GET DAILY SIGNALSCurtiss-Wright (CW) Delivers Another Earnings Beat and Raises 2026 Guidance
Key Takeaways
- Curtiss-Wright posted third quarter 2026 sales of $952.6 million, up 9.6% year over year and above the consensus estimate of roughly $935 million.
- Adjusted diluted EPS (earnings per share) rose 16% to $3.94, topping analyst expectations of approximately $3.76.
- Adjusted operating income climbed 11% to $189 million, while operating margin held steady at 19.7% compared with the prior-year quarter.
- New orders increased 15% to about $1.1 billion, reflecting continued strong demand across the company's aerospace and defense markets.
- Management raised full-year 2026 guidance across sales, operating income, operating margin, adjusted EPS, and free cash flow.
Why These Results Stand Out
Curtiss-Wright Corporation is a diversified aerospace, defense, and industrial technology company whose results serve as a useful barometer for global defense spending and commercial nuclear demand. The third quarter report carries added significance because the company has now beaten consensus EPS estimates for eight consecutive quarters. Strong order momentum and a growing backlog across naval defense, defense electronics, and commercial nuclear markets have supported multiple guidance increases through 2026. This quarter's results help confirm whether that durable demand is translating into profitability and whether management's full-year targets remain credible heading into the final quarter of the year. I also checked this using Tickeron's AI Screener to see how the stock compares to others in the industry.
Breaking Down the Reported Results
Curtiss-Wright reported third quarter 2026 sales of $952.6 million, an increase of 9.6% from the $869.2 million recorded in the same period a year earlier and ahead of the consensus estimate of approximately $935 million. Adjusted (non-GAAP) diluted EPS, which excludes restructuring costs and certain purchase accounting items, rose 16% to $3.94, exceeding analyst expectations of about $3.76. Adjusted operating income increased 11% to $189 million, while operating margin came in at 19.7%, in line with the prior-year quarter. New orders climbed 15% to roughly $1.1 billion.
Management also raised its full-year 2026 outlook. The company now expects sales growth of 8% to 10%, operating income growth of 12% to 14%, an operating margin of 19.2% to 19.4%, adjusted diluted EPS of $15.40 to $15.60, and free cash flow (FCF) of $595 million to $615 million.
Market Reaction and Investor Sentiment
The market has responded to CW's results against a backdrop of heightened attention on defense and commercial nuclear demand. By beating both revenue and adjusted EPS estimates while raising full-year guidance, the company reinforced the view that its order book remains robust across aerospace and defense (A&D) end markets. The double-digit growth in orders was a key positive signal, suggesting momentum may extend beyond the current quarter. Sentiment heading into the report had reflected some caution after a period of share-price weakness, so the guidance raise and broad-based strength provided a clearer read on underlying execution.
Forward Outlook and Factors to Monitor
Looking ahead, investors will focus on whether Curtiss-Wright can sustain its order momentum and convert a growing backlog into revenue. The company's raised guidance points to continued double-digit operating income growth, but the path will depend on execution across its three segments and on timing within major naval and defense programs.
Several factors are worth watching. First, the pace of submarine-related production on programs such as Virginia-class and Columbia-class vessels remains a key driver of the Naval & Power segment. Second, defense electronics demand and tactical communications timing will influence how quickly strong order intake flows through to revenue.
On the commercial side, commercial nuclear solutions and the gradual ramp of advanced reactor projects represent a longer-term catalyst, while general industrial markets remain more cautious. Margin expansion and free cash flow conversion will also be closely monitored as management invests in research and development while pursuing its restructuring initiatives. A planned investor day in the second quarter of 2027 is expected to provide updated long-term financial targets. From what I see, the consistency in execution is what keeps drawing attention to this name.
Enhancing My Research with Tickeron Tools
I frequently rely on Tickeron's AI Screener when evaluating names like CW to quickly surface comparable opportunities and emerging signals in the aerospace and defense sector. The tool helps filter by technical patterns, fundamentals, and performance metrics in a structured way that saves time compared with manual screening.
Disclaimer
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Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
CW sees its Stochastic Oscillator ascending out of oversold territory
On October 27, 2026, the Stochastic Oscillator for CW moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 48 instances where the indicator left the oversold zone. In 38 of the 48 cases the stock moved higher in the following days. This puts the odds of a move higher at over 79%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where CW's RSI Indicator exited the oversold zone, 8 of 13 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 62%.
The Moving Average Convergence Divergence (MACD) for CW just turned positive on October 28, 2026. Looking at past instances where CW's MACD turned positive, the stock continued to rise in 31 of 48 cases over the following month. The odds of a continued upward trend are 65%.
Following a +4.57% 3-day Advance, the price is estimated to grow further. Considering data from situations where CW advanced for three days, in 255 of 374 cases, the price rose further within the following month. The odds of a continued upward trend are 68%.
CW may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on November 04, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on CW as a result. In 57 of 98 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 58%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CW declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 50%.
The Aroon Indicator for CW entered a downward trend on November 04, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 47 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 47 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 78, placing this stock slightly better than average.
The Tickeron Valuation Rating of 74 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (6.029) is normal, around the industry mean (5.045). P/E Ratio (30.947) is within average values for comparable stocks, (17.993). Projected Growth (PEG Ratio) (1.650) is also within normal values, averaging (3.110). Dividend Yield (0.002) settles around the average of (0.058) among similar stocks. P/S Ratio (5.811) is also within normal values, averaging (18.367).
The Tickeron Price Growth Rating for this company is 76 (best 1 - 100 worst), indicating slightly worse than average price growth. CW’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 82 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a provider of high tech, critical function products, systems and services to the commercial, industrial, defense and power markets
Industry AerospaceDefense
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