Investors need to pay close attention to EMBJ stock based on the movements in the options market lately.
Embraer remains a strong buy despite a 22.6% share price decline and weak 2026 guidance, with a price target of $91.96 implying 49% upside. Recent results show revenue and margin improvements across segments, but EBIT and free cash flow remain pressured by tariffs and a conservative management outlook. 2026 guidance is notably weak, with commercial and executive aviation delivery growth of just 3%-10% and free cash flow guidance lacking clarity, despite a solid $14.5B backlog.
EMBJ beats Q4 estimates with $2.65 billion in revenues and strong jet deliveries as defense, executive aviation and services growth help lift the backlog to $31.6 billion.
While the top- and bottom-line numbers for Embraer (EMBJ) give a sense of how the business performed in the quarter ended December 2025, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Embraer S.A. has delivered a 644.8% price return since September 2022, significantly outperforming the S&P 500. Operating leverage is set to improve through streamlined deliveries, higher production capacity, and margin expansion, especially in Commercial and Executive Aviation. Despite recent gains, EMBJ stock remains undervalued versus peers, with a 17% upside to a $92.45 price target as operational efficiencies and working capital improve.
Brazilian planemaker Embraer aims to restore annual deliveries to pre-pandemic levels of around 100 units within the next two years and then grow further following a recent boom in orders for its regional jets, its top commercial executive said.
Brazil's Embraer has signed cooperation deals in the aviation and defence sectors with five companies owned by Polish Armaments Group (PGZ), the Polish holding company said.
Embraer continues to outperform, with shares up 517% since September 2022, driven by a leaner, focused aerospace and defense strategy. EMBJ's Q3 results show strong commercial and defense demand, improved operating leverage, and a $31.3 billion backlog, despite tariff and margin pressures. The company is boosting shareholder returns through dividends and a share repurchase program, supported by low net debt and a robust free cash flow outlook.
EMBJ shares rose after Q3 results showed 18% revenue growth and solid jet deliveries, despite weaker earnings.
ERJ secures a $1.8B order from TrueNoord for 20 E195-E2 jets, underscoring surging demand for efficient, right-sized aircraft.
Investors looking for ways to find stocks that are set to beat quarterly earnings estimates should check out the Zacks Earnings ESP.
ERJ signs agreement with SNC to sell one A-29 Super Tucano, bolstering its defense backlog and global presence in military aviation.