EMBJ

Investors interested in Aerospace - Defense stocks are likely familiar with Embraer (EMBJ) and RTX (RTX). But which of these two stocks presents investors with the better value opportunity right now?

TORONTO--(BUSINESS WIRE)--Porter Aviation Holdings Inc. (PAHI), the parent company of Porter Airlines, has secured financing with the Brazilian Development Bank (BNDES) for up to 19 Embraer E195-E2 aircraft. BNDES's commitment is fully backed by Export Credit Insurance from the Export Credit Guarantee Fund (FGE) of Brazil, managed by the Brazilian Agency for Guarantee Funds and Guarantees (ABGF). The aircraft are part of Porter's existing firm order for 75 E2s, of which 54 have already been del.

Embraer remains a strong buy, with 14% undervaluation and sequential upside potential despite recent underperformance vs. the S&P 500. EMBJ forecasts demand for 8,500 sub-150-seat jets by 2045 but faces intensifying competition from Airbus and shifting industry trends toward larger aircraft. Growth drivers include defense demand, high-margin aftermarket services, and plans to streamline production, though free cash flow guidance remains conservative.

Both BA and EMBJ are leading aircraft manufacturers with strong exposure to commercial aviation, while both also have defense and services businesses.

Investors need to pay close attention to EMBJ stock based on the movements in the options market lately.

I reaffirm my buy rating on Embraer, citing a compelling valuation and recent management actions to mitigate key risks. EMBJ trades at a 9% EV/EBITDA discount to peers, with a 16.5% upside if it returns to its historical premium. The $32.1 billion diversified backlog provides strong visibility and resilience across commercial, executive, and defense aviation segments.

A Greek parliament committee approved on Thursday the purchase of three Brazilian-made Embraer ​C-390 military transport aircraft and several ‌types of drones from the U.S. and Israel, two people with knowledge of the matter told Reuters.

EMBJ rides E2 jet orders, strong executive deliveries and defense partnerships, while supply-chain and labor shortages threaten near-term output.

- Production of the Phenom 100EX inlets will supplement the current Phenom 300E inlet program – EDGEWOOD, N.Y., June 04, 2026 (GLOBE NEWSWIRE) -- CPI Aerostructures, Inc. (“CPI Aero®” or the “Company”) (NYSE American: CVU) announced today that Embraer (NYSE: EMBJ/ B3: EMBJ3), has awarded a life-of-program supply agreement to CPI Aero to manufacture engine inlet assemblies for the Embraer Phenom 100EX business jets.

Embraer shares are fairly valued after a recent decline, with no compelling catalyst for multiple expansion or outperformance. Despite record revenue and backlog, weaker margins in commercial and executive segments led to an earnings miss, tempering enthusiasm. Guidance was reaffirmed, projecting $8.2–$8.5B in revenue and $751M adjusted EBIT, but EBITDA growth is slowing versus prior years.