Babcock & Wilcox Enterprises (BW)
Market Price (12/4/2025): $6.46 | Market Cap: $637.7 MilSector: Industrials | Industry: Industrial Machinery & Supplies & Components
Babcock & Wilcox Enterprises (BW)
Market Price (12/4/2025): $6.46Market Cap: $637.7 MilSector: IndustrialsIndustry: Industrial Machinery & Supplies & Components
Investment Highlights
Why It Matters
Which of these 2 stories sounds closer for this stock?
1. Generates cash flow
The stock generated 4% or more of the share price (called cash flow yield), and shows moderate 10-15% or more growth.
2. Riding a trend
Think Tesla during the pandemic of 2020 when EVs were riding a cultural high, or Nvidia in the current AI boom, or even Figma. These companies don’t have enough yield, or, enough growth, or both - however - they are riding a trend. They have momentum. These can be more volatile - they don’t have the floor of strong cash flow
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 18% | Weak multi-year price returns3Y Excs Rtn is -27% | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 521% |
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -39% | Stock price has recently run up significantly6M Rtn6 month market price return is 695%, 12M Rtn12 month market price return is 238% | |
| Megatrend and thematic driversMegatrends include Circular Economy & Recycling, Sustainable Infrastructure, and Hydrogen Economy. Themes include Waste-to-Energy Solutions, Show more. | Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -5.4%, Rev Chg QQuarterly Revenue Change % is -4.9% | |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -21%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -23% | ||
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -161% | ||
| High stock price volatilityVol 12M is 152% |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 18% |
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -39% |
| Megatrend and thematic driversMegatrends include Circular Economy & Recycling, Sustainable Infrastructure, and Hydrogen Economy. Themes include Waste-to-Energy Solutions, Show more. |
| Weak multi-year price returns3Y Excs Rtn is -27% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 521% |
| Stock price has recently run up significantly6M Rtn6 month market price return is 695%, 12M Rtn12 month market price return is 238% |
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -5.4%, Rev Chg QQuarterly Revenue Change % is -4.9% |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -21%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -23% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -161% |
| High stock price volatilityVol 12M is 152% |
Valuation, Metrics & Events
BW Stock
Why The Stock Moved
Qualitative Assessment
AI Generated Analysis | Feedback
Here are five key points highlighting why Babcock & Wilcox Enterprises (BW) stock moved by approximately 188% from August 31, 2025, to December 4, 2025:
1. Strong Q2 2025 Financial Results and Growing Demand from AI/Data Centers. Babcock & Wilcox Enterprises reported improved second-quarter 2025 results on August 11, 2025, with a 31% increase in Global Parts & Services revenues attributed to higher baseload generation usage and demand from artificial intelligence (AI) and data centers. The company also reported adjusted EBITDA that significantly exceeded street expectations. This performance highlighted B&W's strategic position to capitalize on the increasing global demand for power.
2. Strategic Asset Sale and Proactive Debt Management. On August 30, 2025, the company completed the sale of its Diamond Power International business for $177 million, which positively impacted investor sentiment and enhanced its cash flow. Simultaneously, B&W announced cash tender offers totaling $70 million for senior notes, signaling a proactive approach to debt reduction and balance sheet strengthening.
Stock Movement Drivers
Return vs. Risk
Price Returns Compared
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| BW Return | -4% | 157% | -36% | -75% | 12% | 281% | 72% |
| Peers Return | 55% | 28% | 121% | 23% | -11% | 32% | 534% |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 16% | 112% |
Monthly Win Rates [3] | |||||||
| BW Win Rate | 58% | 50% | 33% | 33% | 33% | 60% | |
| Peers Win Rate | 54% | 40% | 54% | 44% | 38% | 45% | |
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 70% | |
Max Drawdowns [4] | |||||||
| BW Max Drawdown | -78% | -5% | -55% | -83% | -46% | -84% | |
| Peers Max Drawdown | -69% | -36% | -9% | -25% | -40% | -43% | |
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | |
[1] Cumulative total returns since the beginning of 2020
[2] Peers: TTI, NGS, BWEN, KLXE, ADVEN. See BW Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 12/3/2025 (YTD)
How Low Can It Go
| Event | BW | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -90.1% | -25.4% |
| % Gain to Breakeven | 908.1% | 34.1% |
| Time to Breakeven | Not Fully Recovered days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -83.7% | -33.9% |
| % Gain to Breakeven | 514.8% | 51.3% |
| Time to Breakeven | 307 days | 148 days |
| 2018 Correction | ||
| % Loss | -98.7% | -19.8% |
| % Gain to Breakeven | 7584.8% | 24.7% |
| Time to Breakeven | Not Fully Recovered days | 120 days |
Compare to TTI, NGS, BWEN, KLXE, ADVEN
In The Past
Babcock & Wilcox Enterprises's stock fell -90.1% during the 2022 Inflation Shock from a high on 11/17/2021. A -90.1% loss requires a 908.1% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth over time.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
Latest Trefis Analyses
| Title | |
|---|---|
| ARTICLES |
Trade Ideas
Select past ideas related to BW. For more, see Trefis Trade Ideas.
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 11212025 | CNM | Core & Main | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 7.3% | 7.3% | -1.6% |
| 11212025 | VRRM | Verra Mobility | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 2.3% | 2.3% | -1.2% |
| 11212025 | LII | Lennox International | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | 4.8% | 4.8% | 0.0% |
| 11212025 | ADP | Automatic Data Processing | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 1.6% | 1.6% | -1.2% |
| 11212025 | CW | Curtiss-Wright | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | 2.2% | 2.2% | 0.0% |
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 11212025 | CNM | Core & Main | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 7.3% | 7.3% | -1.6% |
| 11212025 | VRRM | Verra Mobility | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 2.3% | 2.3% | -1.2% |
| 11212025 | LII | Lennox International | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | 4.8% | 4.8% | 0.0% |
| 11212025 | ADP | Automatic Data Processing | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 1.6% | 1.6% | -1.2% |
| 11212025 | CW | Curtiss-Wright | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | 2.2% | 2.2% | 0.0% |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons for Babcock & Wilcox Enterprises
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 6.43 |
| Mkt Cap | 0.4 |
| Rev LTM | 601 |
| Op Inc LTM | 36 |
| FCF LTM | -21 |
| FCF 3Y Avg | -1 |
| CFO LTM | 24 |
| CFO 3Y Avg | 44 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 0.2% |
| Rev Chg 3Y Avg | 6.4% |
| Rev Chg Q | 7.5% |
| QoQ Delta Rev Chg LTM | 1.8% |
| Op Mgn LTM | 6.0% |
| Op Mgn 3Y Avg | 3.0% |
| QoQ Delta Op Mgn LTM | -0.3% |
| CFO/Rev LTM | 3.6% |
| CFO/Rev 3Y Avg | 7.5% |
| FCF/Rev LTM | -5.9% |
| FCF/Rev 3Y Avg | -0.7% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 0.4 |
| P/S | 0.3 |
| P/EBIT | 9.2 |
| P/E | -0.5 |
| P/CFO | 1.5 |
| Total Yield | -5.3% |
| Dividend Yield | 0.0% |
| FCF Yield 3Y Avg | -23.0% |
| D/E | 1.0 |
| Net D/E | 1.0 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 20.6% |
| 3M Rtn | 54.9% |
| 6M Rtn | 87.0% |
| 12M Rtn | 64.6% |
| 3Y Rtn | 76.5% |
| 1M Excs Rtn | 20.7% |
| 3M Excs Rtn | 52.3% |
| 6M Excs Rtn | 72.3% |
| 12M Excs Rtn | 53.6% |
| 3Y Excs Rtn | 16.4% |
Comparison Analyses
Returns Analyses
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 6302025 | 8112025 | 10-Q 6/30/2025 |
| 3312025 | 5122025 | 10-Q 3/31/2025 |
| 12312024 | 3312025 | 10-K 12/31/2024 |
| 9302024 | 11122024 | 10-Q 9/30/2024 |
| 6302024 | 8082024 | 10-Q 6/30/2024 |
| 3312024 | 5092024 | 10-Q 3/31/2024 |
| 12312023 | 3152024 | 10-K 12/31/2023 |
| 9302023 | 11092023 | 10-Q 9/30/2023 |
| 6302023 | 8082023 | 10-Q 6/30/2023 |
| 3312023 | 5102023 | 10-Q 3/31/2023 |
| 12312022 | 3162023 | 10-K 12/31/2022 |
| 9302022 | 11082022 | 10-Q 9/30/2022 |
| 6302022 | 8082022 | 10-Q 6/30/2022 |
| 3312022 | 5092022 | 10-Q 3/31/2022 |
| 12312021 | 3082022 | 10-K 12/31/2021 |
| 9302021 | 11102021 | 10-Q 9/30/2021 |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |