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FORT COLLINS - Woodward Inc. (NASDAQ:WWD), a $14.2 billion aerospace and industrial equipment manufacturer with annual revenues of $3.4 billion, has been selected by Airbus to supply the electro-hydraulic spoiler actuation system for the A350 aircraft, according to a press release statement issued Monday.
The agreement covers actuation systems for 12 of the 14 aircraft spoilers, along with maintenance and repair services for the Woodward-supplied components. These services will support A350 operators and Airbus Flight Hour Services business.
Spoiler actuation systems control the position of flight control surfaces on aircraft wings to manage roll orientation and reduce wing lift for landing and descent operations.
The Airbus A350, a long-range widebody twin-engine airliner that entered service in 2015, currently has an order backlog exceeding 700 aircraft.
"The opportunity to supply the A350 Spoiler Actuation System enhances our comprehensive portfolio of engine and airframe control systems we provide to aerospace customers," said Chip Blankenship, CEO and Chairman of Woodward. The company’s stock has shown remarkable strength, gaining over 33% in the past six months. According to InvestingPro analysis, which offers 17+ additional insights, the company maintains strong financial health with a "GREAT" overall rating.
Woodward and Airbus executives marked the agreement with an event at the Woodward booth during the 55th International Paris Airshow.
Woodward, headquartered in Fort Collins, Colorado, designs and manufactures energy conversion and control solutions for aerospace and industrial equipment markets. The company’s stock currently trades near its 52-week high, with InvestingPro’s Fair Value analysis suggesting the shares are trading at a premium to their intrinsic value.
In other recent news, Woodward Inc. reported strong financial results for its fiscal second quarter of 2025, surpassing analysts’ expectations. The company achieved an adjusted earnings per share (EPS) of $1.69, exceeding the forecast of $1.45, and recorded revenue of $884 million, surpassing the anticipated $838.83 million. This performance was primarily driven by robust demand in the aerospace sector, with defense original equipment sales increasing by 52% and commercial aftermarket sales rising by 23%. In light of these results, Woodward revised its fiscal year 2025 sales guidance to a range of $3.375 billion to $3.500 billion.
Additionally, Deutsche Bank recently upgraded Woodward stock from Hold to Buy, raising the price target to $291, citing the company’s strategic market positioning and strong segment performance. Truist Securities also increased Woodward’s price target to $232, maintaining a Buy rating, following a visit to the company’s Rock Cut Campus, where they noted potential for margin growth in the aerospace segment. Similarly, UBS lifted its price target for Woodward to $220, acknowledging the company’s solid financial performance and cautious revenue projections for the second half of the fiscal year.
These developments reflect a positive outlook for Woodward, with analysts expressing confidence in the company’s growth trajectory and strategic initiatives. The firm’s strategic involvement in platforms like LEAP/CFM56 and GEnx has been pivotal in sustaining its favorable performance within the aerospace segment. Despite challenges, Woodward’s operational strengths and market exposure continue to support its financial success.
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