Embraer S.A. (EMBJ) AI Stock Analysis

Embraer S.A. designs, develops, manufactures, and sells aircraft and systems worldwide. It operates through Commercial Aviation, Defense & Security, Executive Aviation, Services & Support, and Other segments. Commercial Aviation develops, produces, and sells commercial jets, while Executive Aviation develops and sells executive jets. Defense & Security produces military aircraft, integrated information systems, communications, and surveillance equipment. Services & Support offers flight operations, maintenance, aircraft modification, materials management, and training programs. The Other segment supplies structural parts, hydraulic systems, agricultural crop-spraying aircraft, and develops electrical vertical takeoff and landing vehicles (eVTOLs).

Embraer expanded revenue from $22.67B in FY2021 to $41.50B in FY2025, delivering a five-year revenue CAGR of 16.2% from FY2020 to FY2025. After posting net income of -$274.8M in FY2021 and -$991.8M in FY2022, net income rose to $806.1M in FY2023, $2.18B in FY2024, and $1.93B in FY2025. Gross margin was 17.5% and operating margin was 8.0% in FY2025. In the trailing twelve months, revenue reached $44.13B with a net profit margin of 5.3%. For the quarter ended September 30, 2026, revenue increased 10.4% year-over-year and quarterly earnings grew 113.9%.

As of September 30, 2026, Embraer held $11.16B in cash and short-term investments against total debt of $13.37B, resulting in net debt of $2.21B. The company recorded a current ratio of 1.44 and a debt-to-equity ratio of 0.75 on shareholders' equity of $17.88B. In FY2025, operating cash flow reached $4.76B and free cash flow was $2.11B. Capital allocation during FY2025 included $2.65B in capital expenditures, $1.02B in share buybacks, and $129.3M in dividends paid.

Embraer trades at a trailing P/E of 29.3x and a forward P/E of 19.9x, above the median of its US-listed Industrials peers of 24.8x and 17.2x, respectively. Its enterprise value to EBITDA ratio is 16.1x compared to the peer median of 13.9x. However, its price-to-sales ratio is 0.3x, below the peer median of 1.5x. Over the past year, EMBJ gained 23.0%, outpacing the S&P 500 return of 16.8%. Over five years, the stock returned 289.5% versus 83.0% for the S&P 500.

Embraer pays a quarterly dividend with an annual forward payout of $0.95, representing a dividend yield of 1.31%. The company maintains a payout ratio of 25.9% and has paid dividends for 2 consecutive years. The most recent ex-dividend date was September 23, 2026.

Wall Street analysts hold 9 Strong Buy, 5 Buy, and 1 Hold ratings on EMBJ, with no Sell or Strong Sell ratings. The mean price target is $94.73, which is 31.0% above the last close of $72.34. For the fiscal year ending December 31, 2026, consensus estimates project EPS of $3.23 on revenue of $8.62B. Over the last four quarters, Embraer beat EPS estimates 2 times. The next earnings date is November 3, 2026.

This page is an AI-written research summary of Embraer S.A. (EMBJ). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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