Blue Bird: Pricing Actions And Backlog Strength Provide Visibility For A Strong Second Half

Blue Bird Corporation is rated Buy, trading at a ~26% P/E discount to peers despite a strong margin profile and secular tailwinds. BLBD's revenue growth is supported by price hikes, backlog conversion, and a favorable product mix, with FY2026 net sales guided to $1.45–$1.55 billion. Adjusted EBITDA margins are expected to remain flat in FY2026, as pricing actions offset higher input costs and alternative powertrains drive future margin accretion.