Proactive Investors - BAE Systems (LON:BAES) is expected to report first-half numbers on 1 August with expectations moderating a little in recent weeks.
UBS is not expecting much guidance from the defence giant, and not an upgrade, especially with the US budget outlay situation (CR) still being worked through
Ultimately, UBS sees upside [upgrades to forecasts] risk here, but the bank believes management will want to maintain a conservative stance and tweak with the full-year result.
The CR will likely have weighed on revenues in the first half, adds UBS as will a weak ship repair environment while material shortages in the supply chain have been reported across the sector.