BA:LSE-BAE Systems plc (GBX)

COMMON STOCK | Aerospace & Defense | LSE

Last Closing Price

GBX 755.20

Change

-2.80 (-0.37)%

Market Cap

GBX 23.83B

Volume

5.57M

Avg Analyst Target

GBX 709.38 (-6.07%)

Avg User Target

GBX
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict


BAE Systems plc (BA) Stock Analysis:
Based on the BAE Systems plc stock forecasts from 6 analysts, the average analyst target price for BAE Systems plc is GBX 709.38 over the next 12 months. BAE Systems plc’s average analyst rating is Buy . Stock Target Advisor’s own stock analysis of BAE Systems plc is Bullish , which is based on 13 positive signals and 4 negative signals. At the last closing, BAE Systems plc’s stock price was GBX 755.20. BAE Systems plc’s stock price has changed by +1.40% over the past week, -1.33% over the past month and +45.12% over the last year.

About

BAE Systems plc provides defense, aerospace, and security solutions worldwide. The company operates through five segments: Electronic Systems, Cyber & Intelligence, Platforms & Services (US), Air, and Maritime. The Electronic Systems segment offers electronic warfare systems, nav ...Read More

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2022-05-18 )

Largest Industry Peers for Aerospace & Defense

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
BOE:LSE The Boeing Company

+3.32 (+2.59%)

GBX74.69B N/A N/A
RR:LSE Rolls-Royce Holdings plc

+3.57 (+4.40%)

GBX6.67B 56.91 12.37
MGGT:LSE Meggitt PLC

+5.00 (+0.65%)

GBX6.05B 193.25 27.02
ULE:LSE Ultra Electronics Holdings plc

+72.00 (+2.20%)

GBX2.32B 34.52 17.83
QQ:LSE QinetiQ Group plc

+4.80 (+1.33%)

GBX2.08B 28.13 11.17
CHG:LSE Chemring Group PLC

-2.50 (-0.70%)

GBX1.01B 24.79 13.61
SNR:LSE Senior plc

+4.00 (+3.13%)

GBX0.55B 22.81 8.50
AVON:LSE Avon Protection plc

+20.00 (+1.68%)

GBX0.36B 2.45 9.03
CHRT:LSE Cohort plc

+17.00 (+3.37%)

GBX0.22B 46.99 10.62
MSI:LSE MS INTERNATIONAL plc

N/A

GBX0.04B 15.89 5.61

ETFs Containing BA

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Aerospace & Defense)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 37.36% 92% A- 96% A
Dividend Return 0.03% 100% A+ 59% F
Total Return 37.39% 100% A+ 96% A
Trailing 12 Months  
Capital Gain 45.29% 75% C 94% A
Dividend Return 0.05% 86% B 62% D-
Total Return 45.33% 75% C 94% A
Trailing 5 Years  
Capital Gain 18.00% 50% F 59% F
Dividend Return 14.19% 90% A- 75% C
Total Return 32.19% 67% D+ 65% D
Average Annual (5 Year Horizon)  
Capital Gain 1.38% 33% F 31% F
Dividend Return 3.81% 100% A+ 85% B
Total Return 5.19% 33% F 41% F
Risk Return Profile  
Volatility (Standard Deviation) 17.46% 100% A+ 63% D
Risk Adjusted Return 29.71% 42% F 50% F
Market Capitalization 23.83B 92% A- 91% A-
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Aerospace & Defense)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 13.80 82% B- 57% F
Price/Book Ratio 3.16 18% F 22% F
Price / Cash Flow Ratio 9.74 77% C+ 42% F
EV/EBITDA 8.59 82% B- 54% F
Management Effectiveness  
Return on Equity 30.38% 100% A+ 70% C-
Return on Invested Capital 18.19% 92% A- 84% B
Return on Assets 4.22% 77% C+ 57% F
Debt to Equity Ratio 61.92% 9% F 33% F
Technical Ratios  
Dividend Yield 3.39% 80% B- 64% D
Short Ratio N/A N/A N/A N/A N/A
Short Percent N/A N/A N/A N/A N/A
Beta 0.91 54% F 63% D
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (GBX)

Quarterly Financials (GBX)

Analyst Ratings

Target Price Action Rating Action Analyst Rating Price Date

Discussions

User / Independent Analyst Ratings

User Name Target Rating Target Horizon (Months) Target Price User Analysis Date Comment

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior total returns

The stock has outperformed its sector peers on average annual total returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile.

Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced on cashflow basis

The stock is trading low compared to its peers on a price to cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Underpriced on free cash flow basis

The stock is trading low compared to its peers on a price to free cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior Earnings Growth

This stock has shown top quartile earnings growth in the previous 5 years compared to its sector.

High Gross Profit to Asset Ratio

This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

What to not like:
Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.