TAT Technologies (NASDAQ:TATT) Posts Quarterly Earnings Results, Beats Estimates By $0.05 EPS

Posted by Brenda Bartman on Aug 6th, 2026

TAT Technologies (NASDAQ:TATT – Get Free Report) posted its quarterly earnings data on Wednesday. The aerospace company reported $0.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.30 by $0.05, FiscalAI reports. TAT Technologies had a net margin of 9.27% and a return on equity of 9.47%. The company had revenue of $52.94 million for the quarter, compared to the consensus estimate of $44.86 million.

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

Record backlog and strong demand drove second-quarter revenue up nearly 23% year over year to $52.9 million, with backlog and long-term agreements reaching a record $650 million.
The expanded Honeywell relationship makes TAT the sole global authorized distributor of spare parts for the 331-250 APU platform, extends the MRO license through 2036, and adds three 131-9A APUs to its trading and leasing business.
Profitability improved despite supply-chain inefficiencies, with operating margin rising to 10.6% and gross margin remaining above 25%; management expects further operating leverage as revenue grows.
Supply-chain constraints remain a risk, particularly in landing gear and APU parts, where lead times can exceed 12 months. The company is increasing inventory and paying higher procurement costs, which is pressuring margins and near-term cash flow.
Net income benefited from a $4.3 million one-time gain, while operating cash flow was negative $0.6 million due to inventory investments and delayed collections. Management is evaluating a robust M&A pipeline, intending to maintain disciplined valuations and moderate leverage.

TAT Technologies Price Performance

TAT Technologies stock traded down $2.73 during mid-day trading on Thursday, hitting $39.89. 246,478 shares of the company were exchanged, compared to its average volume of 196,596. The company has a market capitalization of $518.49 million, a PE ratio of 30.92 and a beta of 1.00. The business has a fifty day moving average of $43.40 and a 200 day moving average of $45.07. TAT Technologies has a 1-year low of $30.35 and a 1-year high of $64.50. The company has a quick ratio of 2.46, a current ratio of 4.69 and a debt-to-equity ratio of 0.05.

Key TAT Technologies News

Here are the key news stories impacting TAT Technologies this week:

Positive Sentiment: Analyst raises price target: B. Riley Financial increased its target for TAT Technologies from $61 to $65 and assigned a “Buy” rating. The new target implies substantial upside from the stock’s recent trading level. Benzinga
Positive Sentiment: Record second-quarter results: TAT Technologies reported revenue of $52.94 million, up 22.8% year over year and well above the $44.86 million consensus estimate. Adjusted earnings of $0.35 per share also exceeded expectations of $0.28-$0.30. TAT Technologies Reports Record Second Quarter 2026 Results
Positive Sentiment: Visibility improved: Management reported record backlog and long-term agreements totaling $615 million, while easing supply-chain conditions and sustained aerospace demand support future revenue growth. TAT Technologies Q2 2026 Earnings Call Transcript
Positive Sentiment: Profitability and balance sheet remain solid: The quarter produced a 9.27% net margin and 9.47% return on equity. A recent Form 6-K also highlighted balance-sheet improvements, potentially reducing financial risk. TAT Technologies Balance Sheet Update
Neutral Sentiment: Why the stock may still be under pressure: Shares trade at roughly 31 times earnings and remain below their 50-day and 200-day moving averages. With no major negative announcement in the reports, the weaker trading appears more consistent with valuation concerns or investors locking in gains after the earnings beat.

Insider Buying and Selling at TAT Technologies

In other news, insider Paul Maness sold 5,000 shares of the business’s stock in a transaction on Wednesday, June 17th. The shares were sold at an average price of $45.41, for a total value of $227,050.00. Following the sale, the insider owned 5,000 shares in the company, valued at approximately $227,050. The trade was a 50.00% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, COO Jason Lewandowski sold 3,125 shares of the stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $39.22, for a total transaction of $122,562.50. Following the sale, the chief operating officer owned 3,125 shares of the company’s stock, valued at $122,562.50. This trade represents a 50.00% decrease in their position. The SEC filing for this sale provides additional information. 8.75% of the stock is currently owned by insiders.

Institutional Trading of TAT Technologies

Hedge funds have recently modified their holdings of the company. Wasatch Advisors LP grew its position in TAT Technologies by 143.0% during the 2nd quarter. Wasatch Advisors LP now owns 781,216 shares of the aerospace company’s stock worth $23,858,000 after acquiring an additional 459,693 shares during the last quarter. Russell Investments Group Ltd. increased its holdings in TAT Technologies by 71.2% during the 4th quarter. Russell Investments Group Ltd. now owns 258,153 shares of the aerospace company’s stock valued at $11,529,000 after purchasing an additional 107,353 shares in the last quarter. Boston Partners raised its position in TAT Technologies by 38.8% in the 4th quarter. Boston Partners now owns 223,498 shares of the aerospace company’s stock valued at $9,984,000 after purchasing an additional 62,510 shares during the last quarter. JPMorgan Chase & Co. raised its position in TAT Technologies by 470.4% in the 2nd quarter. JPMorgan Chase & Co. now owns 69,618 shares of the aerospace company’s stock valued at $2,126,000 after purchasing an additional 57,412 shares during the last quarter. Finally, Bank of America Corp DE boosted its stake in TAT Technologies by 713.2% in the second quarter. Bank of America Corp DE now owns 56,085 shares of the aerospace company’s stock worth $1,713,000 after purchasing an additional 49,188 shares in the last quarter. Institutional investors and hedge funds own 15.13% of the company’s stock.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on TATT shares. Truist Financial raised TAT Technologies to a “strong-buy” rating in a research report on Friday, May 1st. Weiss Ratings cut TAT Technologies from a “buy (b-)” rating to a “hold (c+)” rating in a report on Monday, June 15th. B. Riley Financial raised their price objective on TAT Technologies from $61.00 to $65.00 and gave the stock a “buy” rating in a research report on Thursday. William Blair reissued a “hold” rating on shares of TAT Technologies in a report on Wednesday, July 15th. Finally, Benchmark restated a “buy” rating on shares of TAT Technologies in a research report on Wednesday, July 15th. Two analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, TAT Technologies presently has an average rating of “Moderate Buy” and an average target price of $57.86.

Read Our Latest Analysis on TAT Technologies

About TAT Technologies

(Get Free Report)

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.