BWX TECHNOLOGIES INC (BWXT) Stock Fundamental Analysis
NYSE:BWXT - New York Stock Exchange, Inc. - US05605H1005 - Common Stock - Currency: USD
Taking everything into account, BWXT scores 6 out of 10 in our fundamental rating. BWXT was compared to 65 industry peers in the Aerospace & Defense industry. While BWXT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. BWXT has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
BWXT had positive earnings in the past year.
BWXT had a positive operating cash flow in the past year.
Each year in the past 5 years BWXT has been profitable.
BWXT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of BWXT (9.39%) is better than 90.63% of its industry peers.
With an excellent Return On Equity value of 26.15%, BWXT belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.95%, BWXT belongs to the top of the industry, outperforming 92.19% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for BWXT is above the industry average of 7.69%.
The 3 year average ROIC (10.82%) for BWXT is below the current ROIC(10.95%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.39% | ||
| ROE | 26.15% | ||
| ROIC | 10.95% |
ROA(3y)10.09%
ROA(5y)11.04%
ROE(3y)35.39%
ROE(5y)42.34%
ROIC(3y)10.82%
ROIC(5y)12.07%
1.3 Margins
BWXT's Profit Margin of 10.32% is fine compared to the rest of the industry. BWXT outperforms 78.13% of its industry peers.
BWXT's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 13.43%, BWXT belongs to the top of the industry, outperforming 82.81% of the companies in the same industry.
In the last couple of years the Operating Margin of BWXT has declined.
BWXT has a Gross Margin (24.95%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of BWXT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.43% | ||
| PM (TTM) | 10.32% | ||
| GM | 24.95% |
OM growth 3Y-2.89%
OM growth 5Y-2.68%
PM growth 3Y-9.13%
PM growth 5Y-4.83%
GM growth 3Y-2.83%
GM growth 5Y-2.37%
2. Health
2.1 Basic Checks
BWXT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, BWXT has more shares outstanding
BWXT has less shares outstanding than it did 5 years ago.
The debt/assets ratio for BWXT has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.83 indicates that BWXT is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 5.83, BWXT is doing good in the industry, outperforming 76.56% of the companies in the same industry.
The Debt to FCF ratio of BWXT is 6.11, which is on the high side as it means it would take BWXT, 6.11 years of fcf income to pay off all of its debts.
BWXT's Debt to FCF ratio of 6.11 is fine compared to the rest of the industry. BWXT outperforms 70.31% of its industry peers.
A Debt/Equity ratio of 1.15 is on the high side and indicates that BWXT has dependencies on debt financing.
BWXT's Debt to Equity ratio of 1.15 is on the low side compared to the rest of the industry. BWXT is outperformed by 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 6.11 | ||
| Altman-Z | 5.83 |
ROIC/WACC1.08
WACC10.17%
2.3 Liquidity
A Current Ratio of 2.25 indicates that BWXT has no problem at all paying its short term obligations.
BWXT's Current ratio of 2.25 is in line compared to the rest of the industry. BWXT outperforms 59.38% of its industry peers.
BWXT has a Quick Ratio of 2.16. This indicates that BWXT is financially healthy and has no problem in meeting its short term obligations.
BWXT has a Quick ratio of 2.16. This is in the better half of the industry: BWXT outperforms 78.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.25 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.93% over the past year.
BWXT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.86% yearly.
BWXT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.02%.
BWXT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.76% yearly.
EPS 1Y (TTM)15.93%
EPS 3Y0%
EPS 5Y4.86%
EPS Q2Q%23.88%
Revenue 1Y (TTM)12.02%
Revenue growth 3Y5.54%
Revenue growth 5Y6.76%
Sales Q2Q%13.89%
3.2 Future
BWXT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.19% yearly.
BWXT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.98% yearly.
EPS Next Y8.43%
EPS Next 2Y7.45%
EPS Next 3Y9.57%
EPS Next 5Y10.19%
Revenue Next Year10.33%
Revenue Next 2Y9.2%
Revenue Next 3Y9.17%
Revenue Next 5Y6.98%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 33.25, which means the current valuation is very expensive for BWXT.
Based on the Price/Earnings ratio, BWXT is valued a bit cheaper than 67.19% of the companies in the same industry.
BWXT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.47.
A Price/Forward Earnings ratio of 32.50 indicates a quite expensive valuation of BWXT.
Based on the Price/Forward Earnings ratio, BWXT is valued a bit cheaper than the industry average as 60.94% of the companies are valued more expensively.
BWXT is valuated cheaply when we compare the Price/Forward Earnings ratio to 92.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.25 | ||
| Fwd PE | 32.5 |
4.2 Price Multiples
BWXT's Enterprise Value to EBITDA is on the same level as the industry average.
BWXT's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BWXT is cheaper than 67.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 51.61 | ||
| EV/EBITDA | 25.62 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
BWXT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.95
PEG (5Y)6.84
EPS Next 2Y7.45%
EPS Next 3Y9.57%
5. Dividend
5.1 Amount
With a yearly dividend of 0.83%, BWXT is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.38, BWXT pays a better dividend. On top of this BWXT pays more dividend than 82.81% of the companies listed in the same industry.
With a Dividend Yield of 0.83, BWXT pays less dividend than the S&P500 average, which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.83% |
5.2 History
On average, the dividend of BWXT grows each year by 7.23%, which is quite nice.
BWXT has been paying a dividend for at least 10 years, so it has a reliable track record.
BWXT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)7.23%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
BWXT pays out 31.57% of its income as dividend. This is a sustainable payout ratio.
BWXT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP31.57%
EPS Next 2Y7.45%
EPS Next 3Y9.57%
BWX TECHNOLOGIES INC
NYSE:BWXT (2/5/2025, 12:52:54 PM)
113.7
+2.35 (+2.11%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners94.53%
Inst Owner Change1.03%
Ins Owners0.34%
Ins Owner Change1.03%
Market Cap10.40B
Analysts81.18
Price Target138.16 (21.51%)
Short Float %1.29%
Short Ratio1.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.83% |
Yearly Dividend0.93
Dividend Growth(5Y)7.23%
DP31.57%
Div Incr Years9
Div Non Decr Years9
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.36%
Min EPS beat(2)4.98%
Max EPS beat(2)7.73%
EPS beat(4)4
Avg EPS beat(4)6.86%
Min EPS beat(4)4.98%
Max EPS beat(4)7.95%
EPS beat(8)7
Avg EPS beat(8)6.17%
EPS beat(12)9
Avg EPS beat(12)4.33%
EPS beat(16)11
Avg EPS beat(16)2.06%
Revenue beat(2)2
Avg Revenue beat(2)2.27%
Min Revenue beat(2)0.04%
Max Revenue beat(2)4.5%
Revenue beat(4)3
Avg Revenue beat(4)2.78%
Min Revenue beat(4)-1.3%
Max Revenue beat(4)7.87%
Revenue beat(8)5
Avg Revenue beat(8)1.76%
Revenue beat(12)7
Avg Revenue beat(12)0.63%
Revenue beat(16)8
Avg Revenue beat(16)0.21%
PT rev (1m)1.64%
PT rev (3m)18.16%
EPS NQ rev (1m)0.15%
EPS NQ rev (3m)-13.55%
EPS NY rev (1m)0.03%
EPS NY rev (3m)1.03%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-3.99%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)1.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.25 | ||
| Fwd PE | 32.5 | ||
| P/S | 3.88 | ||
| P/FCF | 51.61 | ||
| P/OCF | 29.42 | ||
| P/B | 9.82 | ||
| P/tB | 17.67 | ||
| EV/EBITDA | 25.62 |
EPS(TTM)3.42
EY3.01%
EPS(NY)3.5
Fwd EY3.08%
FCF(TTM)2.2
FCFY1.94%
OCF(TTM)3.86
OCFY3.4%
SpS29.34
BVpS11.58
TBVpS6.43
PEG (NY)3.95
PEG (5Y)6.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.39% | ||
| ROE | 26.15% | ||
| ROCE | 14.36% | ||
| ROIC | 10.95% | ||
| ROICexc | 11.11% | ||
| ROICexgc | 13.71% | ||
| OM | 13.43% | ||
| PM (TTM) | 10.32% | ||
| GM | 24.95% | ||
| FCFM | 7.51% |
ROA(3y)10.09%
ROA(5y)11.04%
ROE(3y)35.39%
ROE(5y)42.34%
ROIC(3y)10.82%
ROIC(5y)12.07%
ROICexc(3y)11.07%
ROICexc(5y)12.48%
ROICexgc(3y)14.23%
ROICexgc(5y)16.91%
ROCE(3y)14.19%
ROCE(5y)15.99%
ROICexcg growth 3Y-7.59%
ROICexcg growth 5Y-13.12%
ROICexc growth 3Y-5.39%
ROICexc growth 5Y-8.08%
OM growth 3Y-2.89%
OM growth 5Y-2.68%
PM growth 3Y-9.13%
PM growth 5Y-4.83%
GM growth 3Y-2.83%
GM growth 5Y-2.37%
F-Score8
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 6.11 | ||
| Debt/EBITDA | 2.75 | ||
| Cap/Depr | 181.29% | ||
| Cap/Sales | 5.66% | ||
| Interest Coverage | 5.39 | ||
| Cash Conversion | 79.56% | ||
| Profit Quality | 72.77% | ||
| Current Ratio | 2.25 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | 5.83 |
F-Score8
WACC10.17%
ROIC/WACC1.08
Cap/Depr(3y)303.83%
Cap/Depr(5y)325.34%
Cap/Sales(3y)9.86%
Cap/Sales(5y)10.24%
Profit Quality(3y)43.46%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.93%
EPS 3Y0%
EPS 5Y4.86%
EPS Q2Q%23.88%
EPS Next Y8.43%
EPS Next 2Y7.45%
EPS Next 3Y9.57%
EPS Next 5Y10.19%
Revenue 1Y (TTM)12.02%
Revenue growth 3Y5.54%
Revenue growth 5Y6.76%
Sales Q2Q%13.89%
Revenue Next Year10.33%
Revenue Next 2Y9.2%
Revenue Next 3Y9.17%
Revenue Next 5Y6.98%
EBIT growth 1Y13.45%
EBIT growth 3Y2.49%
EBIT growth 5Y3.9%
EBIT Next Year28.67%
EBIT Next 3Y16.71%
EBIT Next 5Y12.32%
FCF growth 1Y127.87%
FCF growth 3YN/A
FCF growth 5Y28.77%
OCF growth 1Y18.81%
OCF growth 3Y22.8%
OCF growth 5Y16.52%