Latest dividend announcement
BWX Technologies, Inc. (NYSE: BWXT) has raised its quarterly dividend to $0.27 per share. The new distribution marks an 8% increase from the previous quarterly dividend of $0.25. The company continues its established capital allocation strategy focused on disciplined growth investments and consistent shareholder returns.
Details of the dividend distribution
BWXT will pay the $0.27 quarterly dividend on March 27, 2026. Shareholders of record as of March 11, 2026, will receive the payment. The stock will trade ex-dividend on March 11.
On an annualized basis, the new dividend amounts to $1.08 per share. Based on the current share price of $202.67, this implies a forward dividend yield of approximately 0.54%. While the yield remains modest, the increase confirms management’s commitment to progressive dividend growth.
The previous annualized dividend rate stood at $1.00 per share. The step-up to $1.08 reflects incremental growth aligned with earnings expansion and free cash flow generation.
Relevant valuation metrics
BWXT currently carries a market capitalization of approximately $18.5 billion. The company trades at a forward P/E ratio of 39.8, based on forward earnings per share of $5.09. The trailing P/E stands significantly higher at 60.9, reflecting strong price appreciation and earnings normalization effects.
Revenue totals roughly $3.06 billion, with year-over-year revenue growth of 28.9%. EBITDA amounts to approximately $432 million, resulting in an EBITDA margin of 14.1%. However, the enterprise value to EBITDA multiple of 45.3 indicates a premium valuation relative to many aerospace and defense peers.
Free cash flow stands at roughly $273 million. With an annual dividend commitment of about $100 million, the implied free cash flow payout ratio remains near 37%. The reported earnings payout ratio of 29.6% confirms conservative coverage. These metrics provide a solid buffer for future dividend increases and debt servicing.
BWXT reports total debt of about $1.51 billion and total cash of nearly $80 million. While leverage increased following acquisitions, earnings growth of 17.3% and quarterly earnings growth of 18.2% support balance sheet stability.
Dividend history and sustainability
BWXT demonstrates a consistent dividend track record. The company has paid uninterrupted dividends for 13 consecutive years and has increased its dividend for 10 consecutive years.
Quarterly dividends have risen steadily from $0.0572 in 2012 to $0.27 today. More recently, the dividend increased from $0.24 in 2024 to $0.25 in 2025 and now to $0.27 in 2026. This progression reflects disciplined capital allocation and predictable cash generation.
The moderate payout ratio below 30% of earnings enhances sustainability. The combination of earnings growth, backlog visibility in government nuclear programs, and recurring defense contracts supports further increases, even if growth moderates.
Outlook for long-term investors
BWXT operates in structurally attractive markets. Defense modernization, nuclear propulsion demand, and nuclear energy investments create durable revenue streams. Revenue growth near 29% and double-digit earnings expansion underline operating momentum.
However, the valuation embeds high expectations. A forward P/E near 40 and EV/EBITDA above 45 require continued execution. Dividend investors must therefore balance quality and growth against premium pricing.
For long-term income-oriented investors, BWXT offers a low-yield but high-growth dividend profile. The company prioritizes dividend growth over headline yield. Investors seeking compounding dividend increases may find the current payout structure attractive.
A brief company profile
BWX Technologies, Inc., headquartered in the United States, operates within the aerospace and defense industry. The company develops and manufactures nuclear components, naval propulsion systems, and advanced nuclear technologies. It serves U.S. government agencies, defense contractors, and commercial nuclear customers. With a beta of 0.83, the stock exhibits below-market volatility, which may appeal to risk-conscious long-term investors.
last quarterly report*
BWX Technologies reported strong full-year 2025 results, highlighted by revenue growth, higher earnings, solid free cash flow expansion, and a dividend increase.
For 2025, revenue rose 18% year over year to $3.20 billion, driven by growth in both Government and Commercial Operations (page 2). Commercial revenue increased 63% for the full year, reflecting strength in nuclear components, fuel handling, medical sales, and acquisitions. Backlog reached $7.26 billion, up 50% year over year (page 18), supporting multi-year revenue visibility.
Diluted GAAP EPS increased 17% to $3.58, while non-GAAP EPS rose 20% to $4.01 (pages 1 and 2). Net income grew to $329.9 million, up from $282.3 million in 2024 (page 2). Adjusted EBITDA increased 15% to $574.3 million, demonstrating operating leverage and improved profitability (page 2, 10).
Cash generation improved on a full-year basis. Operating cash flow increased to $479.8 million from $408.4 million (page 2, 12). Free cash flow rose 16% to $295.3 million (page 12). Capital expenditures increased to $184.6 million as the company invested in growth and facility expansion (page 12). Free cash flow comfortably covered dividends of $92.5 million for the year, implying a payout ratio of roughly 31% of free cash flow, leaving room for reinvestment and debt service.
On the balance sheet, total assets increased significantly to $4.27 billion from $2.87 billion, largely reflecting acquisitions and higher goodwill and intangibles (page 16). Long-term debt increased to $2.02 billion from $1.04 billion (page 17), partly due to acquisition financing and convertible note issuance (page 15). Despite higher leverage, strong EBITDA and cash flow generation support debt servicing capacity.
Dividend payments totaled $0.25 per share in the fourth quarter of 2025 (page 3). On February 18, 2026, the board declared a quarterly dividend of $0.27 per share, payable March 27, 2026 (page 3). This represents an 8% increase quarter over quarter. Based on 2025 non-GAAP EPS of $4.01 and the new annualized dividend rate of $1.08 per share, the forward earnings payout ratio is approximately 27%, indicating a conservative and sustainable dividend profile.
For 2026, management guided for revenue of approximately $3.75 billion, non-GAAP EPS of $4.55–$4.70, adjusted EBITDA of $645–$660 million, and free cash flow of $305–$320 million (page 4). This outlook implies continued earnings and cash flow growth, supporting further dividend stability and potential increases.
Overall, BWX Technologies delivered strong earnings growth, expanding backlog, improving free cash flow, and a dividend increase. While leverage has risen due to acquisitions, cash flow coverage remains solid. For dividend-focused investors, the combination of moderate payout ratios, rising earnings guidance, and strong contract visibility supports an attractive long-term income growth profile.
*This is the latest quarterly report that the company has filed with the SEC.
Die Selektion dieser Aktie erfolgte zufällig aus einem breiten Spektrum an tagesaktuellen Börsenmitteilungen bezüglich angekündigter Dividendenzahlungen. Der vorliegende Beitrag zielt nicht auf eine qualitative Bewertung dieser dividendenstarken Aktie ab, sondern verfolgt einen rein deskriptiven Ansatz.
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