During Q3 2026, the Polen 5Perspectives Small-Mid Growth Composite Portfolio returned -12.5% (net of fees) compared to the -10.4% return of the Russell 2500 Growth Index. The top contributors to the Portfolio's relative performance in the quarter were Twist Bioscience, Twilio, and Embraer. The most significant detractors from the Portfolio's relative performance in the quarter were nLight, Terawulf, and BWX Technologies.
BWX Technologies' nuclear growth, $1.4 billion in naval contracts and raised 2026 guidance bolster its outlook, but valuation, margin pressure and execution risks warrant caution.
BWX Technologies' 19.8% stock decline offers a more attractive entry point as nuclear demand and backlog grow, but valuation, margin pressure and execution risks warrant caution.
| Aerospace & Defense Industry | Industrials Sector | Rex D. Geveden CEO | XMEX Exchange | US05605H1005 ISIN |
| US Country | 10,400 Employees | 18 Aug 2026 Last Dividend | 1 Jul 2015 Last Split | 2 Aug 2010 IPO Date |
BWX Technologies, Inc., a prominent company in the nuclear industry, operates on a global scale with its base in Lynchburg, Virginia. Initially known as The Babcock & Wilcox Company, it underwent a rebranding to BWX Technologies, Inc. in June 2015. Founded in 1867, the company has built a solid reputation for manufacturing and selling nuclear components, with its operations branching into the United States, Canada, and other international markets. BWX Technologies divides its operations into two main segments: Government Operations and Commercial Operations, catering to a diverse clientele that includes naval and commercial shipping customers, along with colleges, universities, and national laboratories. This strategic segmentation allows BWX Technologies to leverage its expertise in naval nuclear components, reactors, nuclear fuel, and a range of other nuclear-related services and products.
This involves the design and manufacture of critical components for naval nuclear reactors, including reactors themselves and nuclear fuel, to support the navy's fleet.
The company is also engaged in the down-blending of government stockpiles of uranium, handling, storing, characterizing, dissolving, recovering, and purifying uranium-bearing materials. Additionally, it supplies research reactor fuel elements to academic and national research facilities.
In the commercial sector, BWXT manufactures steam generators, heat exchangers, pressure vessels, and various reactor components essential for nuclear power plants. This extends to auxiliary equipment such as storage containers for nuclear fuel and high-level nuclear waste.
BWX Technologies offers comprehensive in-plant inspection, maintenance, and modification services, alongside non-destructive examination and tooling/repair solutions, supporting the ongoing operation and safety of nuclear facilities.
The company provides nuclear fuel, fuel handling systems, tooling delivery systems, nuclear grade materials, and precisely machined components, along with related services, tailored for CANDU reactors, a type of nuclear reactor developed by Canada.
On the cutting edge of nuclear medicine, BWX Technologies ventures into the health sector by manufacturing medical radioisotopes and radiopharmaceuticals for diagnostic and therapeutic purposes, in addition to medical devices.