A beat-and-raise fiscal third quarter was the fuel driving Blue Bird (BLBD 5.79%) stock forward this week. Thanks mostly to this the company’s shares motored over 27% higher during the period, according to data compiled by S&P Global Market Intelligence.

Blue’s success with yellow

That three-month period saw Blue Bird, a longtime manufacturer of school buses, hit new highs for both quarterly revenue and profitability. The former line item zoomed 19% higher to $398 million, while non-GAAP (adjusted) net income improved by more than 26% to $38.7 million ($1.19 per share).

Analysts were expecting the quarter to be profitable, but not this profitable. As a group they were modeling only $1 per share for adjusted net income. They also underestimated revenue, as they predicted less than $378 million.

Although it’s identified — if at all — with the traditional gas-guzzling yellow school buses, Blue Bird has been busily upgrading its signature product over the years. It has pushed assertively into the alternative-fuel space, embracing greener solutions such as electric vehicle (EV) technology.

In its earnings release, Blue Bird referred to “expanding its leadership” in such alt-fuel offerings. It also mentioned that it was able to successfully side-step many of the tariffs recently imposed by the Trump administration, among other results-boosting factors.

A lift in guidance

With that solid quarter at its back, Blue Bird felt confident enough to raise its full-year-2025 guidance. The company now expects to earn roughly $1.45 billion in revenue and post an adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) figure of $205 million to $215 million. It did not provide a net income estimate.

Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Blue Bird. The Motley Fool has a disclosure policy.

Space exploration equipment supplier Redwire‘s (RDW 23.39%) stock defied gravity in the best possible sense on Tuesday. Its shares seemed to be strapped to a rocket, as they closed the day nearly 21% higher on news of the company’s latest delivery. With that gain, they were practically in a different orbit than the S&P 500 index, which bumped higher by 2% on the day.

Next-generation brain in space

That morning, Redwire divulged it had delivered, to a business partner based in Italy, an onboard computer for one of the most important clients in the space exploration field. This is the European Space Agency (ESA), whose Comet Interceptor craft will use the device to assist it in its comet-analyzing endeavors.

Redwire is not only the company securing delivery of the onboard computer; it is also its developer. In space, it will perform a variety of functions as the “brain” of Comet Interceptor, including communications and systems monitoring.

The device is currently on the premises of that partner, OHB Italia. It is scheduled to undergo integration and final acceptance review before being deployed to Comet Interceptor. The craft is slated for launch in 2029.

In its press release touting the computer’s delivery, Redwire did not provide any financial details of the project.

An encouraging trajectory

Space stocks remain rather speculative investments, as they often trade on potential and/or ambition rather than actual deliverables. So when a company in the field actually ships or deploys a product, investors get understandably excited about the news.

Personally, I’d be a bit more cautious, preferring to wait for details of the financial impact of such work. Still, this news makes Redwire a stock to keep an eye on in the space space.

Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.