BWX Technologies (BWXT) AI Stock Analysis

• Market Cap: $18.49B
• Dividend Yield: 0.56%
• Average Volume (3M): 965.12K
• Price to Earnings (P/E): 60.5
• Beta (1Y): 1.12
• Revenue Growth: 14.01%
• EPS Growth: 10.92%
• Country: US
• Employees: 8,700
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): 1.08
• Shares Outstanding: 91,426,740
• 10 Day Avg. Volume: 631,655
• 30 Day Avg. Volume: 965,123
• PEG Ratio: 2.84
• Price to Book (P/B): 12.84
• Price to Sales (P/S): 4.95
• P/FCF Ratio: 53.60
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 6.47
• Enterprise Value/Gross Profit: 13.06
• Enterprise Value/Ebitda: 51.15
• 1Y Price Target: $218.75
• Price Target Upside: 5.96% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): 4.3
• Revenue Forecast (FY): $3.67B

• Rating: 64 Neutral
• Price Target: $212.00 ▲(2.69% Upside)
• Action: Reiterated Date: 02/24/26
• Date: Action: Reiterated 02/24/26

The score is anchored by solid underlying financial performance and a strong, guidance-backed earnings-call outlook with meaningful backlog-driven visibility. Offsetting these positives are elevated valuation (high P/E with a low yield) and only mixed near-term technicals, plus balance-sheet re-levering risk highlighted in the financial statements.

Positive Factors

Backlog-driven revenue visibility

A $7.3B backlog (50% YoY growth) provides multi-year revenue visibility that underpins predictable cash flow and reduces near-term demand risk. Durable government and commercial contracts smooth revenue timing, supporting steady capacity utilization and strategic investment planning.

Commercial segment momentum & acquisitions

Rapid commercial growth, aided by acquisitions (AOT, Kinectrics) and a strong book-to-bill, diversifies revenue away from government work. This builds scale in higher-growth commercial nuclear, enhances technical/licensing capabilities, and supports sustainable margin improvement over coming years.

Improved liquidity and financing actions

Executing a $1.25B convertible and ending with $1.7B liquidity strengthens financial flexibility to fund capex, M&A and program ramps. Refinancing reduced near-term cost pressure, lowering refinancing risk and enabling strategic investments during multi-year contract executions.

Negative Factors

Rising leverage

Material re-levering to ~1.64 D/E reduces financial flexibility and raises interest-rate sensitivity. Higher leverage constrains capital allocation, raises refinancing risk if rates stay elevated, and limits ability to absorb execution slips on long-duration government programs.

Regulatory/product uncertainty (Tech 99)

Unresolved Tech 99 filtration and concentration issues create upside uncertainty: revenues are excluded from guidance until fixed. Delay or failed approval would postpone expected medical growth and weaken anticipated commercial margins tied to isotope product scaling.

Low front-end margins from new defense programs

Early-stage defense fuels and HPDU contracts demand heavy upfront investment and deliver lower initial margins, pressuring near-term segment profitability. A back-half weighting in results and margin dilution risk persist until capacity and pricing normalize, stressing short-term margin stability.

BWX Technologies Business Overview & Revenue Model

Company Description

BWX Technologies, Inc. manufactures and sells nuclear components in the United States, Canada, and internationally. It operates in three segments: Nuclear Operations Group, Nuclear Power Group, and Nuclear Services Group. The Nuclear Operations Group segment provides precision naval and critical nuclear components, reactors, nuclear fuel, and assemblies for the United States Department of Energy/National Nuclear Security Administration's Naval Nuclear Propulsion Program and other uses; missile launch tubes for United States Navy submarines; close-tolerance and equipment for nuclear applications; and converts Cold War-era government stockpiles of high-enriched uranium, as well as receives, stores, characterizes, dissolves, recovers, and purifies uranium-bearing materials; supplies research reactor fuel elements for colleges, universities, and national laboratories; and components for defense applications. The Nuclear Power Group segment offers commercial nuclear steam generators, nuclear fuel, fuel handling systems, pressure vessels, reactor components, heat exchangers, tooling delivery systems, and containers; engineering and in-plant services for nuclear power plants; designs, manufactures, commissions, and services nuclear power generation equipment; in-plant inspection, maintenance, and modification services, as well as non-destructive examination and tooling/repair solutions; and supplies medical radioisotopes and radiopharmaceuticals for research, diagnostic, and therapeutic uses. The Nuclear Services Group segment provides nuclear materials processing, environmental site restoration, and management and operating services; develops technology for nuclear power sources application; and designs, engineers, licenses, and manufactures nuclear reactors. The company was formerly known as The Babcock & Wilcox Company and changed its name to BWX Technologies, Inc. in June 2015. BWX Technologies, Inc. was founded in 1867 and is headquartered in Lynchburg, Virginia.

How the Company Makes Money

BWXT generates revenue through a diversified business model that includes several key revenue streams. The Government segment contributes a significant portion of revenue, primarily through contracts with the U.S. Department of Defense for the design and production of nuclear reactors for naval vessels, as well as for other defense-related services. The Commercial segment earns revenue by providing engineering and manufacturing services to commercial nuclear power plants, including the supply of components and systems for reactor operations. Additionally, BWXT engages in advanced manufacturing processes, which can lead to increased efficiency and cost savings for its clients. The company benefits from long-term contracts and partnerships with government entities and commercial clients, which contribute to stable and predictable revenue. Furthermore, BWXT's focus on innovation and technology development in the nuclear sector positions it advantageously for future growth opportunities.

BWX Technologies Financial Statement Overview

Summary

Financials are solid but not pristine: steady 2022–2024 revenue growth and ~10% net margins support quality, while cash flow is positive in 2023–2025 but volatile (notably weaker FCF in 2025). The main offset is higher balance-sheet risk from re-levering in 2025 (debt-to-equity rising to ~1.64), reducing flexibility.

Income Statement

Revenue has grown steadily from 2022–2024 (mid-to-high single digit trajectory) and profitability remains solid, with net margins consistently around ~10%. However, profitability has softened versus 2020–2021 (lower net and EBITDA margins), and the 2025 annual gross profit and EBIT margin fields appear missing/zeroed in the data, reducing visibility into the latest period’s cost structure.

Balance Sheet

Leverage is the main swing factor. Debt-to-equity improved meaningfully in 2024 (~1.0), but rose sharply again in 2025 (to ~1.64) alongside a large increase in total debt, signaling higher balance sheet risk. Equity has grown over time, but the recent re-levering reduces flexibility if rates stay higher or execution weakens.

Cash Flow

Cash generation is positive with healthy operating cash flow and free cash flow in 2023–2025, and free cash flow generally covers a meaningful portion of earnings (roughly ~0.58–0.62 in 2023–2025). The weakness is volatility: free cash flow fell sharply in 2025 (down ~36% YoY) and was very thin/negative in 2020–2022, showing sensitivity to working capital and/or investment cycles.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.20B	2.70B	2.50B	2.23B	2.12B
Gross Profit	0.00	655.21M	620.59M	551.93M	550.28M
EBITDA	404.46M	474.06M	447.00M	424.63M	500.55M
Net Income	329.86M	281.94M	245.85M	238.19M	305.87M
Balance Sheet
Total Assets	0.00	2.87B	2.75B	2.62B	2.50B
Cash, Cash Equivalents and Short-Term Investments	0.00	74.11M	78.62M	39.05M	37.70M
Total Debt	2.02B	1.06B	1.21B	1.29B	1.19B
Total Liabilities	3.04B	1.79B	1.81B	1.87B	1.86B
Stockholders Equity	1.23B	1.08B	933.35M	748.31M	637.17M
Cash Flow
Free Cash Flow	295.29M	254.78M	212.41M	46.39M	74.97M
Operating Cash Flow	479.85M	408.43M	363.70M	244.70M	386.03M
Investing Cash Flow	-742.11M	-154.56M	-155.64M	-256.24M	-304.65M
Financing Cash Flow	693.64M	-252.78M	-169.37M	13.95M	-90.14M

BWX Technologies Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 206.44
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BWXT, the sentiment is Neutral. The current price of 206.44 is above the 20-day moving average (MA) of 202.89, above the 50-day MA of 194.51, and above the 200-day MA of 170.01, indicating a neutral trend. The MACD of 1.21 indicates Positive momentum. The RSI at 48.06 is Neutral, neither overbought nor oversold. The STOCH value of 64.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BWXT.

BWX Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NOC	77 Outperform	$102.87B	24.92	26.17%	1.55%	-0.14%	72.35%
LHX	75 Outperform	$65.77B	41.31	8.20%	1.61%	2.83%	47.00%
GD	74 Outperform	$94.50B	22.62	17.66%	1.73%	11.86%	17.39%
LMT	74 Outperform	$149.51B	30.24	76.87%	2.77%	2.88%	-35.15%
HII	67 Neutral	$16.67B	27.60	12.42%	1.53%	2.60%	-18.22%
BWXT	64 Neutral	$18.49B	60.49	26.69%	0.56%	14.01%	10.92%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

BWX Technologies Corporate Events

BWX Technologies Adds Veteran Director to Board for Growth

On February 18, 2026, BWX Technologies’ board of directors voted to expand its membership from nine to ten and appointed aerospace and defense veteran Dan Jablonsky as a director, effective March 2, 2026, with his initial term running through the company’s 2026 annual shareholder meeting. The board determined that he is an independent director, named him to the audit and finance committee, and confirmed that he meets U.S. Securities and Exchange Commission requirements as an audit committee financial expert.

Jablonsky, formerly chief executive officer and chairman of Ursa Major and previously CEO of Maxar Technologies, brings deep experience in space propulsion, satellite imagery and complex corporate turnarounds, including leading Maxar through a $6.4 billion take-private transaction. His appointment is expected to strengthen BWXT’s board oversight and support the company’s strategy to accelerate growth in the space and defense sectors, aligning board expertise more closely with its expanding high-tech and national security-focused business portfolio.

The most recent analyst rating on (BWXT) stock is a Buy with a $231.00 price target. To see the full list of analyst forecasts on BWX Technologies stock, see the BWXT Stock Forecast page.