Woodward Inc is an independent designer, manufacturer, and service provider of control solutions for the aerospace and industrial markets... Show more
Woodward, Inc. is a Fort Collins, Colorado-based designer, manufacturer, and service provider of energy control and optimization solutions. The company operates through two primary segments: Aerospace and Industrial. Its Aerospace business supplies fuel systems, actuation, and engine-control components for commercial and defense aircraft, while its Industrial segment serves power generation, transportation, marine, and oil and gas markets. Woodward is a key supplier on major commercial engine programs, including the CFM LEAP and Pratt & Whitney GTF platforms, and has expanded into gas-fired power for data centers. Investors follow WWD for its exposure to rising aircraft build rates, aftermarket services, and clean-energy and power-generation demand.
Over the last 30 days, WWD has fallen approximately 15%, moving from a July 22 closing price of $404.59 to $343.26 at the most recent close. The decline accelerated in late July and early August following the company's fiscal third-quarter earnings report, with additional selling pressure in mid-August.
The quarterly picture is more moderate. Measured from late May, when shares traded near $355, the stock is down only about 3%–4%. The three-month period has been marked by significant volatility, however: WWD rallied to an intraday 52-week high of $450.92 on June 25 before giving back much of that gain. The stock now sits more than 20% below that peak, highlighting how quickly sentiment has shifted from optimism around accelerating growth to caution about cash conversion and the durability of recent margin gains.
The primary catalyst was Woodward's fiscal third-quarter earnings report, released after the close on July 29. The company delivered record quarterly net sales of $1.11 billion, up 21% year over year, and adjusted earnings per share of $2.52, a 43% increase from $1.76 a year earlier. Management also raised full-year adjusted EPS guidance to a range of $9.30 to $9.50, up from $9.15 to $9.45.
Despite the headline beat, shares sold off sharply. Investors focused on several cautionary signals. Free cash flow fell 12% to $87 million, with the free cash flow margin narrowing to 7.8% from 10.8% a year earlier, driven partly by a 125% jump in capital expenditures. The company also narrowed its aerospace sales growth outlook to 21%–23% from a prior 21%–24%. Meanwhile, margin tailwinds such as a one-time retroactive pricing adjustment and the China on-highway business are expected to fade, and management indicated companywide pricing should normalize to roughly 3%–5% after reaching about 8% for the fiscal year. With the stock trading near 40 times forward earnings, these factors were enough to trigger a sharp de-rating.
The quarterly trend reflects a broader shift from growth enthusiasm to execution scrutiny. Through June, WWD rallied as strong demand across commercial aerospace and industrial end markets, coupled with robust price realization and margin expansion, supported investor optimism. Aerospace commercial OEM sales rose 34% and commercial services rose 24% in the third quarter, while industrial sales climbed 26% on transportation, marine, LNG, and data-center power demand.
The mood turned in late July, however, as the market began to weigh concerns that recent margin gains were partly tied to non-recurring items, that elevated inventory and capex were constraining free cash flow, and that the wind-down of the China on-highway business would make fiscal 2027 comparisons more difficult. The result was a multi-week pullback that erased much of the stock's mid-summer advance despite fundamentally strong top- and bottom-line results.
For traders looking to complement their own research, Tickeron's Trending AI Robots page offers a curated view of AI-driven trading strategies. Tickeron provides hundreds of AI trading bots that monitor thousands of tickers, but only the top-performing and most relevant bots appear in this featured section. These bots vary in strategy, timeframe, and performance metrics, giving users the ability to explore approaches ranging from short-term momentum to longer-horizon trend following. The section is designed to help investors discover currently active, high-performing strategies in a single, accessible location.
Investors should monitor Woodward's next earnings report, currently estimated for mid-November, for updates on fiscal 2026 guidance and early signals on fiscal 2027. Key items include whether free cash flow recovers in the fiscal fourth quarter as management's roughly $290 million capital plan is completed, and whether aerospace sales growth holds within the narrowed 21%–23% range. The pace of commercial aircraft build rates, the expansion of the LEAP MRO network, and the outcome of the China on-highway wind-down will also shape sentiment. Additionally, watch for progress on the Spartanburg facility, the A350 spoiler program, and any signs that pricing normalization pressures margins more quickly than expected.
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
WWD may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 29 of 35 cases where WWD's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 83%.
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where WWD's RSI Indicator exited the oversold zone, 13 of 19 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 68%.
The Stochastic Oscillator is in the oversold zone. Keep an eye out for a move up in the foreseeable future.
The Moving Average Convergence Divergence (MACD) for WWD just turned positive on September 03, 2026. Looking at past instances where WWD's MACD turned positive, the stock continued to rise in 34 of 46 cases over the following month. The odds of a continued upward trend are 74%.
Following a +3.19% 3-day Advance, the price is estimated to grow further. Considering data from situations where WWD advanced for three days, in 239 of 341 cases, the price rose further within the following month. The odds of a continued upward trend are 70%.
The Momentum Indicator moved below the 0 level on September 09, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on WWD as a result. In 54 of 90 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 60%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WWD 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 52%.
The Aroon Indicator for WWD entered a downward trend on September 02, 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.
The Tickeron Profit vs. Risk Rating rating for this company is 19 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock better than average.
The Tickeron PE Growth Rating for this company is 42 (best 1 - 100 worst), pointing to consistent 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.
The Tickeron SMR rating for this company is 43 (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 Price Growth Rating for this company is 57 (best 1 - 100 worst), indicating steady price growth. WWD’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 65 (best 1 - 100 worst) indicates that the company is fair valued 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 (8.052) is normal, around the industry mean (6.155). P/E Ratio (37.515) is within average values for comparable stocks, (54.873). Projected Growth (PEG Ratio) (2.179) is also within normal values, averaging (1.882). Dividend Yield (0.004) settles around the average of (0.017) among similar stocks. P/S Ratio (4.941) is also within normal values, averaging (18.239).
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer ofenergy control and optimization solutions
Industry AerospaceDefense