BWX Technologies to Report Q2 Results: What's in Store for the Stock?

BWX Technologies, Inc. (BWXT) is scheduled to report second-quarter 2025 results on Aug. 4, 2025, after market close.

BWXT’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 13.14%.

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

Revenues in BWXT’s Government Operations Likely to Drop

Higher manufacturing volume of nuclear components for U.S. Government programs is likely to have bolstered the overall top-line performance of BWXT’s Government Operations segment in the second quarter. Positive synergies from the acquisition of A.O.T are expected to also have contributed favorably to this unit’s revenues.

However, a decrease in revenues associated with this segment’s advanced technologies business is likely to have hurt the top line in the second quarter.

The Zacks Consensus Estimate for this segment’s second-quarter sales is pegged at $535.4 million, which indicates a decline of 1% from the prior-year number.

BWX Technologies, Inc. Price and EPS Surprise

BWX Technologies, Inc. price-eps-surprise | BWX Technologies, Inc. Quote

Expected Growth in BWXT’s Commercial Operations

Higher revenues generated from the sales of nuclear components, backed by strong demand for BWXT’s products from the commercial nuclear power and medical markets, are expected to have bolstered the top-line performance of its Commercial Operations segment. Contributions from the Kinectrics acquisition are also likely to have boosted this unit’s revenues.

The Zacks Consensus Estimate for this segment’s second-quarter sales is pegged at $165.5 million, which indicates an increase of 17% from the prior-year number.

Q2 Estimates for BWXT

With one of its major segments reflecting solid growth expectations for revenues, BWXT is expected to report notable growth in its top line.

The Zacks Consensus Estimate for BWXT’s second-quarter sales is pegged at $715.9 million, which indicates an increase of 5.1% from the prior-year number.

Rising labor costs and a shift in the business mix toward less mature, lower-margin programs are likely to have weighed on operating margins. This, along with a slight increase expected in the adjusted tax rate resulting from a geographical earnings mix shift toward Canada owing to a higher tax jurisdiction compared with the United States, is likely to have impacted the bottom-line performance in the second quarter of 2025. BWXT’s second-quarter results are also expected to reflect margin pressure in its CANDU Fuel business due to heightened inflation for specialized raw materials, which, in turn, is likely to have impacted its earnings.

The Zacks Consensus Estimate for BWXT’s second-quarter earnings is pegged at 79 cents per share, which indicates a year-over-year decline of 3.7%.

What the Zacks Model Unveils 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.

Earnings ESP: BWX Technologies has an Earnings ESP of +1.00%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Zacks Rank: BWXT currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Below, we have mentioned players from the same industry that have the right combination of elements to beat on earnings in the upcoming releases.

Axon Enterprise (AXON) is set to report second-quarter 2025 earnings on Aug. 4, 2025, after market close. It has an Earnings ESP of +0.54% and a Zacks Rank of 2 at present.

The Zacks Consensus Estimate for AXON’s earnings is pegged at $1.54 per share, indicating year-over-year growth of 28.3%. The consensus estimate for its sales is pegged at $643 million, indicating year-over-year growth of 27.6%.

CAE (CAE) is set to report its fiscal first-quarter 2026 results on Aug. 13, before market open. It has an Earnings ESP of +1.03% and a Zacks Rank of 3 at present.

The Zacks Consensus Estimate for CAE’s earnings is pegged at 15 cents per share. The consensus estimate for its sales is pegged at $810.1 million, indicating year-over-year growth of 3.4%.

Transdigm Group (TDG) is expected to report fiscal third-quarter earnings on Aug. 5, before market close. It has an Earnings ESP of +0.40% and carries a Zacks Rank of 2 at present.

The Zacks Consensus Estimate for TDG’s earnings is pegged at $9.78 per share, indicating year-over-year growth of 8.7%. The consensus estimate for sales is pegged at $2.30 billion, indicating year-over-year growth of 12.2%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research