Embraer - AI Stock Analysis

Analysis generated January 13, 2026

Embraer is a leading aerospace company based in Brazil, known for its strong presence in commercial, executive, and defense aviation markets. The company has a diversified portfolio, producing a wide range of aircraft and aerospace solutions. Embraer consistently innovates, playing a critical role in global regional aviation markets.

Fundamental Analysis

Revenue for the last quarter was $1.81 billion. This represents a significant increase of 64.31% compared to the previous quarter, signaling robust growth. Year-over-year, revenue increased by 21.29%, indicating sustained growth and a positive future outlook.

Net income for the last quarter was $79 million. While this is an increase of 7.89% from the previous quarter, it is down by 20.33% year-over-year, which could be a point of concern, indicating some underlying profitability challenges.

EBITDA for the last quarter was $164 million. This represents a decrease of 13.16% compared to the previous quarter and a year-over-year decrease of 34.08%. This substantial drop may suggest increasing costs or operational inefficiencies that need to be addressed.

The current Price to Earnings (P/E) ratio is 37.71. This relatively high value suggests that the stock may be overvalued, potentially leading to a bearish outlook among investors.

Technical Analysis

Today’s stock price of $64.48 has remained stable over the past month, suggesting short-term price stability. Over the long term, the price has increased by 70.90% over the past year, indicating a strong upward trend.

The Simple Moving Average (SMA10) remains at 64.48, showing no significant change in trend. The Relative Strength Index (RSI) is 71.6, indicating that the stock is potentially overbought and could be headed for a short-term bearish phase.

Alternative Data Analysis

Job postings at Embraer have decreased by 20% over the past couple of months, which may indicate cost-cutting measures or efforts to improve margin efficiency. Employee sentiment towards the company's business outlook remains neutral.

In terms of customer acquisition, Embraer reports approximately 250,000 website visitors with stable engagement, not showing any significant increase or decrease. Social media engagement also remains steady with 930,000 Instagram followers and 170,000 Twitter followers.

According to AltIndex's AI predictive model, Embraer has an AI score of 73, suggesting a buy signal based on comprehensive analysis involving fundamental, technical, and alternative data.

Conclusion and Recommendation

Embraer exhibits several promising signs of growth, particularly in terms of revenue increases both quarterly and year-over-year. However, the decline in net income and EBITDA year-over-year is concerning and needs attention. The company's stable stock price with a significant year-over-year increase and a high P/E ratio might attract cautious investors. Despite recent cost-cutting measures as indicated by job postings, the steady number of website visitors and social media engagement shows promising customer engagement.

Given Embraer's overall positive growth in revenue and the stable long-term stock performance, balanced with the challenges in profitability and operational efficiency, a cautious buy recommendation may be appropriate for investors willing to hold for the long term while staying tuned to future financial reports and market signals.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.