BWX Stock Plunges 8%, Wiping Out $953 Million, As Company Launches Debt Offering
The nuclear components maker is selling $500 million of notes a day after it extended its credit line and reported quarterly results.
BWX Technologies, which makes nuclear components, reactors and fuel, fell 7.89% to $121.42 in Wednesday trading as of 1:00 p.m. ET, erasing $953 million in market value, after it launched a $500 million senior notes offering due 2034.
Notes follow a credit line extension
The unsecured notes are guaranteed by the company's wholly owned subsidiaries that are obligors under its existing credit agreement.
A day earlier, BWX disclosed in an 8-K that its $1.25 billion revolver now runs to November 10, 2031. It also eased a lender covenant that applies if the company earns investment-grade ratings.
The stock was on pace for its biggest one-day drop since February 4, when it fell 9.9%.
A down year despite solid results
BWX shares were down about 24% year to date at Tuesday's close, while the S&P 500 was up about 11%. They sat 45% below their highest close of the past year, set April 15.
The company's third-quarter revenue rose 10% to $953.0 million, and net income was $102.0 million in its earnings release. Adjusted EBITDA rose 19% to $179.7 million.
On Monday it tightened 2026 adjusted earnings-per-share guidance to $4.72-$4.77, from $4.70-$4.80. It also set free cash flow guidance at $350 million-$360 million and introduced a preliminary 2027 outlook of high-single-digit revenue growth.
Where the business stands
BWX's Government Operations segment builds naval nuclear components, reactors and fuel for the U.S. Navy's propulsion program. Its Commercial Operations segment makes equipment for nuclear utilities and medical radioisotopes. The U.S. Government made up about 68% of 2025 revenue, and backlog was about $7.26 billion at the end of 2025.
Commercial revenue grew 25% in the quarter and government revenue 4%. CEO Rex Geveden said the company is in the "early-stages of a multi-decadal investment cycle" as customers seek nuclear answers to economic, national and energy security challenges.
The company's reactor technology was selected for the U.S. Army's Janus Program at Fort Campbell, and for a transportable nuclear power plant project in Canada.
Sources
- BWX Technologies launches $500M senior notes offering due 2034 (BWXT:NYSE) | Seeking Alpha — seekingalpha.com
- BWXT Q3 Earnings Call Highlights 2027 Growth and Nuclear Demand — Yahoo Finance
- BWX Technologies (BWXT) Beats Q3 Earnings Estimates — Yahoo Finance
- BWX: Q3 Earnings Snapshot — Associated Press
- Why Is BWX Technologies (BWXT) Winning A $2.2 Billion Army Reactor Contract? — Yahoo Finance
- The company's filing (BWX Technologies) — SEC filing
- BWX Technologies — Form 10-Q for the quarter ended 2026-09-30 (quarterly results) — SEC EDGAR
- BWX Technologies — earnings release (Form 8-K, Item 2.02), filed 2026-11-02 — SEC EDGAR
