Embraer Continues Strong Revenue Growth and Margin Trajectory

Goldman Sachs maintains a Buy rating on Embraer with a new $82 price target following 1Q26 revenue that beat expectations, despite softer EBITDA and cash flow.

Key Takeaways

• 1.Embraer reported strong 1Q26 revenue growth of 31% yoy, exceeding consensus estimates, primarily driven by Commercial and Defense segments.
• 2.Free cash flow and EBITDA were softer than consensus expectations in 1Q26, but the company reiterated its full-year 2026 guidance.
• 3.The stock remains Buy-rated with an attractive valuation of 8.8X CY27E EBITDA and a price target raised to $82.

Table of Contents

• Our view on the stock post 1Q26 earnings
• Key elements of the quarter
• GS Factor Profile
• Ratios & Valuation
• Growth & Margins (%)
• Price Performance
• Income Statement ($ mn)
• Balance Sheet ($ mn)
• Cash Flow ($ mn)
• Revenue
• Margin
• Backlog
• Balance sheet and cash flow
• Guidance
• Price target methodology and key risks

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