Babcock & Wilcox Company (BW) AI Stock Analysis

• Market Cap: $311.38M
• Dividend Yield: N/A
• Average Volume (3M): 2.75M
• Price to Earnings (P/E): ―
• Beta (1Y): 4.39
• Revenue Growth: -33.75%
• EPS Growth: 6.01%
• Country: US
• Employees: 1,900
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): -0.10
• Shares Outstanding: 101,097,540
• 10 Day Avg. Volume: 3,808,148
• 30 Day Avg. Volume: 2,746,708
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.65
• Enterprise Value/Revenue: 0.85
• Enterprise Value/Gross Profit: 3.26
• Enterprise Value/Ebitda: 43.40
• 1Y Price Target: $3.33
• Price Target Upside: 8.12% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 59 Neutral
• Price Target: $3.50 ▲(13.64% Upside)

The overall stock score of 59 reflects the company's strong technical momentum and positive earnings call sentiment, which are offset by significant financial challenges and a weak valuation. The company's strategic restructuring and backlog growth are promising, but financial stability remains a concern.

Babcock & Wilcox Company Business Overview & Revenue Model

Company Description

Babcock & Wilcox Enterprises, Inc., together with its subsidiaries, provides energy and emissions control solutions to a range of industrial, electrical utility, municipal, and other customers worldwide. It operates through three segments: Babcock & Wilcox Renewable; Babcock & Wilcox Environmental; and Babcock & Wilcox Thermal. The Babcock & Wilcox Renewable segment offers technologies for waste-to-energy, solar construction and installation, and biomass energy systems, as well as black liquor systems for the pulp and paper industry. This segment provides technologies support solutions for diverting waste from landfills to use for power generation and replacing fossil fuels while recovering metals and reducing emissions. The Babcock & Wilcox Environmental segment offers a range of emissions control and environmental technology solutions for utility, waste to energy, biomass, carbon black, and industrial steam generation applications. This segment provides systems for cooling, ash handling, particulate control, nitrogen oxides and sulfur dioxides removal, chemical looping for carbon control, and mercury control. The Babcock & Wilcox Thermal segment offers steam generation equipment; aftermarket parts; and construction, maintenance, and field services for plants in the power generation, oil and gas, and industrial sectors. This segment has an installed equipment for utilities and general industrial applications, including refining, petrochemical, food processing, metals, and others. The company was founded in 1867 and is headquartered in Akron, Ohio.

How the Company Makes Money

Babcock & Wilcox generates revenue through several key streams, primarily by delivering engineering, procurement, and construction (EPC) services, as well as selling equipment and technology solutions. The Power segment earns money through contracts for the design and installation of boilers, renewable energy systems, and other power generation technologies, while the Environmental segment focuses on emissions control and waste management solutions. Additionally, BW benefits from long-term service agreements, maintenance contracts, and upgrades for existing systems, which provide a steady income stream. Strategic partnerships with utility companies and government agencies also enhance their market reach and capacity to secure large-scale projects, further contributing to their overall earnings.

Babcock & Wilcox Company Financial Statement Overview

Summary

Babcock & Wilcox Company faces significant financial challenges, with declining revenues, negative profitability margins, and high leverage. Despite positive gross profit margins and cash flow ratios, the overall financial health is concerning, requiring strategic improvements.

Income Statement

Babcock & Wilcox Company has faced declining revenue with a negative growth rate of -12.97% in the TTM period. The company also reports negative net profit margins and EBIT margins, indicating challenges in profitability. However, the gross profit margin remains positive, suggesting some ability to cover production costs.

Balance Sheet

The balance sheet reveals a concerning negative stockholders' equity, leading to a negative debt-to-equity ratio. This indicates high leverage and potential financial instability. The return on equity is positive, but this is due to the negative equity, which is not a favorable sign.

Cash Flow

Cash flow analysis shows negative operating and free cash flows, though there is a slight improvement in free cash flow growth. The ratios of cash flow to net income are above 1, indicating cash flow generation relative to net losses, but overall cash flow remains negative.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	601.38M	717.33M	999.35M	609.44M	710.87M	566.30M
Gross Profit	157.36M	177.03M	224.09M	145.13M	175.05M	165.80M
EBITDA	11.83M	2.06M	-2.41M	57.56M	91.20M	3.25M
Net Income	-148.90M	-59.91M	-197.21M	-22.86M	30.89M	-10.32M
Balance Sheet
Total Assets	703.49M	726.99M	775.70M	942.70M	913.30M	591.80M
Cash, Cash Equivalents and Short-Term Investments	98.85M	23.40M	65.30M	76.24M	224.90M	57.30M
Total Debt	516.83M	537.93M	436.34M	411.90M	402.80M	388.30M
Total Liabilities	1.01B	1.01B	976.05M	944.80M	854.70M	930.10M
Stockholders Equity	-309.23M	-283.17M	-200.96M	-2.60M	33.10M	-339.40M
Cash Flow
Free Cash Flow	-136.25M	-129.94M	-52.07M	-43.80M	-117.90M	-49.00M
Operating Cash Flow	-125.94M	-118.73M	-42.27M	-30.60M	-111.20M	-40.80M
Investing Cash Flow	44.73M	109.96M	-7.94M	-68.70M	-33.50M	2.20M
Financing Cash Flow	-9.31M	69.73M	8.56M	-11.16M	302.80M	44.10M

Babcock & Wilcox Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BW, the sentiment is Positive. The current price of 3.08 is above the 20-day moving average (MA) of 2.25, above the 50-day MA of 1.60, and above the 200-day MA of 1.21, indicating a bullish trend. The MACD of 0.40 indicates Negative momentum. The RSI at 71.60 is Negative, neither overbought nor oversold. The STOCH value of 87.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BW.

Babcock & Wilcox Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BW	59 Neutral	$311.38M	―	29.28%	―	-33.75%	6.01%
CETY	49 Neutral	18.72M	-3.63	-150.29%	―	-80.89%	50.92%
LASE	49 Neutral	39.97M	-8.51	-103.61%	―	123.75%	66.85%
BWEN	47 Neutral	49.08M	-21.76	-3.73%	―	-18.38%	-128.11%
CVV	44 Neutral	20.71M	-56.58	-1.45%	―	34.35%	93.12%
TPICQ	38 Underperform	1.51M	>-0.01	42.17%	―	4.77%	7.98%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Babcock & Wilcox Company Corporate Events

Babcock & Wilcox Declares Preferred Stock Dividend

On September 10, 2025, Babcock & Wilcox Enterprises, Inc. announced that its board of directors approved a dividend of $0.4843750 per share for its 7.75% Series A Cumulative Perpetual Preferred Stock, with a record date of September 20, 2025, and a payment date of September 30, 2025. This decision reflects the company’s commitment to providing returns to its shareholders and may enhance its attractiveness to investors, potentially impacting its market positioning positively.

The most recent analyst rating on (BW) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Babcock & Wilcox Company stock, see the BW Stock Forecast page.

Babcock & Wilcox Regains NYSE Listing Compliance

On September 2, 2025, Babcock & Wilcox Enterprises, Inc. announced that it has regained compliance with the New York Stock Exchange’s continued listing standard for minimum average closing share price. This development ensures that B&W’s common stock will continue to be traded on the NYSE, which is crucial for maintaining investor confidence and the company’s market position.

The most recent analyst rating on (BW) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Babcock & Wilcox Company stock, see the BW Stock Forecast page.

Babcock & Wilcox Announces Redemption of Senior Notes

On August 28, 2025, Babcock & Wilcox Enterprises, Inc. announced its plan to redeem $70 million of its 8.125% Senior Notes due in 2026. This redemption will occur on October 2, 2025, at a price equal to 100% of the principal amount, plus any accrued and unpaid interest up to that date. The redemption will cease interest accrual on the Notes post-redemption, impacting the company’s financial obligations and potentially improving its debt position.

The most recent analyst rating on (BW) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Babcock & Wilcox Company stock, see the BW Stock Forecast page.