Applied Aerospace & Defense stock tumbles10% on weak guidance
Applied Aerospace & Defense (AADX) reported Q3 earnings of $0.18 per share on $182.1M revenue, up 48.6% YoY. Full-year revenue guidance of $660M-$670M missed estimates of $682.4M. Shares fell 10% premarket. Q3 adjusted EBITDA was $39.7M, up 37.4% YoY. Contract backlog reached $1.26B.
How this was made
The 30-second read
Why it matters
The guidance shortfall triggered a 10% pre‑market decline, indicating immediate downside risk despite a solid earnings beat.
Market read
First‑report earnings and guidance miss for AADX, driving a notable price move and sector‑wide sentiment impact.
What to watch
Backlog of $1.26 B provides multi‑year visibility; organic growth remains robust.
Background
Applied Aerospace & Defense (AADX) is a U.S. aerospace and defense manufacturer that recently expanded through acquisitions.
Ticker impact
Applied Aerospace & Defense reported Q3 earnings beat but issued full-year revenue guidance below consensus, causing a 10% pre‑market share decline.
downward pressure as investors price in lower revenue outlook
Guidance miss of $22M versus consensus is material for a mid‑cap; the 10% pre‑market drop confirms market reaction.
Market effects
May weigh on aerospace & defense peers as analysts reassess demand forecasts.
U.S. defense sector could see modest pullback in the near term.
Limited to investors with exposure to U.S. aerospace suppliers.
Counterpoint
If the earnings beat signals stronger underlying demand, the stock could rebound on a short‑term oversell.
Key entities
- personTrip Ferguson
CEO of Applied Aerospace & Defense, quoted on Q3 performance.
