Shares in BAE Systems (LON:BA) have inched marginally higher today as the British defence contractor reiterated its full-year outlook. The news comes with the group holding its annual general meeting (AGM) today.
As of 14:17 BST, BAE Systems’ share price had added 0.13 percent to 614.80p, marginally outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.04 percent higher at 7,665.45 points. The group’s shares have lost about four percent of their value over the past year, as compare with about a 3.8-percent gain in the Footsie.
BAE reaffirms full-year outlook
BAE Systems issued an AGM statement today, noting that its outlook remained unchanged, with underlying earnings per share expected to be in line with 2017.
“We have a large order backlog and strong franchises with good prospects to further these positions in the coming months,” the group’s chief executive Charles Woodburn commented in the statement. “The new organisation structure is now established to drive our strategic priorities to deliver both in year targets and to provide a solid foundation for medium term growth.”
BAE Systems noted that negotiations with Saudi Arabia for the purchase of 48 Typhoon aircraft were progressing.
Analysts on defence contractor
The 18 analysts offering 12-month price targets for BAE Systems for the Financial Times have a median target of 680.00p on the shares, with a high estimate of 805.00p and a low estimate of 480.00p. As of May 4, the consensus forecast amongst 21 polled investment analysts the blue-chip defence contractor has it that the company will outperform the market.
BAE Systems is due to hold an investor event in the US next week, focused on its US Electronic Systems business. The British defence contractor will post its half-year results on August 1.