Aerospace and defense company BWX (NYSE:BWXT) will be reporting earnings this Monday after market hours. Here’s what you need to know.
BWX beat analysts’ revenue expectations by 5.1% last quarter, reporting revenues of $682.3 million, up 13% year on year. It was a very strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and a solid beat of analysts’ adjusted operating income estimates.
Is BWX a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting BWX’s revenue to grow 4.5% year on year to $712.4 million, slowing from the 11.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.79 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. BWX has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 4.8% on average.
Looking at BWX’s peers in the defense contractors segment, some have already reported their Q2 results, giving us a hint as to what we can expect. General Dynamics delivered year-on-year revenue growth of 8.9%, beating analysts’ expectations by 5.7%, and Northrop Grumman reported revenues up 1.3%, topping estimates by 3%. General Dynamics traded up 5.7% following the results while Northrop Grumman was also up 10.4%.
Read our full analysis of General Dynamics’s results here and Northrop Grumman’s results here.
Investors in the defense contractors segment have had steady hands going into earnings, with share prices flat over the last month. BWX is up 4.4% during the same time and is heading into earnings with an average analyst price target of $148.30 (compared to the current share price of $150.18).
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