BAE Systems plc (BAESY) Fair Value & Analysis
Industrials · US · Market cap $72.4B
BAE Systems plc
BAESY · US
Fair value as of: Jul 14, 2026
From 26 valuation models · updated 18 days ago
Fair value updated Jul 14, 2026, revised from $65.48 to $66.47 (+1.5%) since Jun 24, 2026. Share price +13.9% over the past month.
What matters now
- The price sits above even our optimistic bull case ($93.38). The favourable scenario is already priced in.
- Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder.
- A fairly wide model range ($41.66 to $93.38) leaves room in how you read the outcome.
Price vs Fair Value (12 months)
12‑month range $84.40 – $123.05 · fair‑value band $41.66 – $93.38 · the $113.57 price screens above the $66.47 fair value. As of Jul 14, 2026.
✦ Which stocks are undervalued right now? Check free Discover now →Analysis
BAE Systems plc (BAESY) currently trades at $113.57, while our model-based Fair Value estimate is $66.47, implying the stock looks roughly 41.5% overvalued today. We read business quality at 64/100 (solid quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, BAE Systems plc generated revenue of $28.3B at a net margin of 7.3%. Revenue grew 6.7% year over year. It earns a return on equity of 18.1%. Net debt stands at $5.6B. Fundamentals as of Jul 14, 2026
Our scenario range runs from $41.66 (bear case) to $93.38 (bull case); at $113.57, the current price sits above that range. The share trades about 8% below its 52-week high and 35% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -53% fair-value upside, at -41%, BAESY screens cheaper than that median.
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 14, 2026. TTM = trailing twelve months.
Quality Score breakdown
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
BAE Systems plc provides defense, aerospace, and security solutions in the United States, the United Kingdom, the Middle East, Australia, Kingdom of Saudi Arabia, Europe, and internationally. The company operates through five segments: Electronic Systems, Platforms & Services, Air, Maritime, and Cyber & Intelligence.
Full company description
BAE Systems plc provides defense, aerospace, and security solutions in the United States, the United Kingdom, the Middle East, Australia, Kingdom of Saudi Arabia, Europe, and internationally. The company operates through five segments: Electronic Systems, Platforms & Services, Air, Maritime, and Cyber & Intelligence. The Electronic Systems segment offers electronic warfare systems, navigation systems, electro-optical sensors, military and commercial avionics, and precision guided solutions and communications systems, as well as space electronics, spacecraft, and ground and tactical systems. The Platforms & Services segment manufactures and sells combat vehicles, weapons, and munitions; and offers naval ship repair services, as well as operates and manages two government-owned and contractor-operated ammunition plants. The Air segment develops future combat air systems and falconworks alongside edgewing, and eurofighter and MBDA. The Maritime segment provides maritime and land services, including submarine, ship build, and support programs. The Cyber & Intelligence segment offers cyber security services for national security, central government, and government enterprises. The company was formerly known as British Aerospace plc and changed its name to BAE Systems plc in May 2000. BAE Systems plc was incorporated in 1979 and is headquartered in London, the United Kingdom.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
BAE Systems plc reported revenue of $28.3B in FY2025 versus $19.5B in FY2021, a compound +9.8%/yr. Reported net income was $2.1B in FY2025, compounding +4.1%/yr from FY2021.
Is BAESY fairly valued? → Check now
Recent news
- BAE Systems (LSE:BA.) Wins Brazil Naval Gun Order, Is The Stock Still Cheap?
- Is BAE Systems (LSE:BA.) Still Cheap After New Defence Wins?
- BAE Systems leads region's first defense industry plugfest to advance military interoperability
- BAE Systems (LSE:BA) Lands Defense Deals And Unveils New Fighter Helmet
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Jul 14, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| General Electric Company GE | $327.65 | $154.19 | -53% |
| RTX Corporation 5UR | €154.75 | €88.77 | -43% |
| Airbus SE 1AIR | €206.30 | €92.85 | -55% |
| The Boeing Company BA | C$37.56 | C$8.27 | -78% |
| Safran SA SAFRY | $94.54 | $57.23 | -39% |
| Rolls-Royce Holdings RRU | €15.30 | €9.93 | -35% |
| Lockheed Martin Corporation LMT | 8,857 MXN | 442.92 MXN | -95% |
| General Dynamics Corporation GDBR34 | R$1,853 | R$315.69 | -83% |
| Northrop Grumman Corporation NOCG34 | R$557.70 | R$295.16 | -47% |
| TransDigm Group T1DG34 | R$124.79 | R$43.03 | -66% |
Compare BAE Systems plc with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Industrials stocks →
Frequently asked questions
Is BAE Systems plc (BAESY) overvalued or undervalued?
What is the fair value of BAESY?
What is the quality score of BAESY?
What is the revenue of BAE Systems plc (BAESY)?
What is the net profit margin of BAESY?
Does BAE Systems plc pay a dividend?
How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
Track BAE Systems plc and try Pro for 14 days
One email gets you 14 days of full Pro (review alerts, the 35,000+ stock screener, the diversification check) plus the monthly Top-25 report of the most undervalued quality stocks. No card, cancel anytime.
Zero risk: nothing is ever charged. After 14 days you decide whether to stay.