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Babcock International (GB:BAB)
LSE:BAB
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Babcock International (BAB) Price & Analysis

616 Followers

BAB Stock Chart & Stats

1255.50 p
-1.00 p(-0.20%)
At close: 4:00 PM EST
1255.50 p
-1.00 p(-0.20%)

Bulls Say, Bears Say

Bulls Say
Long-term Government Service ContractsA service-led model built on multi-year, government defence contracts delivers durable revenue visibility and high switching costs. This supports predictable backlog, recurring cash flows and planning for 2-6 months plus, reducing revenue volatility vs product-led cycles.
Diversified Sector Growth (Nuclear, Aviation, Marine)Material growth across Nuclear, Aviation and Marine spreads operational risk and creates multiple durable revenue engines. Strong organic gains and margin expansion in core sectors imply continued demand from infrastructure upgrades and contracted sustainment programs.
High Cash Conversion Enabling ReturnsAn 83% cash conversion and material free cash flow support sustainable capital allocation: reinvestment, dividends and buybacks. Strong operational cash generation underpins financial flexibility across cycles and funds strategic capacity expansions.
Bears Say
Modest Profitability MarginsRelatively low net and operating margins constrain the company's ability to absorb higher input or labor costs and to self-fund growth. In a service business with wage and contract pressures, modest margins limit long-term reinvestment and resilience to margin compression.
Declining Free Cash Flow And Moderate Cash GenerationA >20% fall in FCF and a low operating-cash-to-income ratio signal weakening conversion of profits into liquidity. That trend can constrain investment, limit flexibility for acquisitions or returns, and raise sensitivity to working-capital swings in multi-year service contracts.
Operational Exposure: Land Decline, Marine Order Risk, Labor AttritionAn 11% organic decline in Land, one-off marine order intake not expected to repeat, and labor shortages increase delivery risk. These structural operational issues can erode revenue stability and raise unit costs, pressuring margins over the medium term.

Babcock International News

BAB FAQ

What was Babcock International’s price range in the past 12 months?
Babcock International lowest share price was 934.76 p and its highest was 1527.00 p in the past 12 months.
    What is Babcock International’s market cap?
    Babcock International’s market cap is £5.07B.
      When is Babcock International’s upcoming earnings report date?
      Babcock International’s upcoming earnings report date is Jul 24, 2026 which is in 50 days.
        How were Babcock International’s earnings last quarter?
        Babcock International released its earnings results on Nov 21, 2025. The company reported 0.28 p earnings per share for the quarter, beating the consensus estimate of 0.26 p by 0.02 p.
          Is Babcock International overvalued?
          According to Wall Street analysts Babcock International’s price is currently Undervalued. Get more investment ideas with TipRanks Premium
            Does Babcock International pay dividends?
            Babcock International pays a Quarterly dividend of 2.5 p which represents an annual dividend yield of 0.56%. See more information on Babcock International dividends here
              What is Babcock International’s EPS estimate?
              Babcock International’s EPS estimate is 0.25.
                How many shares outstanding does Babcock International have?
                Babcock International has 490,445,500 shares outstanding.
                  What happened to Babcock International’s price movement after its last earnings report?
                  Babcock International reported an EPS of 0.28 p in its last earnings report, beating expectations of 0.26 p. Following the earnings report the stock price went up 1.77%.
                    Which hedge fund is a major shareholder of Babcock International?
                    Currently, no hedge funds are holding shares in GB:BAB
                    What is the TipRanks Smart Score and how is it calculated?
                    Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                      Babcock International Stock Smart Score

                      Company Description

                      Babcock International

                      Babcock International Group PLC, together with its subsidiaries, provides value-add services for aerospace, defense, and security in the United Kingdom, rest of Europe, Africa, North America, Australasia, and internationally. The company operates through four segments: Marine, Nuclear, Land, and Aviation. It designs, procures, operates, and manages critical utility and process equipment; offers asset management, defense and maritime training, information and intelligence, equipment and system, and facilities and infrastructure services, as well as naval platforms; and designs, manufactures, and provides through-life support for mechanical and electrical systems and equipment. The company also offers naval architecture, engineering, and project management services; submarines and complex engineering services in support of various decommissioning programs and projects, training and operation support, new build program management, and design and installation; critical vehicle fleet management, and equipment support and training services for military and civil customers; and designs, assesses, manufactures, installs, maintains, and decommissions vehicles for police, fire and ambulance, civil service, military, and other security-focused organizations. In addition, it provides plain line track renewal services; and engineering services for track projects, signaling, telecommunications, and on-track plants. Further, the company offers critical engineering services to defense and civil customers, including pilot training, equipment support, and airbase management, as well as operates aviation fleets that provide delivering emergency services. Babcock International Group PLC was founded in 1891 and is headquartered in London, the United Kingdom.

                      Babcock International (BAB) Earnings & Revenues

                      BAB Stock 12 Month Forecast

                      Average Price Target

                      1,429.67 p
                      ▲(13.87% Upside)
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