01:22 AM EDT, 07/31/2026 (MT Newswires) -- Berenberg revised its price target and earnings forecasts for Airbus (AIR.PA, AIR.F), noting growth in the defense segment bolstered the European aircraft manufacturer's second-quarter results. "Airbus released an encouraging set of Q2 results on 29 July that were ahead of consensus on EBIT and [free cash flow]. The Defence & Space division performed strongly and was the driver of the adjusted EBIT beat; however, lower proportional R&D expenses explained much of the outperformance at the group level. Full-year guidance was reiterated, and the company pointed to several factors that will act as headwinds to the H2 performance. We make minor changes to our EPS estimates, raise our price target to EUR210 (from EUR205) and reiterate our Hold rating," the research firm said Thursday. For the three months ended June 30, Airbus' adjusted EBIT surged 54% to 2.43 billion euros, which came in 11% ahead of consensus. The company affirmed its full-year outlook, including 870 commercial aircraft deliveries and an adjusted EBIT of 7.5 billion euros. "Management emphasised the need to be cautious about extrapolating the H1 performance into H2. The company called out a more back-end-weighted increase in R&D and headcount in 2026 as contributors to the better-than-expected 10.2% adjusted EBIT margin in Defence & Space in H1, and therefore headwinds in H2," the note said. Against this backdrop, Berenberg lifted its full-year 2026 delivery forecast to 870 units from 868 units previously. Analysts also marginally raised their sales and adjusted EBIT assumptions for 2026 through 2028, while trimming their adjusted EPS estimates for the same three years.

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