BAE SystemsXTER:BSP +0.81%86 EBITDA Margin % is 14.93% as of Dec. 2025, which is 4% above its 10-year median of 14.39. GuruFocus rates XTER:BSP with a GF Score™ of 86/100 and a GF Value™ of €19.49 (Fairly Valued). The stock has 2 warning signs investors should review. Among 347 Aerospace & Defense companies, BAE Systems ranks better than 61.67% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. BAE Systems's EBITDA for the
six
months ended in Dec. 2025 was €2,521 Mil. BAE Systems's Revenue for the
six
months ended in Dec. 2025 was €16,880 Mil. Therefore, BAE Systems's EBITDA margin for the quarter that ended in Dec. 2025 was 14.93%.
BAE Systems (XTER:BSP) EBITDA Margin % Explanation
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
BAE Systems EBITDA Margin % Related Terms
BAE Systems EBITDA Margin % Historical Data
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The historical data trend for BAE Systems's EBITDA Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XTER:BSP vs GE, RTX, BA: EBITDA Margin % Comparison
For the Aerospace & Defense subindustry, BAE Systems's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
BAE Systems EBITDA Margin % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, BAE Systems's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where BAE Systems's EBITDA Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
BAE Systems (XTER:BSP) has a EBITDA Margin % of 14.93% as of Dec. 2025. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on BAE Systems and its competitors. This is near median its historical median of 14.39. Over the past decade, BAE Systems' EBITDA Margin % has ranged from 10.53 to 16.01. According to the industry distribution chart, BAE Systems ranks #133 out of 347 companies in the Aerospace & Defense industry, placing it in the top 38.3%.
Is BAE Systems' EBITDA Margin % too high?
BAE Systems' current EBITDA Margin % of 14.93% is near median its 10-year median of 14.39. Over the past 10 years, this metric has ranged from a low of 10.53 to a high of 16.01. The Aerospace & Defense industry median EBITDA Margin % is 11.96. BAE Systems' value of 14.93% is 24.8% above this industry median. Based on the distribution chart, BAE Systems ranks #133 out of 347 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, BAE Systems has a GF Score™ of 86/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does BAE Systems' EBITDA Margin % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, BAE Systems ranks #133 out of 347 companies for EBITDA Margin %. This puts BAE Systems in the upper half of its industry. The industry median EBITDA Margin % is 11.96. BAE Systems' value of 14.93% is 24.8% above this benchmark. Historically, BAE Systems' own EBITDA Margin % has ranged from 10.53 to 16.01 over the past decade. While the company's 10-year median is 14.39 vs. the industry median of 11.96, BAE Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for an Aerospace & Defense company?
The median EBITDA Margin % among Aerospace & Defense companies is 11.96, based on 347 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. BAE Systems's current EBITDA Margin % of 14.93% is 24.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on BAE Systems and its competitors. For the Aerospace & Defense industry, the median EBITDA Margin % is 11.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BAE Systems's current EBITDA Margin % is 14.93%, which is near median its own 10-year median of 14.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BAE Systems stock overvalued right now?
Based on GuruFocus' analysis, BAE Systems (XTER:BSP) is currently considered Fairly Valued. The stock's GF Value™ is €19.49, compared to a current price of €21.17 — trading 8.6% above its estimated fair value. The current EBITDA Margin % is 14.93%, which is near median its 10-year median of 14.39 and 24.8% above the Aerospace & Defense industry median of 11.96. BAE Systems' overall GF Score™ is 86/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For BAE Systems (XTER:BSP), the current EBITDA Margin % is 14.93% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is BAE Systems (XTER:BSP) Overvalued in 2026?
Based on GuruFocus' analysis, BAE Systems stock appears to be overvalued.
The current stock price of €21.17 is trading 8.6% above its estimated GF Value™ of €19.49.
GuruFocus considers BAE Systems to be Fairly Valued.
Key valuation signals for XTER:BSP:
EBITDA Margin %: 14.93% (near median its 10-year median of 14.39)
GF Value™: €19.49 vs. price of €21.17 (8.6% above fair value)
Industry Position: 24.8% above the Aerospace & Defense median (#133 of 347)
No single metric tells the full story. See the XTER:BSP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BAE Systems is a British global defense, security, and aerospace company and the largest defense contractor in Europe; it is one of six prime contractors to the US Department of Defense. For reporting purposes, the company has five operating segments: electronics systems is the group's US- and UK-based electronic warfare systems; the cyber, security, and intelligence segment supplies intelligence and security solutions to the US government; platforms and services manufactures combat vehicles and munitions and performs ship repair services to the US Defense Department; the air segment includes BAE's share of US and European air programs as well as its businesses in Saudi Arabia and Australia, and the maritime segment comprises UK land- and marine-based activities.
86GF Score
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EBITDA Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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