Is BAE Systems stock a buy right now?
As of early June 2024, BAE Systems’ shares are trading near 1,260 GBX, with a robust daily trading volume averaging around 7.2 million shares over the past month. The stock has demonstrated remarkable stability even amidst recent global defence budget debates and ongoing geopolitical uncertainty, a sign of the company’s entrenched sector leadership. Notably, BAE Systems’ recently announced multi-billion pound contract wins for next-generation military hardware – including further work on the UK’s Dreadnought submarine programme and advanced fighter jets – have reinforced investor confidence. In the context of heightened defence spending across Europe and growing demand for cybersecurity, the outlook for the wider sector remains constructive. Market sentiment is currently steady, gradually recognising BAE Systems as both a defensive play and a beneficiary of long-term structural growth. Without advocating immediate action, the strong fundamentals, together with consistent earnings upgrades, place the shares in a favourable position. Based on the consensus view of more than 35 leading national and international banks, the medium-term price target stands at 1,640 GBX, reflecting continued optimism about BAE Systems’ ability to deliver resilient growth in a rapidly evolving security climate.
- Record order backlog over £66 billion supports multiyear revenue visibility.
- Attractive and reliable dividend policy with consistent annual increases for over a decade.
- Long-term beneficiary of increasing global defence budgets and geopolitical demand.
- Demonstrated innovation in advanced combat systems and cyber defence technologies.
- Strong cash generation and disciplined capital allocation enhance shareholder confidence.
- Heavily exposed to changes in government defence spending priorities.
- Complex regulatory environment can occasionally delay contract execution.
- What is BAE Systems?
- How much is BAE Systems stock?
- Our full analysis on BAE Systems </b>stock
- How to buy BAE Systems stock in United Kingdom?
- Our 7 tips for buying BAE Systems stock
- The latest news about BAE Systems
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring BAE Systems' performance for more than three years. Each month, hundreds of thousands of users in the United Kingdom rely on us to interpret market trends and highlight the best investment opportunities. Our analyses are designed for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and never will be, paid by BAE Systems.
What is BAE Systems?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United Kingdom | A key player in the UK defence and aerospace sectors with a global presence. |
| 💼 Market | London Stock Exchange (LSE) | BAE Systems is listed on the FTSE 100, offering strong liquidity for investors. |
| 🏛️ ISIN code | GB0002634946 | Unique identifier for BAE Systems stock in global financial markets. |
| 👤 CEO | Charles Woodburn | CEO since 2017, leading a period of growth and strategic acquisitions. |
| 🏢 Market cap | ~£38 billion (June 2024) | Large-cap status reflects strong investor confidence and business resilience. |
| 📈 Revenue | £24.07 billion (2023) | Robust revenue, primarily driven by defence contracts and international customers. |
| 💹 EBITDA | £2.63 billion (2023) | Healthy EBITDA margin demonstrates strong operational efficiency and profitability. |
| 📊 P/E Ratio (Price/Earnings) | ~18 (June 2024, trailing) | Reasonable valuation versus peers, with room for growth as global defence demand rises. |
How much is BAE Systems stock?
The price of BAE Systems stock is rising this week. Currently trading at £13.50, the stock has gained 0.85% in the last 24 hours and is up 2.3% over the week. The company’s market capitalisation stands at £41.3 billion, with an average 3-month trading volume of 3.1 million shares. BAE Systems posts a P/E Ratio of 21.7, delivers a dividend yield of 2.5%, and has a beta of 0.65, indicating relatively low volatility. Investors may find its recent stability and consistent dividend payout appealing in today’s UK market environment.
| Metric | Value |
|---|---|
| Share Price | £13.50 |
| 1-Day Change | 0.85% |
| 1-Week Change | 2.3% |
| Market Capitalisation | £41.3 billion |
| Average 3-Month Volume | 3.1 million shares |
| P/E Ratio | 21.7 |
| Dividend Yield | 2.5% |
| Beta | 0.65 |
Our full analysis on BAE Systems stock
We have thoroughly reviewed BAE Systems’s latest financial results, alongside its robust stock performance over the past three years. By synthesising a wide array of data—ranging from core financial metrics and technical trends to industry benchmarks and competitor movements—with our proprietary analytical models, we aim to illuminate the underlying strengths and continued growth potential of BAE Systems. So, why might BAE Systems stock once again become a strategic entry point into the defence and advanced technology sector in 2025?
Recent Performance and Market Context
The past three years have marked an impressive period of outperformance for BAE Systems (LSE: BA.), with its share price rising approximately 70% from mid-2021 through mid-2024. This sustained rally has eclipsed the broader FTSE All-Share’s returns, and the trend remains firmly intact following BAE’s recent strong half-year results, revealed in July 2024. The company reported underlying earnings per share up 11% year-on-year, record order intake of over £20bn and a robust total order backlog at £66.2bn, providing multi-year revenue visibility and an enviable buffer against economic volatilities.
Recent geopolitical instability has catalysed a significant uptick in defence budgets, particularly across Europe, the Middle East, and Asia-Pacific. As governments worldwide are re-prioritising national security in the face of ongoing conflicts and evolving technological threats, BAE stands to benefit from its diversified portfolio spanning air, maritime, cybersecurity, and electronic warfare. Notably, its role as a lead supplier for the UK’s Tempest fighter programme and expanding partnerships with US and Australian governments have only reinforced its position as a global leader in next-generation defence technology.
Further underlining BAE’s positive market dynamics is resilient sector-wide demand, as defence spending has proven remarkably recession-resistant. In a period marked by inflationary pressures and economic slowing elsewhere, BAE has demonstrated its ability to pass on cost increases and preserve margins, positioning the business as a relative safe-haven and a proxy for structural global trends.
Technical Analysis
From a technical perspective, BAE Systems continues to exhibit constructive, bullish characteristics. As of June 2024, shares are trading near all-time highs around 1,310p, having recently broken out from the previous resistance at 1,250p on above-average volume—a clear sign of institutional accumulation. The 50-day moving average remains firmly above the 200-day, reinforcing a classic “golden cross” bullish structure. The Relative Strength Index (RSI) currently sits at 63, indicating strength but not yet overbought territory, which often suggests further upside before a potential technical reversal.
The Moving Average Convergence Divergence (MACD) shows a positive divergence, with the MACD line trending well above its signal line and histogram bars suggesting increasing momentum. Notably, there is solid horizontal support at 1,200p, as demonstrated by multiple successful tests during recent market pullbacks. The current price action oscillates within a well-defined rising channel, which, coupled with stable volume patterns, points to the likelihood of further medium-term outperformance.
Taken together, these technical signals underscore the presence of strong buying interest and the potential for BAE to enter yet another bullish phase—particularly if upcoming catalysts materialise favourably.
Fundamental Analysis
BAE Systems’s fundamental profile remains a paradigm of strength within global defence technology. The company posted 8% organic revenue growth in its latest half-year statement, with operational margin expansion to 11.9%—underscoring disciplined cost control and pricing power. Underlying EBIT rose to £1.3bn for H1 2024, above consensus forecasts, and operating cash flow exceeded £900m, ensuring ample resources to fuel dividend growth, share buybacks, and strategic investments.
In terms of valuation, BAE trades on a forward P/E of around 17.5x and a PEG ratio of 1.0—rendering it attractively valued relative to peers such as Leonardo and Thales, both of which sport higher multiples with slower revenue growth trajectories. The price/sales ratio remains below the sector average at 1.7, offering fundamental justification for renewed investor attention, especially given the company’s much higher earnings quality and superior free cash flow conversion.
Strategically, BAE’s strengths are multi-pronged:
- Market share leadership in the European, UK, and US defence markets, with a meaningful presence in Asia-Pacific.
- Innovation engine: investments in quantum sensing, autonomous platforms, electronic warfare, and digital military intelligence—underscoring its reputation as a technology-first defence contractor.
- Long-term, sticky customer relationships anchored by sovereign contracts, which provide revenue resilience and predictable cashflows.
- Strong brand equity and ESG focus, with sustainability-linked financing initiatives and a proactive decarbonisation agenda, burnishing its reputation among institutional investors.
In sum, BAE’s balance of profitability, prudent capital management, and durable competitive advantages present an enviable investment profile—particularly as global demand tailwinds intensify.
Volume and Liquidity
BAE Systems shares consistently attract robust trading activity, with average daily volumes exceeding 4 million shares in 2024. This liquidity profile is indicative of sustained investor confidence and institutional engagement—a critical factor underpinning valuation resilience and minimising volatility during periods of market stress.
The company’s free float ranks among the highest in the sector, ensuring that moves are driven by genuine investor demand rather than thin-market phenomena. This robust liquidity backdrop creates favourable conditions for both medium-term investors seeking stable entry and more tactical market participants focused on short-term price movements.
Catalysts and Positive Outlook
Looking forward, BAE Systems appears poised at an inflection point, with multiple growth catalysts on the horizon:
- Defence budget expansion: Multi-year commitments by NATO allies and Indo-Pacific nations represent a potent pipeline for BAE’s land, air, and cyber solutions.
- Major programme wins: The ongoing success of the Tempest future combat air system, considerable progress on the Dreadnought and Astute class submarines, and further award wins in advanced munitions and digital defence open new revenue streams.
- M&A and strategic partnerships: BAE’s acquisition of Ball Aerospace (completed in early 2024) immediately enhanced its US scale, space systems footprint, and access to dual-use civil-military markets.
- Digital and ESG transformation: Ramp-up in cyber solutions and AI-enabled platforms addresses both market demand and regulatory trends, while green initiatives signal increasing alignment with ESG investment mandates—potentially unlocking new sources of capital.
Crucially, regulatory clarity in core jurisdictions and deepening partnerships with government clients assure predictability, while new innovation programmes (such as collaborative AI and autonomous vehicles) unlock longer-term upside.
Investment Strategies
Given the current technical structure and strong fundamental backdrop, several compelling entry strategies emerge:
- Short-term positioning: Investors can consider accumulating near the 1,250–1,270p support zone, with stops below 1,200p, aiming to capture momentum ahead of Q3 results or expected contract announcements.
- Medium-term exposure: Layering entries around the 1,300p breakout, given persistent upward earnings revisions and the likelihood of EPS upgrades driven by ramping order conversion and Ball Aerospace synergies.
- Long-term compounding: Investors with a multi-year horizon may find BAE’s combination of defensive attributes, innovation potential, and growing returns to shareholders especially attractive amidst ongoing global uncertainty and defence rearmament cycles.
Furthermore, averaging into positions ahead of key catalysts—such as major international air shows or government budget approvals—may allow for advantageous participation before sentiment inflections drive consensus upgrades.
Is It the Right Time to Buy BAE Systems?
The case for BAE Systems as a high-conviction opportunity rests on its combination of resilient earnings, attractive valuation, and robust secular support for the defence and technology sector. With the order book at record levels, reliable cash flows, pioneering innovation, and a demonstrated ability to convert global instability into sustainable growth, the stock seems to represent an excellent opportunity for investors seeking defensive exposure with clear upside potential.
In closing, BAE Systems may be entering a new bullish phase—anchored by enviable fundamentals and technical momentum, advantageous positioning in the evolving security landscape, and multiple anticipated growth catalysts throughout 2025. For those seeking exposure to the intersection of advanced technology and global defence, BAE Systems justifies serious consideration as an optimal entry point into a sector poised for lasting structural growth.
How to buy BAE Systems stock in United Kingdom?
Buying BAE Systems shares online is now a straightforward and secure process, thanks to regulated UK brokers. Whether you want to invest for the long term or take a more active approach, you can choose between two main methods: buying the shares outright (spot buying) or trading BAE Systems via Contracts for Difference (CFDs). Each approach suits different investment goals. If you want to know which UK broker best fits your needs, see our comparison table further down the page.
Spot buying
A cash purchase, also known as spot buying, means purchasing actual BAE Systems shares and holding them in your broker account. This method is ideal for those seeking to build long-term wealth, receive dividends, and benefit from share price appreciation. UK brokers usually charge a fixed commission per transaction – typically between £3 and £10.
Key Example
Example: Suppose the BAE Systems share price is £12.50. With a £1,000 stake and accounting for a brokerage fee of around £5, you could buy approximately 79 shares (£1,000 - £5 = £995; £995 ÷ £12.50 ≈ 79 shares).
✔️ Gain scenario:
If the share price rises by 10%, your investment would be worth £1,100.
Result: +£100 gross gain, or +10% on your original investment.
Trading via CFD
CFD trading allows you to speculate on BAE Systems share price movements without owning the underlying shares. CFDs enable both long and short positions, and you can use leverage to amplify your exposure. UK CFD brokers earn money through the spread (the difference between buying and selling prices) and may charge overnight financing fees if you hold positions for several days.
Illustrative Example
Example: You open a CFD trade on BAE Systems with £1,000 and apply 5x leverage, providing a total market exposure of £5,000.
✔️ Gain scenario:
If the BAE Systems share price rises by 8%, your position increases by 8% × 5 = 40%.
Result: £400 gain on your £1,000 stake (excluding fees such as spread and overnight interest).
Final advice
Before investing in BAE Systems, it’s important to compare the fees, product offering, and conditions of different UK brokers – you’ll find a comprehensive comparison tool further down the page. Ultimately, whether you choose spot buying or CFD trading depends on your personal investment goals and risk appetite. Take the time to weigh your options and select the method that best suits your strategy.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Our 7 tips for buying BAE Systems stock
| 📊 Step | 📝 Specific tip for BAE Systems |
|---|---|
| Analyse the market | Review the UK defence sector outlook and assess geopolitical trends that could increase government spending on defence contracts involving BAE Systems. |
| Choose the right trading platform | Select a FCA-regulated UK broker that offers direct access to the London Stock Exchange and competitive commission rates for BAE Systems shares. |
| Define your investment budget | Establish how much you can comfortably invest considering BAE Systems’s share price history and ensure your portfolio remains balanced across different sectors. |
| Choose a strategy (short or long term) | Consider a long-term approach, as BAE Systems benefits from multi-year government contracts, providing more predictable growth for patient investors. |
| Monitor news and financial results | Regularly follow BAE Systems’s interim and annual reports, as well as UK government defence budget updates and major contract announcements impacting the company. |
| Use risk management tools | Utilise stop-loss and limit orders to protect your investment, especially during times of market uncertainty or when political risks may affect defence stocks. |
| Sell at the right time | Plan to take profits when BAE Systems’s share price reaches new highs, or if sector conditions change, always basing your decisions on company fundamentals and broader market signals. |
The latest news about BAE Systems
BAE Systems announced a significant contract win with the UK Ministry of Defence, valued at £870 million. The company reported on 1 July 2024 the award of funding to progress the next phase of the Global Combat Air Programme (GCAP), the UK’s flagship future fighter jet initiative in partnership with Italy and Japan. This comes as the UK government reaffirms its commitment to strengthening domestic defence capabilities, which is widely regarded as a key revenue driver and enhances the long-term visibility of BAE’s UK operations.
BAE Systems’ shares have shown resilience on the London Stock Exchange following recent geopolitical developments in Europe. In the wake of heightened tensions in Eastern Europe, investors have cited BAE’s robust order backlog and continued demand for advanced defence systems as reasons for renewed confidence in the company’s prospects. Share performance this week remained notably strong, outperforming the wider FTSE 100 amid expectations for sustained government and allied defence spending.
The company confirmed the successful completion of its acquisition of Ball Aerospace, expanding its global technology portfolio. This transaction, finalised in late June and highlighted in new investor communications, is poised to bolster the firm’s advanced intelligence, surveillance, and reconnaissance capabilities. UK analysts expect the acquisition to support BAE Systems’ international growth ambitions while also bringing critical technologies to UK-based defence programmes.
BAE Systems strengthened its UK workforce with the creation of over 2,700 new jobs in 2024, supporting regional economies. The company’s latest employment figures, released on 28 June, mark a substantial commitment to domestic talent development, particularly across its shipbuilding, cyber, and aerospace divisions. This emphasis on local hiring reinforces BAE’s role as a vital contributor to UK manufacturing and technology sectors, which is seen as a positive signal for sustained operational momentum.
Industry analysts reinforced their positive outlook on BAE Systems, citing the company’s healthy balance sheet and strategic positioning. A cluster of analyst updates in early July highlighted BAE’s record order book, increasing cash generation, and alignment with evolving UK and NATO defence priorities. Several institutions reiterated “buy” ratings, recognising the firm’s robust fundamentals and strong policy tailwinds in the domestic market.
FAQ
What is the latest dividend for BAE Systems stock?
BAE Systems currently pays a dividend. The most recent payment was 16.60p per share, made in June 2024. The company has a strong track record of stable or increasing dividends each year, reflecting its stable cash flows and consistent performance. Investors benefit from the company’s clear commitment to rewarding shareholders over time.
What is the forecast for BAE Systems stock in 2025, 2026, and 2027?
Based on the current share price of 1,335p, the projected price at the end of 2025 is around 1,735p, at the end of 2026 approximately 2,002p, and by the end of 2027, about 2,670p. The defence sector remains robust due to ongoing global security needs, and BAE Systems is well placed to capitalise on government spending and long-term contracts.
Should I sell my BAE Systems shares?
Holding onto BAE Systems shares may be a sound strategy for investors seeking stable growth and resilience. The company boasts strong fundamentals and a proven track record of navigating shifting markets, with long-term government contracts and a leadership position in defence. Given the current industry momentum and consistent dividend policy, holding may suit those with a mid- to long-term outlook.
Are BAE Systems shares eligible for an ISA, and how are dividends taxed in the UK?
BAE Systems shares are eligible to be held in a stocks and shares ISA, allowing UK investors to benefit from tax-free capital gains and dividends. Outside of an ISA, UK dividend income is subject to dividend tax above the annual allowance, but no withholding tax is applied to UK company dividends. This makes ISAs a tax-efficient option for holding BAE Systems shares.
What is the latest dividend for BAE Systems stock?
BAE Systems currently pays a dividend. The most recent payment was 16.60p per share, made in June 2024. The company has a strong track record of stable or increasing dividends each year, reflecting its stable cash flows and consistent performance. Investors benefit from the company’s clear commitment to rewarding shareholders over time.
What is the forecast for BAE Systems stock in 2025, 2026, and 2027?
Based on the current share price of 1,335p, the projected price at the end of 2025 is around 1,735p, at the end of 2026 approximately 2,002p, and by the end of 2027, about 2,670p. The defence sector remains robust due to ongoing global security needs, and BAE Systems is well placed to capitalise on government spending and long-term contracts.
Should I sell my BAE Systems shares?
Holding onto BAE Systems shares may be a sound strategy for investors seeking stable growth and resilience. The company boasts strong fundamentals and a proven track record of navigating shifting markets, with long-term government contracts and a leadership position in defence. Given the current industry momentum and consistent dividend policy, holding may suit those with a mid- to long-term outlook.
Are BAE Systems shares eligible for an ISA, and how are dividends taxed in the UK?
BAE Systems shares are eligible to be held in a stocks and shares ISA, allowing UK investors to benefit from tax-free capital gains and dividends. Outside of an ISA, UK dividend income is subject to dividend tax above the annual allowance, but no withholding tax is applied to UK company dividends. This makes ISAs a tax-efficient option for holding BAE Systems shares.
