Embraer (NYSE: ERJ) Reported 4Q & FY 2023 Earnings This Morning; Was Named Morgan Stanley’s ’Top Aerospace Pick’ Last Week
4Q23 revenue of $1.98 billion was in line with consensus estimates; EPS of $0.42 vs. $0.24 one year prior beat consensus estimates of $0.27 by 55.56%.
(Melbourne, Florida) Embraer S.A. (NYSE: ERJ) reported 4Q and FY 2023 earnings this morning; the results can be found here.
Image of an Embraer Phenom 300E business jet in flight courtesy of Embraer.
Embraer, the world’s third-largest aircraft manufacturer behind Boeing (NYSE: BA) and Airbus (AIR: FR-Euronext Paris), estimated that it would deliver between 125 and 135 executive jets this year, compared with 115 in 2023. Deliveries from its commercial aviation segment are expected to be between 72 and 80 planes, up from 64 aircraft delivered last year, according to Reuters.
Its estimate for 2024 aircraft deliveries would be higher if it were not for supply chain issues, said the company’s Chief Executive Officer Francisco Gomes Neto on the earnings call, per Reuters.
This past Thursday, 3/14, Morgan Stanley named Embraer its new top pick in aerospace, replacing TransDigm (TDG). Analyst Kristin Liwag views Embraer as a third commercial aerospace player that’s “breaking into a duopoly” of Boeing and Airbus, and has an overweight rating on ERJ with a price target of $40, up from $19.50, according to Investor’s Business Daily (IBD).
** Not investment advice; The FLY Report is not a registered investment advisor.
