Why Is BW Stock Surging More Than 40% Overnight?

The company posted a 130% increase in quarterly revenue, which far exceeded Wall Street’s expectations.

• It swung to a net income of $14.3 million in the quarter from a net loss of $58.5 million in the same period of 2025.
• CEO Kenneth Young attributed the strong Q2 results to strong demand for core services, environmental technologies as well as coal and natural gas solutions amid a boom in AI data center power requirements.
• The company’s backlog jumped about 533% to $2.6 billion and its total global pipeline now exceeds $14 billion.

Shares of Babcock & Wilcox Enterprises Inc. (BW) surged more than 40% in the overnight session late Monday after the company’s blockbuster second-quarter (Q2) results crushed analyst expectations. 

The company posted a 130% surge in quarterly revenue, which came in at $319.7 million and far exceeded Wall Street’s expectations of $196.97 million, as per data from Fiscal.ai. 

It also swung to a net income of $14.3 million in the quarter from a net loss of $58.5 million in the same period of 2025. Earnings per share came in at $0.07, beating consensus estimates of $0.03. 

Strong Demand From Data Centers Bolsters Growth 

CEO Kenneth Young attributed the strong Q2 results to strong demand for core services, environmental technologies as well as coal and natural gas solutions amid a boom in AI data center power requirements. Increased demand from utilities, industrial customers and expanding economies also added to the growth. 

Young added that the BW is engaging in active discussions on other AI data center opportunities and has also placed additional orders with Siemens Energy to secure an additional 1 gigawatt of steam turbines in the next 12 to 15 months to secure speed to markets that will help the company “to capitalize on strong global demand for baseload generation and behind-the-meter data center projects."

Babcock & Wilcox recorded bookings worth $151.0 million in Q2, a 38% increase compared to the same period last year. Meanwhile, backlog jumped about 533% to $2.6 billion. The company also said that its total global pipeline exceeds $14 billion.

Update On First Data Center Project

Young also said the company’s first data center project with Base Electron is ahead of schedule and on budget, with manufacturing of boilers, steam turbines and other long-lead components progressing rapidly. 

Permitting is also underway, as the company prepares to deploy its natural gas-fired boilers and related technologies alongside Siemens Energy steam turbine systems. 

“This progression with Base Electron further demonstrates our ability to rapidly deploy power solutions, which is a key differentiator that enhances our competitive position in pursuing other data center opportunities,” he added. 

The Akron, Ohio-based company raised the full year 2026 adjusted EBITDA target to between $80 million and $105 million.

BW Stock: Retail Traders’ Stance

On Stocktwits, retail sentiment for BW jumped from ‘bearish’ to ‘extremely bullish’ over 24 hours as message volume surged a whopping 10,900%. 

One user noted, “$BW I read the ER announcement again and noticed they secured another deal with Siemens and labor from the unions which are the most shortage factors in building data centers, they're ahead of the game. And it seems another project is on the way.”

Another user said, “$BW Tomorrow 15$. By Friday 18$.” The shares closed at $8.88 on Monday. 

A third user said, “$BW Trust the process. Dont look at 0.5$/share up or down. Its going to 20$ by few days. The news is really big. Undervalued company for sure.”

BW stock is up nearly 40% so far in 2026. 

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