.78%	5.84%	3.80%	-54.57%