Applied Aerospace & Defense cuts 2026 outlook as shares plunge 13%
The aerospace supplier’s third-quarter revenue rose 48.6%, but a downward revision to full-year guidance triggered a sharp sell-off on Thursday.
The aerospace supplier’s third-quarter revenue rose 48.6%, but a downward revision to full-year guidance triggered a sharp sell-off on Thursday. 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, according to MT Newswires. The drop followed third-quarter results that showed significant top-line growth but failed to offset investor concerns about the future outlook.
Guidance cut outweighs quarterly gains
Applied Aerospace & Defense reported third-quarter revenue of $182.1 million, a 48.6% increase from the prior year, according to InvestorsHub. The company also saw earnings rise during the period, as noted by MT Newswires and Associated Press.
Despite the strong quarterly performance, the company reduced its full-year 2026 revenue guidance. This revision prompted an initial 5.6% pre-market decline, as reported by MT Newswires. The stock then extended losses to 13.25% in regular trading on Thursday.
Stock underperforms market and sector
The 13.25% fall on Thursday contrasts with a 1.3% gain for both the S&P 500 and the US Industrials sector on Wednesday, the latest trading session. Falling Shares attributes almost all of the move to company-specific factors, with the market and sector contributing negligible positive drift.
By Falling Shares' measure, the stock is rated Unstable, with annualised volatility of 83.7% compared to 14.7% for the benchmark. The share price is now 61.0% below its 52-week high of $24.24, and has fallen 50.5% over the past three months.
Profitability concerns persist
Falling Shares flagged earnings estimate revisions as a key risk, with consensus EPS for the current year cut 29.4% in the last 90 days. The company’s net margin stands at -30.2%, according to Falling Shares risk signals, despite revenue growth.
Barrons.com noted on Wednesday that while the supplier to SpaceX is performing operationally, the stock’s valuation has not reflected this stability. The company’s market capitalisation is now 1.60 billion USD, with volume reaching 4,554,632 shares on Thursday.