Butler National Corporation (BUKS)
OTHER OTC:BUKS
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Butler National
(OTC:BUKS)
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Rating:78Outperform
Price Target:
$4.00
▲(68.07% Upside)
Action:ReiteratedDate:04/11/26
The score is driven primarily by improved financial strength (stronger profitability and a substantially de-levered balance sheet) and an attractive low P/E valuation. Offsetting factors are uneven cash-flow consistency and mixed near-term technicals, with the price below the 20-day average and neutral momentum readings.
Positive Factors
Improved profitability and high ROE
Sustained EBIT and net margins near 20% and a ~28% ROE indicate materially improved underlying earnings power versus prior years. This stronger profitability provides durable cash generation capacity and reinvestment potential, supporting long-term operational resilience and strategic optionality.
Negative Factors
Volatile cash flow and declining FCF
Free cash flow fell ~17% and has shown historical swings including a negative year, indicating working-capital or timing noise. Persistent cash volatility constrains reinvestment, raises funding risk for growth initiatives, and may limit ability to reliably fund dividends or acquisitions long-term.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved profitability and high ROE
Sustained EBIT and net margins near 20% and a ~28% ROE indicate materially improved underlying earnings power versus prior years. This stronger profitability provides durable cash generation capacity and reinvestment potential, supporting long-term operational resilience and strategic optionality.
Read all positive factors
Butler National (BUKS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$229.39M
Dividend YieldN/A
Average Volume (3M)55.66K
Price to Earnings (P/E)7.2
Beta (1Y)0.58
Revenue Growth4.08%
EPS Growth34.29%
CountryUS
Employees343
SectorIndustrials
Sector Strength72
IndustryAerospace & Defense
Share Statistics
EPS (TTM)0.10
Shares Outstanding64,074,940
10 Day Avg. Volume124,207
30 Day Avg. Volume55,657
Financial Highlights & Ratios
PEG Ratio1.45
Price to Book (P/B)1.55
Price to Sales (P/S)1.20
P/FCF Ratio9.96
Enterprise Value/Market Cap1.24
Enterprise Value/Revenue3.10
Enterprise Value/Gross Profit6.08
Enterprise Value/Ebitda8.19
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Butler National Business Overview & Revenue Model
Company Description
Butler National Corporation (BUKS) is a diversified company that operates primarily in the aerospace and gaming sectors. The company is engaged in the manufacturing of aircraft parts and provides maintenance, repair, and overhaul services for vari...
How the Company Makes Money
Butler National generates revenue mainly through two operating areas: (1) Aerospace products and services and (2) Professional services/staffing.
1) Aerospace products and services: The company earns money by providing avionics-related products a...
Butler National Earnings Call Summary
Earnings Call Date:Dec 11, 2025
(Q2-2026)
| % Change Since: |
Next Earnings Date:Jul 10, 2026
Earnings Call Sentiment Positive
The earnings call highlighted significant growth in operating and net income, driven by strong performance in the Aerospace segment and improved operational efficiency. However, the Gaming segment faced challenges due to economic factors, leading to a decline in revenue. Overall, the positive aspects of growth and efficiency improvements outweigh the challenges faced in the Gaming segment.Positive Updates
Record Operating and Net Income Growth
The company reported a 46% increase in operating income and a 67% increase in net income, driven by a 9% increase in revenue.
Negative Updates
Gaming Segment Revenue Decline
Professional Services Gaming segment revenue decreased by 5%, impacted by economic challenges in the local market due to the cattle and agricultural industries.
Read all updates
Q2-2026 Updates
Positive
Negative
Record Operating and Net Income Growth
The company reported a 46% increase in operating income and a 67% increase in net income, driven by a 9% increase in revenue.
Read all positive updates
Company Guidance
During the Butler National Corporation conference call on December 12, 2025, significant financial metrics and strategic guidance were discussed. The company reported a 9% increase in total revenue for the quarter, reaching $23.3 million compared to $21.3 million in the same quarter the previous year. The Aerospace segment saw a substantial 20% revenue increase to $14 million, driven by a $1.2 million rise in aircraft modifications and a $1.1 million increase in special mission electronics. The company's net income rose to $6 million, up from $3.6 million, and included a $1.5 million gain from the sale of a casino administrative building. Earnings per share for the quarter were $0.09, contributing to a $0.15 EPS for the first half of the fiscal year. The operating margin significantly improved to 38% from 21% in the prior fiscal Q2. The company emphasized its strategic focus on aerospace product expansion, with a robust backlog of $46.3 million and ongoing investments in fabrication facilities and new CNC equipment. The gaming segment showed a 5% revenue decrease due to economic challenges, but sports wagering positively contributed. The call also highlighted capital allocation priorities, including reinvestment in operations and stock repurchases. The management shared its commitment to maintaining a strong financial foundation and pursuing growth opportunities responsibly, while also addressing questions about potential uplisting to NASDAQ and strategic priorities for long-term shareholder value creation.Butler National Financial Statement Overview
Summary
Income Statement
83
Very Positive
Balance Sheet
88
Very Positive
Cash Flow
71
Positive
| Breakdown | TTM | Apr 2025 | Apr 2024 | Jul 2023 | Apr 2022 | Apr 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 91.89M | 83.97M | 78.38M | 75.18M | 73.47M | 61.48M |
| Gross Profit | 46.85M | 38.05M | 33.90M | 33.88M | 29.85M | 17.86M |
| EBITDA | 34.77M | 25.64M | 25.27M | 14.55M | 21.41M | 11.76M |
| Net Income | 19.71M | 12.55M | 12.51M | 4.52M | 10.37M | 2.46M |
Balance Sheet | ||||||
| Total Assets | 140.98M | 123.30M | 113.97M | 113.91M | 100.81M | 101.92M |
| Cash, Cash Equivalents and Short-Term Investments | 36.49M | 25.23M | 17.79M | 22.00M | 12.49M | 22.02M |
| Total Debt | 34.81M | 39.18M | 41.51M | 46.88M | 51.58M | 48.65M |
| Total Liabilities | 64.64M | 58.18M | 59.53M | 67.13M | 59.98M | 60.54M |
| Stockholders Equity | 76.34M | 65.11M | 54.44M | 46.78M | 40.83M | 35.36M |
Cash Flow | ||||||
| Free Cash Flow | 16.47M | 10.14M | -1.20M | 14.43M | 1.45M | 6.47M |
| Operating Cash Flow | 23.34M | 18.40M | 7.54M | 20.94M | 11.03M | 13.46M |
| Investing Cash Flow | -5.28M | -5.42M | -1.13M | -5.94M | -9.50M | -6.99M |
| Financing Cash Flow | -12.27M | -5.55M | -10.62M | -5.49M | -11.06M | -1.24M |
Butler National Technical Analysis
Neutral
2.38
Price Trends
3.45
Positive
3.11
Positive
2.49
Positive
Market Momentum
0.03
Positive
46.34
Neutral
45.73
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BUKS, the sentiment is Neutral. The current price of 2.38 is below the 20-day moving average (MA) of 3.80, below the 50-day MA of 3.45, and below the 200-day MA of 2.49, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 46.34 is Neutral, neither overbought nor oversold. The STOCH value of 45.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BUKS.
Butler National Risk Analysis
Butler National disclosed 31 risk factors in its most recent earnings report. Butler National reported the most risks in the "Macro & Political" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Butler National Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $229.39M | 7.19 | 28.47% | ― | 4.08% | 34.29% | |
67 Neutral | $447.48M | 20.64 | 31.11% | ― | 78.60% | 121.71% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
59 Neutral | $2.10B | -41.88 | -5.01% | ― | 3.16% | -213.56% | |
57 Neutral | $240.44M | 22.47 | -35.04% | ― | -11.01% | -279.70% | |
47 Neutral | $940.42M | -5.44 | -225.72% | ― | ― | -33.69% | |
44 Neutral | $239.45M | 1.54 | -174.08% | ― | ― | ― |
* Industrials Sector Average
BUKS
Butler National
3.58
2.11
143.54%
DCO
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139.99
83.59
148.21%
ISSC
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322.32%
POWW
AMMO
2.05
0.72
54.14%
EVTL
Vertical Aerospace
2.34
-1.08
-31.58%
EVEX
Eve Holding
2.70
-0.98
-26.63%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.