Babcock & Wilcox Enterprises
BW on NYSE. Babcock & Wilcox Enterprises sells energy and emissions control systems to utilities, data centers, and industries. Market value $840m.
Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to December 2025.
We can't read total debt from the filing, so debt is left out.
Should I look at this?
Look carefully before going further
Why it could be worth it
Read the warning sign in its own filings
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $-6.61 of spare cash in the past 12 months. A savings account pays about $4.
The filings do not give us enough to work this out.
The filings do not give us enough to work this out.
Quality score: 12 of 100. Price score: 16 of 100. Our list needs 70 on quality and 60 on price.
$5.91 a share, 96% above its 1-year low
Over the past year the price has ranged from $3.02 to $22.03.
Pays no dividend
Prices from Tuesday’s close (6 October).
Five years of cash, in billions
Spare cash swings from quarter to quarter here: a shortfall of $58 million in the past 12 months, a shortfall of $86 million in the year to December 2025.
| Revenue | |||||
| Revenue | $711m | $609m | $587m | $581m | $588m |
| Operating margin | |||||
| Operating margin | 2.7% | -0.2% | -3.4% | -1.1% | 3.5% |
| Debt to equity | |||||
| Debt to equity | n/a | n/a | n/a | n/a | n/a |
| Shares outstanding | |||||
| Shares outstanding | 0.09bn | 0.09bn | 0.09bn | 0.11bn | 0.15bn |
Health checks
- Free cash flow positive0 of 5 years
- Accounting looks honest (Beneish)Not enough data
- Financial strength (Piotroski)2 of 8 checks we could run
- Profit backed by cash (accruals)Yes
- DebtUnknown
- Revenue growth, five yearsSlow, 0.7% a year
- Buying back its own sharesNo, 68% more shares since 2021
The quarter to June 2026
How the business did, compared with the same quarter a year earlier.
- Sales: $320 million last quarter, up 130% on a year ago.
- Profit: $14 million, after a loss of $58 million a year ago.
- It keeps 3 cents of each $1 of sales as operating profit, up from 0 cents a year earlier.
- Over the past 12 months it spent $58 million more cash than it brought in, compared with $136 million a year earlier.
- 57% more shares than a year ago. Each share owns a bit less of the company.
| Quarter to | Amount |
|---|---|
| September 2024 | $153m |
| December 2024 | Not reported |
| March 2025 | $149m |
| June 2025 | $139m |
| September 2025 | $149m |
| December 2025 | $139m |
| March 2026 | $214m |
| June 2026 | $320m |
| Quarter to | Amount |
|---|---|
| September 2024 | -$5m |
| December 2024 | -$63m |
| March 2025 | -$22m |
| June 2025 | -$58m |
| September 2025 | $35m |
| December 2025 | $9m |
| March 2026 | -$77m |
| June 2026 | $14m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- n/a
- Last annual report (10-K)
- 16 March 2026
- Next quarterly (estimated, 10-Q)
- 9 November 2026
Who owns it
3 long-term investors we follow own it, unchanged from 3 last quarter. 202 funds in all.
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| Royce & AssociatesChuck Royce | $11m | <0.1% | Added |
| Polen CapitalDan Davidowitz | $4m | <0.1% | Cut |
| Gotham Asset ManagementJoel Greenblatt | $2m | <0.1% | Added |
Largest holders overall
- BRC Group Holdings$387m
- Hood River Capital Management$193mAdded
- BlackRock$160mAdded
- Ameriprise Financial$108mAdded
- Vanguard Capital Management$84mAdded
- Gendell Jeffrey L$73m
- Marshall Wace, LLP$55mAdded
- Neuberger Berman Group$46mCut
- Geode Capital Management$45mAdded
- State Street$42mAdded
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
9 investors own more than 5%; 1 of them is pushing for change.
- Bryant R. RileyPassive investorat least 24.9%+12.8 pts(filed with 3 related holders)Since 11 February 2026
What they said
(a) Item 4 of the Schedule 13D is hereby amended and supplemented by the addition of the following: Bryant Riley sold 1,155,382 shares ("Transferred Shares") of the Issuer personally held by him and his family trust in a private transaction to an unaffiliated third party…
Read the filing - B. Riley Securities, Inc.Passive investor15.8%Since 31 March 2025
What they said
The Reporting Person purchased the Shares for investment purposes, and such purchases were made in the ordinary course of business of the Reporting Person. In pursuing such investment purposes, the Reporting Person may further purchase, hold, vote, trade, dispose or otherwise…
Read the filing - Bryant R. Rileyat least 13.5%(filed with 1 related holder)Since 31 March 2025
What they said
Item 4 of the Schedule 13D is hereby amended and supplemented by the addition of the following: As previously disclosed, on March 11, 2025, BRF effected a transaction pursuant to which BRF separated B. Riley Securities Holding, Inc. ("BRSH"), the parent company of BRS, from BRF.…
Read the filing - Hood River Capital Management LLCPassive investor9.6%Since 31 December 2025
- BlackRock, Inc.Passive investor6.6%Since 30 June 2026
- Ameriprise Financial, Inc.Passive investor5.1%Since 30 June 2026
- Neuberger Berman Group LLCPassive investorat least 4.7%(filed with 1 related holder)Since 27 February 2026
- CastleKnight Master Fund LPPassive investorat least 4.4%(filed with 5 related holders)Since 30 June 2025
- Galloway Capital Partners, LLCActivistat least 4.3%(filed with 1 related holder)Since 2 June 2025
What they said
Each Reporting Person acquired the securities described in this Schedule 13D for investment purposes and intend to review its investment in the Issuer on a continuing basis. Each Reporting Person may from time to time acquire additional securities of the Issuer or retain or sell…
Read the filing
| Holder | Stake | Since | |
|---|---|---|---|
Bryant R. Riley Passive investor | at least 24.9%+12.8 pts (filed with 3 related holders) | 11 February 2026 | What they said(a) Item 4 of the Schedule 13D is hereby amended and supplemented by the addition of the following: Bryant Riley sold 1,155,382 shares ("Transferred Shares") of the Issuer personally held by him and his family trust in a private transaction to an unaffiliated third party… Read the filing |
B. Riley Securities, Inc. Passive investor | 15.8% | 31 March 2025 | What they saidThe Reporting Person purchased the Shares for investment purposes, and such purchases were made in the ordinary course of business of the Reporting Person. In pursuing such investment purposes, the Reporting Person may further purchase, hold, vote, trade, dispose or otherwise… Read the filing |
Bryant R. Riley | at least 13.5% (filed with 1 related holder) | 31 March 2025 | What they saidItem 4 of the Schedule 13D is hereby amended and supplemented by the addition of the following: As previously disclosed, on March 11, 2025, BRF effected a transaction pursuant to which BRF separated B. Riley Securities Holding, Inc. ("BRSH"), the parent company of BRS, from BRF.… Read the filing |
Hood River Capital Management LLC Passive investor | 9.6% | 31 December 2025 | |
BlackRock, Inc. Passive investor | 6.6% | 30 June 2026 | |
Ameriprise Financial, Inc. Passive investor | 5.1% | 30 June 2026 | |
Neuberger Berman Group LLC Passive investor | at least 4.7% (filed with 1 related holder) | 27 February 2026 | |
CastleKnight Master Fund LP Passive investor | at least 4.4% (filed with 5 related holders) | 30 June 2025 | |
Galloway Capital Partners, LLC Activist | at least 4.3% (filed with 1 related holder) | 2 June 2025 | What they saidEach Reporting Person acquired the securities described in this Schedule 13D for investment purposes and intend to review its investment in the Issuer on a continuing basis. Each Reporting Person may from time to time acquire additional securities of the Issuer or retain or sell… Read the filing |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
In the last 12 months, 3 insiders bought $282,868 of shares on the open market.
- Moeller Philip DDirectorBought
- Date
- 13 August 2026
- Shares
- 5,000
- Price
- $9.50
- Value
- $47,500
- Young Kenneth MChief Executive Officer, DirectorBought
- Date
- 12 August 2026
- Shares
- 7,000
- Price
- $9.65
- Value
- $67,550
- Frymyer Cameron MChief Financial OfficerBought
- Date
- 18 March 2026
- Shares
- 1,285
- Price
- $14.76
- Value
- $18,967
- Young Kenneth MChief Executive Officer, DirectorBought
- Date
- 18 March 2026
- Shares
- 7,000
- Price
- $15.15
- Value
- $106,050
- Frymyer Cameron MChief Financial OfficerBought
- Date
- 12 November 2025
- Shares
- 2,853
- Price
- $7.05
- Value
- $20,114
- Young Kenneth MChief Executive Officer, DirectorBought
- Date
- 12 November 2025
- Shares
- 3,175
- Price
- $7.15
- Value
- $22,688
| Date | Who | Did | Shares | Price | Value |
|---|---|---|---|---|---|
| 13 August 2026 | Moeller Philip D Director | Bought | 5,000 | $9.50 | $47,500 |
| 12 August 2026 | Young Kenneth M Chief Executive Officer, Director | Bought | 7,000 | $9.65 | $67,550 |
| 18 March 2026 | Frymyer Cameron M Chief Financial Officer | Bought | 1,285 | $14.76 | $18,967 |
| 18 March 2026 | Young Kenneth M Chief Executive Officer, Director | Bought | 7,000 | $15.15 | $106,050 |
| 12 November 2025 | Frymyer Cameron M Chief Financial Officer | Bought | 2,853 | $7.05 | $20,114 |
| 12 November 2025 | Young Kenneth M Chief Executive Officer, Director | Bought | 3,175 | $7.15 | $22,688 |
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
1 serious warning sign in Babcock & Wilcox Enterprises’ filings.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 16 Mar 2026, plus the 10-Q filed 10 Aug 2026 and 9 later 8-Ks.
Weak checks on its own accounts
SeriousThe company said its checks on its own accounts did not work at the end of its latest quarter. Mistakes could slip into the numbers.
“Based on this evaluation and because of the previously-reported material weaknesses in internal control over financial reporting, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were not effective as of June 30, 2026.”
From the 10-Q filed 10 August 2026, Part I, Item 4. Controls and Procedures. Read it in the filing
Changed auditor
Worth knowingThe company changed its auditor (the firm that checks its books) in the last two years.
“On April 4, 2025, the Company, with the approval of the Audit and Finance Committee of the Board of Directors of the Company, dismissed Deloitte and notified Deloitte of its dismissal and decision to change its independent registered public accounting firm.”
From an 8-K filed 10 April 2025: Change of auditor. Read it in the filing
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
What could go wrong
- Sales have barely grown: 0.7% a year.
- It owes more than it owns on paper (negative equity). Often that's from borrowing to buy back shares.
Whether the price already reflects the risks is what the deep dive is for.
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.