Blue Bird (NASDAQ:BLBD) Releases Earnings Results, Beats Expectations By $0.03 EPS

Blue Bird (NASDAQ:BLBD) posted its quarterly earnings data on Wednesday. The company reported $1.28 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.25 by $0.03, FiscalAI reports. Blue Bird had a net margin of 8.91% and a return on equity of 53.68%. The business had revenue of $517.16 million during the quarter, compared to the consensus estimate of $485.73 million.

Here are the key takeaways from Blue Bird’s conference call:

• Record Q3 results: Blue Bird reported $517 million in revenue, $71 million in adjusted EBITDA, and $1.28 in adjusted diluted EPS, with EBITDA exceeding guidance for the 15th consecutive quarter. Year-to-date adjusted EBITDA reached a record $172 million.
• Management raised fiscal 2026 adjusted EBITDA guidance to $245 million-$250 million, or approximately 14% of revenue, while maintaining revenue guidance of $1.74 billion-$1.76 billion and forecasting adjusted free cash flow of $125 million-$135 million.
• Blue Bird will enter the approximately $1.4 billion Class 5 and 6 commercial strip-chassis market through an expanded Ford collaboration and acquisition of Detroit Chassis assets. The company expects production to begin in 2028, reach roughly 10,000 units by 2030, and generate more than $100 million in longer-term adjusted EBITDA.
• School-bus fundamentals remain favorable, supported by an aging fleet, pent-up replacement demand, stable funding, and a backlog of approximately 4,900 units, including about 800 electric buses. Management also cited strong EV demand extending into 2027 and continued growth opportunities from the Micro Bird acquisition.
• The Ford chassis initiative requires approximately $90 million of Blue Bird investment in 2027, including $50 million of capital expenditures, while chassis production will take two years to ramp after its expected 2028 launch. Q3 free cash flow declined year over year because of higher working capital and finished-goods inventory, and tariff volatility remains an ongoing risk despite management’s expectation of a margin-neutral outcome.

Blue Bird Price Performance

Shares of Blue Bird stock traded down $0.90 during midday trading on Wednesday, hitting $76.93. 345,242 shares of the company were exchanged, compared to its average volume of 441,728. Blue Bird has a 52 week low of $42.95 and a 52 week high of $83.39. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.83 and a quick ratio of 1.27. The firm has a 50 day simple moving average of $75.07 and a 200-day simple moving average of $64.61. The firm has a market cap of $2.43 billion, a P/E ratio of 18.90, a PEG ratio of 1.01 and a beta of 1.36.

Wall Street Analyst Weigh In

Several research analysts recently commented on BLBD shares. DA Davidson set a $86.00 target price on shares of Blue Bird in a report on Tuesday, June 9th. Freedom Capital downgraded Blue Bird from a “strong-buy” rating to a “hold” rating in a research report on Thursday, May 7th. Roth Capital began coverage on shares of Blue Bird in a research note on Thursday, June 25th. They issued a “buy” rating and a $94.00 price objective on the stock. Zacks Research raised shares of Blue Bird from a “strong sell” rating to a “hold” rating in a research report on Tuesday, July 7th. Finally, Wall Street Zen cut shares of Blue Bird from a “buy” rating to a “hold” rating in a research note on Saturday, July 25th. Seven investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, Blue Bird has a consensus rating of “Moderate Buy” and a consensus price target of $82.17.

Institutional Investors Weigh In On Blue Bird

Hedge funds have recently made changes to their positions in the company. Mcguire Capital Advisors Inc. acquired a new position in Blue Bird in the fourth quarter valued at about $63,000. XTX Topco Ltd raised its stake in shares of Blue Bird by 16.5% in the fourth quarter. XTX Topco Ltd now owns 15,066 shares of the company’s stock valued at $708,000 after acquiring an additional 2,137 shares during the last quarter. Voloridge Investment Management LLC raised its stake in shares of Blue Bird by 17.9% in the fourth quarter. Voloridge Investment Management LLC now owns 215,600 shares of the company’s stock valued at $10,133,000 after acquiring an additional 32,736 shares during the last quarter. Wellington Management Group LLP boosted its holdings in shares of Blue Bird by 0.8% in the 4th quarter. Wellington Management Group LLP now owns 1,048,028 shares of the company’s stock worth $49,257,000 after acquiring an additional 8,430 shares in the last quarter. Finally, Twinbeech Capital LP acquired a new position in shares of Blue Bird in the 4th quarter worth approximately $653,000. Institutional investors and hedge funds own 93.59% of the company’s stock.

Blue Bird Company Profile

Blue Bird Corporation (NASDAQ: BLBD) is a leading manufacturer of buses and mass transportation vehicles headquartered in Fort Valley, Georgia. The company’s core business encompasses the design, engineering, and production of school buses and activity buses, with a product lineup that includes conventional (Type C) models, transit-style (Type D) models and specialty configurations for special-needs and activity transport. In recent years, Blue Bird has expanded its offerings to include zero-emission electric school buses, reflecting its commitment to advanced propulsion technologies and environmental sustainability.

Established in 1927, Blue Bird has built a legacy of safety and reliability in student transportation.