Blue Bird (NASDAQ:BLBD) Shares Down 10% – What’s Next?

Blue Bird Corporation (NASDAQ:BLBD)’s share price dropped 10% during trading on Thursday . The stock traded as low as $68.18 and last traded at $69.26. 173,605 shares were traded during trading, a decline of 61% from the average daily volume of 439,607 shares. The stock had previously closed at $76.93.

Blue Bird News Summary

Here are the key news stories impacting Blue Bird this week:

• Positive Sentiment: Quarterly results exceeded expectations. Blue Bird reported fiscal Q3 earnings of $1.28 per share, ahead of analyst estimates ranging from $1.22 to $1.25 and up from $1.19 a year earlier. Revenue reached $517.16 million, well above the $485.73 million consensus estimate. Blue Bird Q3 earnings and revenues top estimates
• Positive Sentiment: Revenue outlook was raised or reaffirmed above consensus. Blue Bird provided fiscal 2026 revenue guidance of approximately $1.8 billion, compared with analyst expectations near $1.7 billion. The company’s high profitability, including a reported 17.48% net margin and 53.78% return on equity, further supports the bullish reaction. Blue Bird quarterly earnings report
• Positive Sentiment: Analysts raised their valuation targets. BTIG lifted its price target from $80 to $95, DA Davidson raised its target from $86 to $91 and Needham reaffirmed a Buy rating with an $86 target. These targets imply substantial upside from recent trading levels and indicate continued confidence in Blue Bird’s earnings outlook. Analyst price target updates
• Positive Sentiment: Ford collaboration may strengthen manufacturing capabilities. Blue Bird plans to assemble bus chassis in collaboration with Ford, a move that could support production flexibility and supply-chain efficiency. The financial impact and implementation details remain to be established. Blue Bird to assemble chassis with Ford
• Neutral Sentiment: Short-term trading has been volatile. Coverage also focused on why BLBD shares were falling during part of the session, indicating that some investors may have been digesting the earnings release or taking profits after earlier moves. The broader earnings and analyst news flow remains favorable. Why Blue Bird shares were falling

Analyst Ratings Changes

Several equities research analysts have issued reports on the company. Barclays increased their price target on Blue Bird from $75.00 to $85.00 and gave the stock an “overweight” rating in a report on Monday, July 20th. Roth Capital began coverage on Blue Bird in a research report on Thursday, June 25th. They issued a “buy” rating and a $94.00 price objective for the company. DA Davidson increased their target price on Blue Bird from $86.00 to $91.00 and gave the stock a “buy” rating in a research note on Thursday. Freedom Capital downgraded shares of Blue Bird from a “strong-buy” rating to a “hold” rating in a report on Thursday, May 7th. Finally, Wall Street Zen lowered shares of Blue Bird from a “buy” rating to a “hold” rating in a research note on Saturday, July 25th. Seven research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $85.50.

Blue Bird Stock Up 4.2%

The company has a debt-to-equity ratio of 0.17, a current ratio of 1.64 and a quick ratio of 1.27. The firm’s 50 day moving average is $75.12 and its two-hundred day moving average is $64.95. The firm has a market capitalization of $2.18 billion, a P/E ratio of 8.36, a PEG ratio of 0.89 and a beta of 1.36.

Blue Bird (NASDAQ:BLBD) last released its quarterly earnings data on Wednesday, August 5th. The company reported $1.28 earnings per share for the quarter, topping the consensus estimate of $1.25 by $0.03. The company had revenue of $517.16 million for the quarter, compared to analyst estimates of $485.73 million. Blue Bird had a net margin of 17.48% and a return on equity of 39.97%. Research analysts predict that Blue Bird Corporation will post 4.5 EPS for the current year.

Institutional Trading of Blue Bird

Institutional investors and hedge funds have recently bought and sold shares of the business. Meeder Asset Management Inc. acquired a new stake in shares of Blue Bird in the second quarter valued at approximately $1,222,000. BlackRock Inc. acquired a new position in shares of Blue Bird during the 2nd quarter worth approximately $207,493,000. Dunhill Financial LLC acquired a new position in shares of Blue Bird during the 2nd quarter worth approximately $39,000. Panoramic Capital Partners LLC bought a new stake in Blue Bird in the 2nd quarter valued at $237,000. Finally, Deutsche Bank AG bought a new stake in Blue Bird in the 2nd quarter valued at $10,998,000. Institutional investors own 93.59% of the company’s stock.

Blue Bird Company Profile

Blue Bird Corporation (NASDAQ: BLBD) is a leading manufacturer of buses and mass transportation vehicles headquartered in Fort Valley, Georgia. The company’s core business encompasses the design, engineering, and production of school buses and activity buses, with a product lineup that includes conventional (Type C) models, transit-style (Type D) models and specialty configurations for special-needs and activity transport. In recent years, Blue Bird has expanded its offerings to include zero-emission electric school buses, reflecting its commitment to advanced propulsion technologies and environmental sustainability.

Established in 1927, Blue Bird has built a legacy of safety and reliability in student transportation.