BWX Technologies, Inc. (BWXT) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

BWX Technologies, Inc. (BWXT) Industrial Operations Profile

BWX Technologies, Inc. (BWXT) is a leading manufacturer of nuclear components and a provider of related services, serving the U.S. government and commercial sectors. With a focus on nuclear operations, power, and services, BWXT delivers critical solutions for naval propulsion, power generation, and medical applications.

What Is the Investment Thesis for BWXT?

BWX Technologies presents a compelling, albeit high P/E, investment case driven by its unique position in the nuclear sector. With a market capitalization of $13.8B and a profit margin of 10.2%, BWXT benefits from long-term government contracts and increasing demand for nuclear energy solutions. Key value drivers include the ongoing Naval Nuclear Propulsion Program and expansion in the medical isotope market. Upcoming catalysts include potential new contracts for advanced reactor technologies. However, investors should be aware of risks such as regulatory changes and dependence on government funding. The company's beta of 0.79 suggests lower volatility compared to the broader market.

Based on FMP financials and quantitative analysis

BWXT Key Highlights

Market Cap of $13.8B reflects investor confidence in BWXT's market position.

• P/E ratio of 39.30 indicates a premium valuation, potentially reflecting high growth expectations.
• Profit Margin of 10.2% demonstrates solid profitability in the capital-intensive nuclear industry.
• Gross Margin of 22.6% shows the company's ability to manage production costs effectively.
• Dividend Yield of 0.50% provides a modest income stream for investors.

Who Are BWXT's Competitors?

BWXT is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance This table mixes two scoring engines — compare a number only with others carrying the same tag.

What Are BWXT's Key Strengths?

Strong relationships with the U.S. government.

• Specialized expertise in nuclear technologies.
• Diversified revenue streams across multiple segments.
• Proven track record of delivering critical nuclear components and services.

What Are BWXT's Weaknesses?

Dependence on government contracts.

• High capital expenditures.
• Exposure to regulatory changes.
• Limited geographic diversification.

What Could Drive BWXT Stock Higher?

Continued government funding for the Naval Nuclear Propulsion Program.

• Potential new contracts for advanced reactor technologies.
• Increasing demand for medical radioisotopes and radiopharmaceuticals.
• Favorable regulatory developments supporting nuclear energy.

What Are the Key Risks for BWXT?

Rich valuation — a P/E of 39.30 runs well above the Industrials sector’s ~28.00x, leaving little room for a miss.

• Insider selling — insiders were net sellers of roughly $4.7M recently.
• Changes in government spending priorities could impact revenue.
• Regulatory changes could increase compliance costs.
• Technological obsolescence could reduce demand for existing products.
• Competition from other nuclear service providers could erode market share.
• Geopolitical risks could disrupt international operations.

What Are the Growth Opportunities for BWXT?

• Expansion in Naval Nuclear Propulsion Program: BWXT benefits from the ongoing and expanding Naval Nuclear Propulsion Program, which provides a stable revenue stream. As the U.S. Navy modernizes its fleet, demand for BWXT's nuclear components and reactors is expected to increase. This program represents a significant portion of BWXT's revenue and offers long-term growth potential, with contracts extending several years into the future. The market size for naval nuclear propulsion is estimated to be in the billions of dollars annually.
• Growth in Medical Radioisotopes: BWXT is expanding its production and supply of medical radioisotopes and radiopharmaceuticals used in diagnostic and therapeutic applications. The demand for these isotopes is growing due to advancements in nuclear medicine and the increasing prevalence of diseases requiring nuclear imaging and treatment.
• Development of Advanced Reactor Technologies: BWXT is actively involved in the development of advanced reactor technologies, including small modular reactors (SMRs) and microreactors. These technologies offer potential for distributed power generation and specialized applications, such as powering remote locations or military bases. As governments and industries seek cleaner and more efficient energy sources, BWXT's expertise in advanced reactors could drive significant growth. The SMR market alone is projected to be worth billions of dollars by 2030.
• Nuclear Services and Environmental Remediation: BWXT's Nuclear Services Group provides environmental site restoration and nuclear materials processing services. With aging nuclear facilities requiring decommissioning and environmental remediation, BWXT is well-positioned to secure contracts for these services. Government initiatives to clean up legacy nuclear sites and manage nuclear waste will drive demand for BWXT's expertise in this area. The market for nuclear services and environmental remediation is substantial and offers long-term growth opportunities.
• International Expansion: BWXT has opportunities to expand its international presence by providing nuclear components and services to countries seeking to develop or enhance their nuclear capabilities. As more countries explore nuclear energy as a means of reducing carbon emissions, BWXT can leverage its expertise and experience to secure international contracts. This expansion could involve supplying nuclear fuel, reactor components, or providing engineering and consulting services. The international market for nuclear technologies and services represents a significant growth opportunity for BWXT.

What Are BWXT's Competitive Advantages?

• High barriers to entry due to stringent regulations and capital requirements.
• Long-standing relationships with the U.S. government and other key customers.
• Specialized expertise in nuclear technologies and services.
• Proprietary technologies and intellectual property.

What Does BWXT Do?

BWX Technologies, Inc., originally founded in 1867 as The Babcock & Wilcox Company, has evolved into a specialized manufacturer of nuclear components and provider of related services. Headquartered in Lynchburg, Virginia, BWXT operates across three key segments: Nuclear Operations Group, Nuclear Power Group, and Nuclear Services Group. The Nuclear Operations Group focuses on providing precision naval and critical nuclear components, reactors, nuclear fuel, and assemblies primarily for the U.S. Department of Energy/National Nuclear Security Administration's Naval Nuclear Propulsion Program. This segment also manufactures missile launch tubes for U.S. Navy submarines and converts Cold War-era government stockpiles of high-enriched uranium. The Nuclear Power Group offers commercial nuclear steam generators, nuclear fuel, pressure vessels, and reactor components, along with engineering and in-plant services for nuclear power plants. This segment also supplies medical radioisotopes and radiopharmaceuticals. The Nuclear Services Group provides nuclear materials processing, environmental site restoration, and management and operating services, as well as designs and manufactures nuclear reactors. BWXT's operations extend across the United States, Canada, and internationally, positioning it as a key player in the nuclear industry.

What Products and Services Does BWXT Offer?

• Manufactures precision naval nuclear components for the U.S. Navy.
• Produces nuclear fuel and assemblies for reactors.
• Provides commercial nuclear steam generators and reactor components.
• Offers engineering and in-plant services for nuclear power plants.
• Supplies medical radioisotopes and radiopharmaceuticals.
• Provides nuclear materials processing and environmental site restoration services.
• Designs, engineers, and manufactures nuclear reactors.

How Does BWXT Make Money?

• BWXT generates revenue through long-term contracts with the U.S. government for nuclear components and services.
• The company sells commercial nuclear steam generators, fuel, and related services to nuclear power plants.
• BWXT produces and sells medical radioisotopes and radiopharmaceuticals to healthcare providers.
• The company provides nuclear materials processing and environmental site restoration services on a contract basis.

What Industry Does BWXT Operate In?

BWX Technologies operates within the aerospace and defense industry, specifically focusing on the nuclear components and services sector. The industry is characterized by high barriers to entry due to stringent regulations and significant capital requirements. The market is influenced by government spending on defense and energy, as well as the growing demand for nuclear energy as a cleaner alternative to fossil fuels. BWXT competes with companies like Curtiss-Wright Corporation (CW) and Elbit Systems Ltd. (ESLT), but differentiates itself through its specialization in nuclear solutions and long-standing relationships with government agencies.

Who Are BWXT's Key Customers?

• United States Department of Energy/National Nuclear Security Administration.
• United States Navy.
• Commercial nuclear power plants.
• Hospitals and medical research institutions.

BWX Technologies, Inc. (BWXT) Valuation Context

Valued at $13.8B, BWXT is classified as a large-cap stock. Analyst price targets span from $170.00 to $255.00, with a consensus of $210.60. At the current price of $150.12, that implies approximately 40% upside potential. Relative to its peer group, BWXT's quantitative score of 60/100 is roughly in line with the peer average of 65/100.

BWXT Revenue & Earnings Trend

In Q2 FY2026, BWXT generated $901.6M in top-line revenue, marking a sequential increase of 4.7%. The company recorded net income of $89.0M, with diluted EPS of $0.97. Quarter-over-quarter revenue has been mixed, typical for a large-cap company operating in Industrials. Across the four most recent quarters, BWXT averaged $0.97 in diluted EPS.

Company Profile

BWX Technologies, Inc. operates in the Aerospace & Defense industry within the Industrials sector. It is headquartered in Lynchburg, US. The company is led by CEO Rex D. Geveden. BWXT has traded publicly since 2010.

Return on equity for BWX Technologies, Inc. stands at 27.9%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 8.0%, showing how much profit it generates from its asset base. BWXT trades at a trailing price-to-earnings ratio of 39.30, above the Industrials sector average of ~28.00x. Its free cash flow yield is 1.8%, a gauge of the cash the business throws off relative to its market value. A current ratio of 2.40 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 1.9%, the inverse of the P/E and a quick read on earnings relative to price.

BWX Technologies, Inc.'s Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 5.02 places it in the safe zone, indicating low near-term bankruptcy risk.

BWX Technologies, Inc. has beaten Wall Street's EPS estimate in 8 of its last 8 reported quarters — a consistent record of delivering on expectations. Reported results have landed about 16.6% above estimates on average.

Over the past six months, BWX Technologies, Inc. insiders filed 64 SEC Form 4 transactions — 21 sales and 43 purchases. On net that is roughly 12K shares disposed (about $4.7M), a signal worth weighing alongside the fundamentals.

BWXT Financials

BWXT Latest News

BWXT Analyst Consensus

BWXT MoonshotScore

Latest BWX Technologies, Inc. Analysis

Related Investment Themes

BWX Technologies, Inc. Industrials Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

Official Resources