TAT Technologies (NASDAQ:TATT) Releases Earnings Results, Beats Expectations By $0.07 EPS

TAT Technologies (NASDAQ:TATT) released its quarterly earnings data on Wednesday. The aerospace company reported $0.26 EPS for the quarter, beating the consensus estimate of $0.19 by $0.07, FiscalAI reports. TAT Technologies had a return on equity of 9.60% and a net margin of 9.27%.The company had revenue of $41.15 million for the quarter, compared to analysts’ expectations of $40.25 million.

Here are the key takeaways from TAT Technologies’ conference call:

• Backlog and long-term agreements hit a record $580 million at quarter-end, up from $550 million at year-end 2025, driven mainly by new contract wins and strong intake across the business.
• Q1 revenue declined slightly year over year to $41.1 million as supply-chain issues delayed completion and shipment of APU and landing gear work orders, rather than reflecting weaker demand.
• Gross margin expanded to 24.4% from 23.6% in the prior-year quarter, supported by cost discipline, operational efficiency improvements, and ongoing structural progress.
• The company generated positive operating cash flow of $1.9 million and ended the quarter with $51.2 million in cash versus only $11.2 million of debt, leaving TAT well-positioned to fund growth and M&A.
• Management said the supply shortage is improving and expects a gradual recovery over the next few months, with 2026 still viewed as a year of meaningful revenue and EBITDA growth. TAT also reiterated that M&A remains a priority, with a growing pipeline and a disciplined approach to acquisitions.

TAT Technologies Stock Down 5.9%

TATT stock opened at $37.20 on Friday. TAT Technologies has a fifty-two week low of $25.52 and a fifty-two week high of $64.50. The business’s 50-day moving average is $41.32 and its two-hundred day moving average is $44.81. The company has a debt-to-equity ratio of 0.05, a quick ratio of 2.67 and a current ratio of 4.89. The company has a market cap of $482.86 million, a price-to-earnings ratio of 28.84 and a beta of 0.96.

Analysts Set New Price Targets

TATT has been the topic of several recent analyst reports. Weiss Ratings cut TAT Technologies from a “buy (b)” rating to a “buy (b-)” rating in a research report on Friday, May 8th. Lake Street Capital reaffirmed a “buy” rating and set a $59.00 price objective on shares of TAT Technologies in a research report on Wednesday, February 4th. Stifel Nicolaus increased their price objective on TAT Technologies from $47.00 to $60.00 and gave the company a “buy” rating in a research report on Friday, March 20th. Wall Street Zen cut TAT Technologies from a “buy” rating to a “hold” rating in a research report on Saturday, February 21st. Finally, B. Riley Financial initiated coverage on TAT Technologies in a research report on Wednesday, April 8th. They set a “buy” rating and a $61.00 price objective on the stock. Three equities research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus price target of $57.29.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. Marshall Wace LLP lifted its holdings in TAT Technologies by 31.6% in the second quarter. Marshall Wace LLP now owns 80,987 shares of the aerospace company’s stock valued at $2,473,000 after acquiring an additional 19,428 shares during the period. Arrowstreet Capital Limited Partnership lifted its holdings in TAT Technologies by 70.9% in the second quarter. Arrowstreet Capital Limited Partnership now owns 74,984 shares of the aerospace company’s stock valued at $2,316,000 after acquiring an additional 31,104 shares during the period. Raymond James Financial Inc. bought a new position in TAT Technologies in the third quarter valued at about $1,752,000. Credit Agricole S A bought a new position in TAT Technologies in the third quarter valued at about $1,101,000. Finally, Jump Financial LLC bought a new position in TAT Technologies in the second quarter valued at about $842,000. Institutional investors own 15.13% of the company’s stock.

About TAT Technologies

TAT Technologies Ltd. is a global provider of environmental control and thermal management solutions for the aerospace industry. The company specializes in the design, manufacturing and support of aircraft environmental control systems (ECS), heat exchangers and related components. Its product portfolio serves commercial and military airframers, engine manufacturers and airlines, offering critical systems that regulate cabin pressure, temperature and ventilation on fixed-wing and rotary aircraft.

Key offerings include air cycle machines, preconditioned air units, steam/water separators and specialty heat exchangers engineered to meet stringent aerospace standards.