Applied Aerospace & Defense cuts 2026 guidance as shares plunge 13%
The aerospace supplier reported strong third-quarter revenue growth but lowered its full-year forecast, triggering a sharp sell-off.
The aerospace supplier reported strong third-quarter revenue growth but lowered its full-year forecast, triggering a sharp sell-off. Published 2026-11-12 by Falling Shares.
| By Falling Shares Intelligence, edited by Wung Thomas, Editor-in-Chief
Written by Falling Shares Intelligence, our automated newsroom, from the public sources listed below and live market data. Every figure is checked against that material before publication, but the story has not been reviewed by a human editor. Check the linked sources before relying on it, and report errors to info@fallingshares.com.
Shares in Applied Aerospace & Defense fell 13.25% on Thursday after the company lowered its 2026 revenue guidance, despite reporting a 48.6% increase in third-quarter sales. The drop followed a 5.6% pre-market decline on Wednesday.
Guidance cut outweighs revenue growth
Applied Aerospace & Defense reported third-quarter revenue of $182.1 million, an increase of 48.6% compared to the same period last year, according to a filing with the New York Stock Exchange. The company also noted that its net margin stood at -30.2%, while revenue grew 47.4% year on year.
Despite the top-line growth, the company reduced its full-year 2026 revenue guidance. This revision prompted an immediate reaction in the market, with shares dropping 5.6% before the bell on Wednesday. The stock continued to slide, closing down 13.25% on Thursday.
None of the reports reviewed by Falling Shares gave a detailed reason for the specific guidance cut beyond the company's statement. The firm did not provide a breakdown of the factors driving the revised forecast in the available summaries.
Stock underperforms sector peers
The fall in Applied Aerospace & Defense shares was entirely company-specific, according to Falling Shares data. While the S&P 500 and the US Industrials sector (XLI) both rose 1.3% in the latest session, the stock lost value. The move was not driven by broader market or sector trends.
Over the past five days, the stock has fallen 0.8%, and it is down 10.8% over the last month. Over three months, the share price has dropped 50.5%. The stock is currently 61.0% below its 52-week high of $24.24.
Falling Shares rates the stock as Unstable, citing an annualised volatility of 83.7% compared to 14.7% for the benchmark. In the past six months, there have been 34 sessions with moves of 5% or more. The company's market capitalisation stands at $1.60 billion.