BWX Technologies (BWXT)
NYSE:BWXT
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BWX Technologies
(NYSE:BWXT)
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Rating:64Neutral
Price Target:
$248.00
â–²(7.00% Upside)
Action:ReiteratedDate: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.
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.
Read all positive and negative factors
Positive Factors
Negative 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.
Read all positive factors
BWX Technologies (BWXT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$21.20B
Dividend Yield0.56%
Average Volume (3M)1.00M
Price to Earnings (P/E)48.0
Beta (1Y)1.09
Revenue Growth14.01%
EPS Growth10.92%
CountryUS
Employees8,700
SectorIndustrials
Sector Strength72
IndustryAerospace & Defense
Share Statistics
EPS (TTM)1.08
Shares Outstanding91,445,090
10 Day Avg. Volume911,787
30 Day Avg. Volume1,004,001
Financial Highlights & Ratios
PEG Ratio2.84
Price to Book (P/B)12.84
Price to Sales (P/S)4.95
P/FCF Ratio53.60
Enterprise Value/Market Cap1.06
Enterprise Value/Revenue7.06
Enterprise Value/Gross Profit30.86
Enterprise Value/Ebitda40.93
Forecast
1Y Price Target
$222.86Price Target Upside-3.85% Downside
Rating ConsensusModerate Buy
Number of Analyst Covering11
EPS Forecast (FY)4.62
Revenue Forecast (FY)$3.76B
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 Gr...
How the Company Makes Money
BWXT primarily makes money through long-term, government-funded contracts to manufacture and support nuclear propulsion and other nuclear-related systems, alongside revenues from commercial and specialty nuclear products and services.
Key revenue...
BWX Technologies Earnings Call Summary
Earnings Call Date:Feb 23, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 04, 2026
Earnings Call Sentiment Positive
The call presents a largely positive outlook: strong revenue, EBITDA, EPS and free cash flow growth in 2025, substantial backlog expansion (+50% total, +85% commercial), successful strategic acquisitions (AOT, Kinectrics), and robust commercial momentum (Q4 commercial revenue +95%). Management provided constructive 2026 guidance (high-teens revenue growth, low- to mid-teens EBITDA growth) and strengthened liquidity via a $1.25B convertible. Near-term challenges include government segment mix/margin pressure from new programs, early-stage lower-margin ramping for defense fuels and HPDU, Tech 99 regulatory/quality uncertainty (excluded from guidance), and modest operational constraints for AI in classified sites. On balance, the highlights materially outweigh the lowlights given strong financial performance, backlog and strategic wins, supporting a positive forward view.Positive Updates
Full-Year Financial Outperformance
FY2025 revenue grew 18%, adjusted EBITDA grew 15%, earnings per share grew 20%, and free cash flow grew 16%, all exceeding the company's initial guidance for the year.
Negative Updates
Government Operations Near-Term Pressure
Government Operations revenue was down 1% in the quarter and adjusted EBITDA decreased 5%; segment margin (quarter) fell to 18.8% and management expects margins to be slightly lower in 2026 due to mix as new programs with lower initial profit recognition ramp.
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year Financial Outperformance
FY2025 revenue grew 18%, adjusted EBITDA grew 15%, earnings per share grew 20%, and free cash flow grew 16%, all exceeding the company's initial guidance for the year.
Read all positive updates
Company Guidance
BWXT guided to revenue of approximately $3.75 billion in 2026 (up high‑teens vs. 2025) with company adjusted EBITDA of $645–$660 million (up low‑ to mid‑teens) and non‑GAAP EPS of $4.55–$4.70 (up mid‑ to high‑teens); free cash flow is expected to be $305–$320 million (inclusive of low‑ to mid‑teens operating cash flow growth), CapEx roughly 6% of sales, and an adjusted tax rate of about 22%. Management expects Government Operations to grow low‑ to mid‑teens (with over half of that from defense fuels and HPDU) and Commercial Operations to grow ~25% (low‑double‑digit commercial power, high‑teens medical, full year contribution from Kinectrics), commercial segment margin improvement of ~100 bps in 2026, and a back‑half weighted year with ~55% of full‑year EBITDA in H2 (Q1 EBITDA and EPS expected roughly flat to slightly higher). Guidance is supported by a $7.3 billion backlog (up 50% YoY), $1.7 billion commercial backlog (up 85% YoY), year‑end liquidity of $1.7 billion and recent balance‑sheet actions including a $1.25 billion 0% convertible offering (post‑capped call conversion price > $396).BWX Technologies Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
58
Neutral
Cash Flow
64
Positive
| 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 | 731.52M | 655.21M | 620.59M | 551.93M | 550.28M |
| EBITDA | 551.51M | 474.06M | 447.00M | 424.63M | 500.55M |
| Net Income | 329.86M | 281.94M | 245.85M | 238.19M | 305.87M |
Balance Sheet | |||||
| Total Assets | 4.27B | 2.87B | 2.75B | 2.62B | 2.50B |
| Cash, Cash Equivalents and Short-Term Investments | 502.86M | 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
Positive
231.78
Price Trends
204.57
Positive
194.63
Positive
182.78
Positive
Market Momentum
4.39
Negative
64.02
Neutral
84.77
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BWXT, the sentiment is Positive. The current price of 231.78 is above the 20-day moving average (MA) of 207.22, above the 50-day MA of 204.57, and above the 200-day MA of 182.78, indicating a bullish trend. The MACD of 4.39 indicates Negative momentum. The RSI at 64.02 is Neutral, neither overbought nor oversold. The STOCH value of 84.77 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BWXT.
BWX Technologies Risk Analysis
BWX Technologies disclosed 28 risk factors in its most recent earnings report. BWX Technologies reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
BWX Technologies Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $97.57B | 19.57 | 26.50% | 1.55% | -0.14% | 72.35% | |
75 Outperform | $67.61B | 35.53 | 8.28% | 1.61% | 2.83% | 47.00% | |
74 Outperform | $94.64B | 21.58 | 17.57% | 1.73% | 11.86% | 17.39% | |
74 Outperform | $144.61B | 22.26 | 80.53% | 2.77% | 2.88% | -35.15% | |
67 Neutral | $16.20B | 22.09 | 12.28% | 1.53% | 2.60% | -18.22% | |
64 Neutral | $21.20B | 47.98 | 27.65% | 0.56% | 14.01% | 10.92% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
* Industrials Sector Average
BWXT
BWX Technologies
231.78
131.42
130.94%
GD
General Dynamics
350.02
83.35
31.25%
LHX
L3Harris Technologies
361.97
152.06
72.44%
HII
Huntington Ingalls
411.35
214.14
108.59%
LMT
Lockheed Martin
628.50
177.13
39.24%
NOC
Northrop Grumman
687.47
179.54
35.35%
BWX Technologies Corporate Events
Business Operations and StrategyExecutive/Board Changes
BWX Technologies Adds Veteran Director to Board for Growth
Positive
Feb 20, 2026
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 throug...
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.