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Embraer (EMBJ)
NYSE:EMBJ

Embraer (EMBJ) AI Stock Analysis

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EMBJ

Embraer

(NYSE:EMBJ)

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Neutral 69 (OpenAI - 4o)
Rating:69Neutral
Price Target:
$67.00
▼(-5.19% Downside)
Embraer's overall stock score reflects its stable financial performance and strong earnings call results, which are tempered by technical indicators suggesting weak momentum and a high valuation. The company's robust backlog and revenue growth are significant positives, but operational challenges and a high P/E ratio present risks.

Embraer (EMBJ) vs. SPDR S&P 500 ETF (SPY)

Embraer Business Overview & Revenue Model

Company DescriptionA Brazilian aerospace and defense company that designs, develops, manufactures and services commercial, executive and agricultural aircraft, plus defense & security systems and eVTOL technologies.
How the Company Makes MoneyEmbraer generates revenue primarily through the sale of aircraft across its different segments, with the Commercial Aviation division being a significant contributor. The company's revenue model includes sales of new aircraft, aftermarket services, and support contracts. Key revenue streams come from the delivery of regional jets to airlines, executive jets to private customers, and military aircraft to government entities. Additionally, Embraer benefits from long-term service agreements and maintenance contracts, which provide recurring income. The company also engages in strategic partnerships with other aerospace firms and governments, enhancing its market presence and capabilities, which further contributes to its earnings.

Embraer Financial Statement Overview

Summary
Embraer shows positive growth trends with consistent revenue increases and improved cash flow metrics. While profitability margins have faced some pressure, the company's balance sheet has strengthened with a lower debt-to-equity ratio. Overall, Embraer is in a stable financial position with opportunities for further growth, though it should monitor operational efficiencies to enhance profitability.
Income Statement
Embraer has shown consistent revenue growth over the years, with a notable 5.04% increase in the TTM period. The gross profit margin has remained stable around 18%, indicating effective cost management. However, the net profit margin has slightly decreased in the TTM period to 4.32% from 5.51% in the previous year, suggesting some pressure on profitability. The EBIT and EBITDA margins have also seen a decline, which could indicate rising operational costs or other inefficiencies.
Balance Sheet
The company's debt-to-equity ratio has improved to 0.67 in the TTM period from 0.85 in the previous year, reflecting a stronger equity position relative to debt. Return on equity has decreased slightly to 9.54% from 11.46%, indicating a slight dip in profitability relative to shareholder equity. The equity ratio remains stable, suggesting a balanced approach to financing assets through equity.
Cash Flow
Embraer has demonstrated strong free cash flow growth of 35.88% in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio has improved, reflecting better cash conversion efficiency. The free cash flow to net income ratio is robust at 60.64%, suggesting that a significant portion of net income is being converted into free cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.26B6.39B5.27B4.54B4.20B3.77B
Gross Profit1.32B1.15B909.60M912.20M655.85M477.60M
EBITDA850.10M1.01B598.20M228.40M479.90M-123.30M
Net Income314.92M352.50M164.00M-185.40M-44.70M-731.90M
Balance Sheet
Total Assets12.53B11.82B10.78B10.14B10.15B10.52B
Cash, Cash Equivalents and Short-Term Investments1.76B2.20B2.15B2.31B2.57B2.70B
Total Debt2.39B2.60B2.98B3.27B4.09B4.51B
Total Liabilities8.59B8.48B7.74B7.32B7.38B7.61B
Stockholders Equity3.57B3.08B2.79B2.57B2.67B2.79B
Cash Flow
Free Cash Flow702.54M405.00M186.20M495.30M247.10M-1.51B
Operating Cash Flow1.05B871.20M617.00M751.30M515.30M-1.29B
Investing Cash Flow-609.67M-599.70M-447.60M-109.50M-131.60M-105.30M
Financing Cash Flow-204.88M-335.70M-348.70M-669.20M-441.04M1.01B

Embraer Technical Analysis

Technical Analysis Sentiment
Last Price70.67
Price Trends
50DMA
100DMA
200DMA
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EMBJ, the sentiment is undefined. The current price of 70.67 is equal to the 20-day moving average (MA) of ―, equal to the 50-day MA of ―, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a undefined sentiment for EMBJ.

Embraer Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison

Embraer Corporate Events

Embraer Halves Azul E195-E2 Order as Airline Restructures Under Chapter 11
Dec 23, 2025

On November 26, 2025, Embraer S.A. signed an agreement with Brazilian carrier Azul Linhas Aéreas Brasileiras S.A. to renegotiate Azul’s firm order for E195-E2 aircraft, originally placed between 2014 and 2018, cutting the total from 51 to 25 jets. The revised deal, ratified by the U.S. Bankruptcy Court for the Southern District of New York on December 18, 2025 and formalized in a court order published on December 22, 2025, aligns Embraer’s delivery commitments with Azul’s ongoing restructuring under Chapter 11, reducing Embraer’s future order backlog with this customer but also helping secure contractual certainty and support the airline’s financial reorganization.

The most recent analyst rating on (EMBJ) stock is a Hold with a $69.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Embraer Adjusts Interest on Equity Amid Share Buyback
Dec 16, 2025

Embraer S.A. announced changes in the interest on equity per ordinary share for the second, third, and fourth quarters of the fiscal year ending December 31, 2025. This adjustment is influenced by the company’s share buyback program, reflecting its strategic financial management. The announcement, dated December 15, 2025, highlights Embraer’s commitment to optimizing shareholder value, which may impact investor relations and market perception.

The most recent analyst rating on (EMBJ) stock is a Hold with a $69.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Embraer Declares Q4 2025 Dividends and Interest on Equity
Dec 9, 2025

On December 8, 2025, Embraer S.A. announced the declaration of supplementary interest on equity and interim dividends for the fourth quarter of the fiscal year ending December 31, 2025. The total amount for the interest on equity is R$ 79,676,796.00, while the interim dividends total R$ 80,000,000.00. Shareholders registered by December 15, 2025, for interest on equity, and December 9, 2025, for dividends, will be eligible to receive these payments. The announcement reflects Embraer’s commitment to returning value to its shareholders, potentially impacting its market positioning positively.

The most recent analyst rating on (EMBJ) stock is a Hold with a $69.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Embraer Files SEC Report for December 2025
Dec 3, 2025

On December 2, 2025, Embraer S.A. filed a report with the U.S. Securities and Exchange Commission, signed by Antonio Carlos Garcia, the Executive Vice President of Finance and Investor Relations. This filing is part of the company’s compliance with the Securities Exchange Act of 1934, highlighting its ongoing commitment to transparency and regulatory adherence.

The most recent analyst rating on (EMBJ) stock is a Hold with a $67.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Helvetic Airways Expands Fleet with New Embraer E195-E2 Order
Nov 17, 2025

On November 17, 2025, Helvetic Airways announced a new order for up to eight Embraer E195-E2 aircraft at the Dubai Air Show, reinforcing its commitment to modern and sustainable aviation. This order, which includes three firm orders and five purchase rights, will expand Helvetic’s E2 fleet from 12 to up to 20 aircraft, enhancing its position as a leading European operator of Embraer’s E-Jet family. The first aircraft is expected to be delivered by the end of 2026, supporting Helvetic’s modern fleet strategy and sustainability goals. This expansion is a testament to the E195-E2’s fuel efficiency, low noise emissions, and high-quality passenger experience, further solidifying Embraer’s industry position and strengthening its partnership with Helvetic Airways.

The most recent analyst rating on (EMBJ) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Air Côte d’Ivoire Orders Embraer E175s to Enhance Regional Connectivity
Nov 17, 2025

On November 17, 2025, Air Côte d’Ivoire signed a firm order for four Embraer E175 aircraft, with options for eight more, as part of its fleet modernization and regional expansion strategy. The E175s, configured with 76 seats, will enhance Air Côte d’Ivoire’s domestic and regional connectivity by replacing its turboprop fleet, increasing frequencies, and strengthening its hub in Abidjan. This move aligns with Embraer’s strong market presence in Africa, where it holds a 31% market share for aircraft with up to 150 seats.

The most recent analyst rating on (EMBJ) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Embraer Declares Fourth Quarter Interest on Net Equity
Nov 7, 2025

On November 6, 2025, Embraer S.A. announced that its Board of Directors has declared interest on net equity for the fourth quarter of the fiscal year ending December 31, 2025. The total amount declared is R$ 147,898,208.75, equivalent to R$ 0.20161537029 per ordinary share. This decision is pending approval at the Company’s Annual Shareholders’ Meeting. The payment will be made by May 20, 2026, with specific dates set for record and ex-dividend trading on B3 and NYSE. The announcement reflects Embraer’s commitment to shareholder returns and could influence its stock performance, aligning with its strategic financial management.

The most recent analyst rating on (EMBJ) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Embraer Approves Equity Swap Agreements to Stabilize Share Prices
Nov 7, 2025

On November 6, 2025, Embraer S.A.’s Board of Directors approved the execution of derivative agreements with Banco Itaú Unibanco S.A. The equity swap agreements, involving up to 10,932,998 common shares, are designed to mitigate share price fluctuations in anticipation of future payments related to the company’s long-term incentive plans. This strategic financial move aims to stabilize the company’s share price, potentially enhancing investor confidence and supporting its market position.

The most recent analyst rating on (EMBJ) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

Embraer Announces Share Buyback Program to Optimize Capital Structure
Nov 6, 2025

On November 6, 2025, Embraer S.A. announced the approval of a share buyback program by its Board of Directors. The program aims to acquire up to 10.8 million ordinary shares, representing approximately 1.5% of its outstanding shares, to be held in treasury, canceled, or sold on the market. This initiative is part of Embraer’s strategy to manage its share-based compensation plans and optimize its capital structure. The buyback is set to commence on November 7, 2025, lasting for 12 months, and will be executed through the stock exchange at market prices. The company assures that this move will not affect its shareholder composition or administrative structure, given its robust financial position.

The most recent analyst rating on (EMBJ) stock is a Buy with a $73.00 price target. To see the full list of analyst forecasts on Embraer stock, see the EMBJ Stock Forecast page.

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.Date of analysis: Dec 02, 2025