California State Teachers Retirement System Acquires 10,985,425 Shares of Timken Company (The) $TKR

Key Points

• California State Teachers Retirement System increased its Timken stake by 14,043.7% in the second quarter, acquiring 10.99 million shares and holding approximately 15.96% of the company, valued at $1.61 billion.
• Analysts maintain a favorable outlook, with seven Buy ratings and three Holds, producing a “Moderate Buy” consensus and an average price target of $145.50. Zacks also raised several future EPS estimates, including FY2027 and FY2028 forecasts.
• Timken reported quarterly EPS of $1.83, beating estimates of $1.62, while revenue rose 7.5% year over year to $1.26 billion. The company reaffirmed FY2026 EPS guidance of $6.05–$6.35 and paid a quarterly dividend of $0.36 per share.

California State Teachers Retirement System boosted its stake in shares of Timken Company (The) (NYSE:TKR - Free Report) by 14,043.7% in the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 11,063,648 shares of the industrial products company's stock after buying an additional 10,985,425 shares during the period. California State Teachers Retirement System owned approximately 15.96% of Timken worth $1,607,769,000 at the end of the most recent reporting period.

Other large investors have also bought and sold shares of the company. Segall Bryant & Hamill LLC boosted its position in shares of Timken by 29.9% during the first quarter. Segall Bryant & Hamill LLC now owns 451,516 shares of the industrial products company's stock valued at $45,409,000 after buying an additional 103,904 shares during the last quarter. Peregrine Investment Management Inc. purchased a new stake in shares of Timken in the 1st quarter worth $7,040,000. Regents Gate Capital LLP bought a new stake in Timken during the fourth quarter valued at about $9,126,000. State of Wyoming purchased a new stake in Timken in the second quarter worth about $1,466,000. Finally, Y Intercept Hong Kong Ltd increased its position in Timken by 247.3% in the first quarter. Y Intercept Hong Kong Ltd now owns 51,195 shares of the industrial products company's stock worth $5,149,000 after buying an additional 36,455 shares in the last quarter. 89.08% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts have recently weighed in on the company. Jefferies Financial Group set a $135.00 price objective on Timken in a research report on Tuesday, September 1st. Morgan Stanley set a $140.00 target price on shares of Timken in a report on Thursday, May 21st. Citigroup raised their target price on shares of Timken from $140.00 to $160.00 and gave the stock a "buy" rating in a research note on Tuesday, July 14th. Weiss Ratings raised shares of Timken from a "hold (c)" rating to a "hold (c+)" rating in a report on Thursday, August 20th. Finally, Oppenheimer set a $135.00 price target on shares of Timken in a research report on Tuesday, September 1st. Seven research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $145.50.

Trending Headlines about Timken

Here are the key news stories impacting Timken this week:

• Positive Sentiment: Zacks lifted its FY2026 EPS forecast to $6.19 from $6.18, still slightly below the broader consensus estimate of $6.26.
• Positive Sentiment: Forecasts for FY2027 EPS rose to $7.14 from $6.96. Quarterly estimates were also increased for Q1 2027 to $1.77 from $1.70, Q2 2027 to $1.89 from $1.84, Q3 2027 to $1.79 from $1.76, and Q4 2027 to $1.69 from $1.66.
• Positive Sentiment: Longer-term projections improved as well: FY2028 EPS increased to $8.42 from $8.26, while Q1 2028 rose to $2.01 from $1.98 and Q2 2028 to $2.27 from $2.22.
• Positive Sentiment: Zacks also raised its Q3 2026 EPS estimate to $1.44 from $1.43, suggesting modestly stronger near-term earnings expectations.
• Neutral Sentiment: The revisions came from Zacks Research and do not represent a change to Timken’s official guidance. The company’s existing FY2026 EPS guidance is $6.05 to $6.35, so the revised Zacks estimate remains within that range.

Timken Stock Up 0.9%

Shares of TKR opened at $119.24 on Friday. The business's 50 day moving average is $130.95 and its 200 day moving average is $121.14. The company has a current ratio of 3.10, a quick ratio of 1.74 and a debt-to-equity ratio of 0.61. Timken Company has a 12-month low of $70.57 and a 12-month high of $146.37. The company has a market capitalization of $8.26 billion, a PE ratio of 32.32, a price-to-earnings-growth ratio of 1.31 and a beta of 1.21.

Timken (NYSE:TKR - Get Free Report) last announced its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $1.83 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.62 by $0.21. Timken had a net margin of 5.43% and a return on equity of 12.63%. The business had revenue of $1.26 billion during the quarter, compared to analyst estimates of $1.23 billion. During the same period last year, the firm posted $1.12 EPS. The company's revenue was up 7.5% on a year-over-year basis. Timken has set its FY 2026 guidance at 6.050-6.350 EPS. Research analysts expect that Timken Company will post 6.26 earnings per share for the current fiscal year.

Timken Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, August 28th. Stockholders of record on Tuesday, August 18th were issued a $0.36 dividend. This represents a $1.44 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend was Tuesday, August 18th. Timken's payout ratio is 39.02%.

Insider Activity at Timken

In other Timken news, Director Richard Kyle sold 13,637 shares of the firm's stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $126.63, for a total transaction of $1,726,853.31. Following the completion of the transaction, the director owned 183,724 shares in the company, valued at $23,264,970.12. This trade represents a 6.91% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Corporate insiders own 8.10% of the company's stock.

Timken Profile

Timken is an industrial technology company that designs and manufactures engineered bearings and motion-related products. Its offerings include tapered and spherical roller bearings, precision bearings, seals, lubrication systems, and other components used to reduce friction, support rotating equipment, and improve the performance and reliability of machinery.

The company also provides industrial motion products and services, including power transmission components, chain, belts, couplings, gear drives, linear motion systems, and related maintenance and engineering solutions.

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