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BWX Technologies, Inc. BWXT is scheduled to report fourth-quarter 2024 results after market close on Feb. 24.
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The Zacks Consensus Estimate for fourth-quarter earnings is pinned at 82 cents per share, indicating a decline of 18.8% from the year-ago quarter, unchanged over the past 60 days. The consensus mark for revenues is pegged at $738 million, suggesting a 1.7% increase from the year-ago quarter.
BWXT’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 9.1%.
BWX Technologies, Inc. Price and EPS Surprise
BWX Technologies, Inc. price-eps-surprise | BWX Technologies, Inc. Quote
Factors Likely to Influence BWXT’s Q4 Results
BWXT’s fourth-quarter performance is likely to have benefited from the strong demand across the global security, clean energy and medical markets. Growing global demand for clean energy solutions, particularly nuclear power across private industries, is expected to have aided top-line growth.
BWX Technologies' strong position in the nuclear technology sector, especially with its government contracts for defense and naval applications, is likely to have driven its prospects in the quarter to be reported. Defense-related ongoing projects, such as Pele on land and DRACO in space, are expected to have driven its growth in the fourth quarter.
Strong momentum in the naval nuclear propulsion business, enhanced by the growth in microreactors, special materials and technical services, is expected to have a positive impact on its fourth-quarter performance.
Strength in its existing diagnostics portfolio and expansion of products in key cancer therapeutics is likely to have benefited its Medical segment. BWXT’s recent partnership with North Star to provide processing and purification services to develop radium-226 g, which will be utilized in North Star's Electronic accelerator to produce actinium-225, might have further boosted its sales in the quarter under review.
However, headwinds from the shutdown of the Navy Fuel processing facility and the U-metal construction project, both located in East Tennessee, for three weeks due to flooding and widespread power outages are likely to have offset the benefits of the aforementioned factors. Moreover, macroeconomic challenges and geopolitical tensions are expected to have softened BWXT’s performance in the fourth quarter.
Earnings Whispers for BWX Technologies
Our proven model does not conclusively predict an earnings beat for BWX Technologies this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.