Earnings results often indicate what direction a company will take in the months ahead. With Q4 behind us, let’s have a look at Redwire (NYSE: RDW) and its peers.
Aerospace companies often possess technical expertise and have made significant capital investments to produce complex products. It is an industry where innovation is important, and lately, emissions and automation are in focus, so companies that boast advances in these areas can take market share. On the other hand, demand for aerospace products can ebb and flow with economic cycles and geopolitical tensions, which can be particularly painful for companies with high fixed costs.
The 14 aerospace stocks we track reported a mixed Q4. As a group, revenues along with next quarter’s revenue guidance were in line with analysts’ consensus estimates.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 19.1% since the latest earnings results.
Redwire (NYSE: RDW)
Based in Jacksonville, Florida, Redwire (NYSE: RDW) is a provider of systems and components used in space infrastructure.
Redwire reported revenues of $69.56 million, up 9.6% year on year. This print fell short of analysts’ expectations by 6.7%. Overall, it was a mixed quarter for the company with full-year EBITDA guidance exceeding analysts’ expectations but a significant miss of analysts’ EBITDA estimates.
Redwire pulled off the highest full-year guidance raise but had the weakest performance against analyst estimates of the whole group. Still, the market seems discontent with the results. The stock is down 4% since reporting and currently trades at $6.81.
Read our full report on Redwire here, it’s free.
Best Q4: HEICO (NYSE: HEI)
Founded in 1957, HEICO (NYSE: HEI) manufactures and services aerospace and electronic components for commercial aviation, defense, space, and other industries.
HEICO reported revenues of $1.03 billion, up 14.9% year on year, outperforming analysts’ expectations by 5.4%. The business had an incredible quarter with a solid beat of analysts’ organic revenue estimates and an impressive beat of analysts’ EPS estimates.
The market seems content with the results as the stock is up 4% since reporting. It currently trades at $236.88.
Is now the time to buy HEICO? Access our full analysis of the earnings results here, it’s free.
Weakest Q4: Boeing (NYSE: BA)
One of the companies that forms a duopoly in the commercial aircraft market, Boeing (NYSE: BA) develops, manufactures, and services commercial airplanes, defense products, and space systems.
Boeing reported revenues of $15.24 billion, down 30.8% year on year, falling short of analysts’ expectations by 6.4%. It was a disappointing quarter as it posted a significant miss of analysts’ adjusted operating income estimates.
Boeing delivered the slowest revenue growth in the group. As expected, the stock is down 24.8% since the results and currently trades at $131.75.
Read our full analysis of Boeing’s results here.
AAR (NYSE: AIR)
The first third-party MRO approved by the FAA for Safety Management System Requirements, AAR (NYSE: AIR) is a provider of aircraft maintenance services
AAR reported revenues of $678.2 million, up 19.5% year on year. This number missed analysts’ expectations by 2.8%. More broadly, it was a satisfactory quarter as it also produced an impressive beat of analysts’ adjusted operating income.
The stock is down 29.2% since reporting and currently trades at $48.32.
Read our full, actionable report on AAR here, it’s free.
Woodward (NASDAQ: WWD)
Initially designing controls for water wheels in the early 1900s, Woodward (NASDAQ: WWD) designs, services, and manufactures energy control products and optimization solutions.
Woodward reported revenues of $772.7 million, down 1.8% year on year. This result met analysts’ expectations. Taking a step back, it was a slower quarter as it produced a significant miss of analysts’ adjusted operating income estimates and a slight miss of analysts’ organic revenue estimates.
The stock is down 23.9% since reporting and currently trades at $143.01.
Read our full, actionable report on Woodward here, it’s free.
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