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Bombardier Inc (BBD-B) Fair Value & Analysis

Industrials · CA · Market cap C$33.1B (≈ $23.8B) · ISIN CA0977518616

BI Bombardier Inc BBD-B · TO
PriceC$318.87
Fair ValueC$147.66
Upside-53.7%
Quality62/100
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Strengths

Negative equity (buybacks among others) · generates free cash flow
Ranks above peers (9/14)

Risks

!Trades 116% ABOVE our fair value of C$147.66
!Mixed Growth (revenue 5y +8.0 %/yr)
!Thin margins · 9.7% net margin
!Moderate moat 46/100
Mixed Growth (revenue 5y +8.0 %/yr)
Thin margins · 9.7% net margin
Negative equity (buybacks among others) · generates free cash flow
Ranks above peers (9/14)
Moderate moat 46/100
Evidence: Medium Range C$102.44 – C$202.28 Share as image

Fair value as of: Aug 27, 2026

From 19 valuation models · updated 3 days ago

Fair value updated Aug 27, 2026, revised from C$146.55 to C$147.66 (+0.8%) since Aug 21, 2026. Share price −11.0% over the past month.

A solid business, but trading 116% above our fair value.

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69 individual criteria per stock, every one traceable See the method →

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What matters now

  • The price sits above even our optimistic bull case (C$202.28). The favourable scenario is already priced in.
  • Solid but not exceptional quality (62/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (C$102.44 to C$202.28) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

C$373.41 C$18.43 Fair Value C$147.66 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 27, 2026.

How to read this chart

60‑month range C$18.43 – C$373.41 · fair‑value band C$102.44 – C$202.28 · the C$318.87 price screens above the C$147.66 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 4 fiscal years are left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Aug 27, 2026.

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Analysis

Bombardier Inc (BBD-B) currently trades at C$318.87, while our model-based Fair Value estimate is C$147.66, implying the stock looks roughly 53.7% overvalued today. The Quality Score stands at 62/100 (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: medium).

Over the trailing twelve months, Bombardier Inc generated revenue of C$9.6B at a net margin of 9.7%. Revenue grew 5.1% year over year. Net debt stands at C$3.0B. The stock trades on a trailing P/E of 23.1 (as of Jun 6, 2026). Fundamentals as of Aug 27, 2026

Our scenario range runs from C$102.44 (bear case) to C$202.28 (bull case); at C$318.87, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. Analysts expect earnings well below the last reported figure (earnings in transition, for example expiring patents or contracts); a fair value that looks fair on trailing earnings may then be too optimistic. The share trades about 3% below its 52-week high and 215% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -44% fair-value upside, at -54%, BBD-B screens richer than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly 8.75 CAD per share, which is 5.9 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF best evidence C$81.78 C$123.15 C$199.79 78
Growth DCF C$86.68 C$126.84 C$195.54 76
Owner Earnings C$95.85 C$142.76 C$229.63 74
All 19 models by family
DCF Models
FCF DCF best evidence C$81.78 C$123.15 C$199.79 78
Owner Earnings C$95.85 C$142.76 C$229.63 74
5Y Revenue Exit C$73.49 C$117.61 C$181.72 71
5Y EBITDA Exit C$97.17 C$158.61 C$240.00 73
5Y P/E Exit C$93.50 C$152.25 C$222.44 69
10Y Revenue Exit C$73.28 C$106.48 C$142.03 66
10Y EBITDA Exit C$90.29 C$131.84 C$176.24 68
10Y P/E Exit C$88.07 C$127.91 C$165.94 64
Earnings-Based
Graham-Dodd C$62.80 C$76.75 C$86.34 65
EPV C$70.82 C$86.56 C$100.32 72
Multiples
P/E Multiple C$145.45 C$193.93 C$242.41 61
P/S Multiple C$117.74 C$156.99 C$196.24 56
EV/EBIT C$116.85 C$163.67 C$210.48 64
EV/EBITDA C$128.82 C$179.63 C$230.44 66
EV/Revenue C$76.64 C$119.60 C$162.56 52
Growth DCF
Growth DCF C$86.68 C$126.84 C$195.54 76
Rev-Margin DCF C$73.49 C$120.08 C$177.27 71
Economic Profit
ROIC Compounder C$70.82 C$88.52 C$105.05 71
Growth Earnings
Growth-Adj P/E C$102.70 C$146.72 C$190.74 66

Widest divergence: Multiples (C$163.67) versus Earnings-Based (C$76.75). Highest evidence: FCF DCF (78).

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Key figures & financial health

P/E ratio 23.1 as of Jun 6, 2026
P/S ratio 2.24 P/E × margin
EPS (TTM) C$13.15 price ÷ EPS = P/E 23.1
Dividend yield 0.1% payout 1.7%
Net margin 9.7% FY2025
Return on assets (EBIT) 5.4% avg 5y
More key figures
Profitability
Operating margin 10.8% TTM
Growth
Revenue (TTM) C$9.6B TTM
Revenue growth (YoY) +5.1% 3y avg +11.4%
EPS growth (YoY) +21.6%
Balance sheet & cash flow
Free cash flow C$1.1B FY2025
Net debt C$3.0B FY2025 · ≈ 2.7 yrs of FCF

Figures from reported company fundamentals · as of Aug 27, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 62/100

Of which business quality 59 · Market factors (momentum, volatility) 60

Profitability 43
Margins and returns on capital today
Quality Growth 69
Are margins and returns improving?
Cashflow 63
Earnings quality: real cash, not paper profit
Fin. Strength 42
Balance sheet, leverage, solvency risk
Investment 93
Disciplined investing over empire-building
Low Volatility 13
Calm price path (market factor)
Momentum 72
Price trend over the last 3–12 months (market factor)
52W Momentum 93
Distance to the 52-week high (market factor)
Net Issuance 69
Buybacks instead of dilution

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.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Bombardier Inc. engages in the design, manufacture, and sale of business aircraft and aircraft structural components worldwide. It also provides various services, such as parts, service centers, smart services, training, and technical publications.

Full company description

Bombardier Inc. engages in the design, manufacture, and sale of business aircraft and aircraft structural components worldwide. It also provides various services, such as parts, service centers, smart services, training, and technical publications. The company serves multinational corporations, charter and fractional ownership providers, governments, and private individuals. Bombardier Inc. was incorporated in 1902 and is based in Dorval, Canada.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Bombardier Inc reported revenue of $9.6B in FY2025 versus $6.1B in FY2021, a compound +11.9%/yr. Reported net income was $928M in FY2025, compounding −34.5%/yr from FY2021.

Growth Quality 68/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
C$9.6B
Latest YoY
+10.2%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+11.4%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.0%
Avg. revenue growth/yr (29Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+1.7%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
−28.8% (-28.9 + 0.1)
Revenue +11.9%/yr
FY21 $6.1B
FY22 $6.9B
FY23 $8.0B
FY24 $8.7B
FY25 $9.6B
Net income −34.5%/yr
FY21 $5.0B
FY22 −$148M
FY23 $445M
FY24 $370M
FY25 $928M

BBD-B screens 116% overvalued. Compare with General Electric Company →

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Cite: Fair Value Calculator (2026). "Bombardier Inc Fair Value". https://www.fairvalue-calculator.com/stock/BBD-B

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Aerospace & Defense · 233 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 62 · Above median
Fair Value upside −54% · Above median
Return on assets 5% · Above median
Net margin (TTM) 10% · Above median
Operating margin (TTM) 11% · Above median
Revenue growth 5% · Below median
Dividend yield (TTM) 0.1% · Bottom 25%

Valuation Multiples vs Aerospace & Defense median · lower = cheaper

P/E (TTM) 23.1× · Cheaper than median
P/S (TTM) 2.48× · Cheaper than median
P/FCF 21.9× · Pricier than median
EV/EBITDA 20.6× · Cheaper than median
PEG 12.41× · Pricier than 75% of peers

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.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE26 · sector 48
PAST0 · sector 38
HEALTH100 · sector 93
DIVIDEND1 · sector 16

VALUE 0: the price sits above our fair-value range.

PAST 0: with negative equity (buybacks among others) return on equity is not meaningfully computable.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Weapons Defense

Similar stocks

10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Aug 27, 2026).

Stock Price Fair Value vs Fair Value
General Electric Company GE $354.39 $116.71 -67%
RTX Corporation RTX $212.08 $88.37 -58%
Airbus SE AIR €213.00 €117.01 -45%
Lockheed Martin Corporation LMT $565.89 $419.01 -26%
Howmet Aerospace Inc HWM $269.34 $50.43 -81%
General Dynamics Corporation GD $379.32 $274.32 -28%
Northrop Grumman Corporation NOC $545.57 $356.59 -35%
TransDigm Group TDG $1,235 $571.03 -54%
L3Harris Technologies, Inc LHX $262.82 $146.55 -44%
Thales S.A HO €246.70 €171.13 -31%

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Frequently asked questions

Is Bombardier Inc (BBD-B) overvalued or undervalued?
As of Aug 27, 2026, our model estimates a fair value of C$147.66 versus a price of C$318.87, about −54% (overvalued).
What is the fair value of BBD-B?
Our model-based fair value for Bombardier Inc is C$147.66 (as of Aug 27, 2026), built from audited fundamentals. The current price: C$318.87.
What is the quality score of BBD-B?
Bombardier Inc has a Quality Score of 62/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Bombardier Inc (BBD-B)?
Bombardier Inc reported trailing-twelve-month revenue of about C$9.6B (latest available figure, as of Aug 27, 2026).
What is the net profit margin of BBD-B?
The net profit margin of Bombardier Inc is about 9.7%, meaning it keeps roughly 9.7% of revenue as net income. Based on the latest reported figures.
Does Bombardier Inc pay a dividend?
Bombardier Inc currently shows a dividend yield of about 0.07% relative to its recent price (as of Aug 27, 2026).

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.

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