Flowserve (NYSE:FLS) Issues Quarterly Earnings Results, Beats Estimates By $0.03 EPS

Key Points

• Q1 results: Flowserve beat EPS at $0.85 vs. $0.82 expected but missed on revenue, reporting $1.07B (down 6.7% YoY) amid reports of negative operating cash flow.
• Guidance and dividend: Management updated FY2026 EPS guidance to $4.00–$4.20 and raised the quarterly dividend to $0.22 ($0.88 annualized), indicating continued capital returns.
• Operational and shareholder catalysts: Q1 bookings of $1.15B showed aftermarket strength, and activist investor Starboard has built a stake—factors that, together with a mostly positive analyst consensus (target ~ $89.70), may prompt strategic moves.

Flowserve (NYSE:FLS - Get Free Report) issued its quarterly earnings results on Wednesday. The industrial products company reported $0.85 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.82 by $0.03, FiscalAI reports. The firm had revenue of $1.07 billion for the quarter, compared to analyst estimates of $1.18 billion. Flowserve had a return on equity of 21.19% and a net margin of 7.32%.The firm's quarterly revenue was down 6.7% on a year-over-year basis. During the same period last year, the company earned $0.72 EPS. Flowserve updated its FY 2026 guidance to 4.000-4.200 EPS.

Flowserve Stock Down 1.1%

Shares of NYSE:FLS opened at $84.13 on Thursday. The company has a debt-to-equity ratio of 0.68, a quick ratio of 1.50 and a current ratio of 2.03. Flowserve has a 1 year low of $43.47 and a 1 year high of $92.41. The stock has a market capitalization of $10.75 billion, a P/E ratio of 32.11, a PEG ratio of 1.96 and a beta of 1.33. The stock has a 50-day simple moving average of $80.25 and a 200-day simple moving average of $74.23.

Flowserve Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, April 10th. Stockholders of record on Friday, March 27th were paid a $0.22 dividend. The ex-dividend date of this dividend was Friday, March 27th. This represents a $0.88 annualized dividend and a dividend yield of 1.0%. This is an increase from Flowserve's previous quarterly dividend of $0.21. Flowserve's dividend payout ratio is presently 33.59%.

Analyst Ratings Changes

A number of research analysts have recently commented on the stock. Royal Bank Of Canada upped their price objective on shares of Flowserve from $83.00 to $96.00 and gave the company an "outperform" rating in a research note on Monday, February 9th. Stifel Nicolaus raised their target price on shares of Flowserve from $97.00 to $102.00 and gave the stock a "buy" rating in a research report on Tuesday, April 14th. Robert W. Baird set a $98.00 target price on shares of Flowserve in a report on Monday, February 9th. Citigroup dropped their price target on shares of Flowserve from $98.00 to $97.00 and set a "buy" rating for the company in a research report on Monday, April 13th. Finally, TD Cowen reaffirmed a "buy" rating on shares of Flowserve in a research note on Thursday, February 19th. Eight investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to MarketBeat.com, Flowserve has an average rating of "Moderate Buy" and a consensus target price of $89.70.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of the business. Sivia Capital Partners LLC acquired a new stake in shares of Flowserve in the second quarter worth $313,000. Boothbay Fund Management LLC acquired a new position in shares of Flowserve during the 4th quarter valued at $308,000. Brooklyn Investment Group acquired a new position in shares of Flowserve during the 4th quarter valued at $301,000. Wexford Capital LP acquired a new position in shares of Flowserve during the 3rd quarter valued at $294,000. Finally, PharVision Advisers LLC purchased a new stake in Flowserve during the 3rd quarter worth $291,000. Hedge funds and other institutional investors own 93.93% of the company's stock.

More Flowserve News

Here are the key news stories impacting Flowserve this week:

• Positive Sentiment: Strong backlog/bookings and aftermarket strength: Q1 bookings were $1.15B (including >$110M nuclear and ~$680M aftermarket), and adjusted operating margin expanded — a sign of durable aftermarket demand and margin leverage. Business Wire: Q1 Results
• Positive Sentiment: Activist interest from Starboard: reports that Starboard built a stake and is pushing for changes boosted investor attention and earlier price strength, which could accelerate strategic or capital-allocation moves. Bloomberg / MSN: Starboard stake
• Neutral Sentiment: Reported EPS and liquidity: Flowserve reported $0.85 EPS for Q1 (some outlets flagged this as a beat vs select estimates) and ended the quarter with a stronger cash balance (~$792M), supporting liquidity and optionality. Zacks: EPS Coverage
• Neutral Sentiment: FY‑2026 guidance roughly in-line but slightly cautious: management set EPS guidance of $4.00–4.20 (consensus ~4.11) and revenue guidance ~$4.9–5.0B (consensus ~5.0B), leaving limited upside to Street expectations. Company Press Release / Slides
• Negative Sentiment: Revenue miss and top-line pressure: Q1 revenue was $1.07B, down 6.7% YoY and below the consensus (~$1.18B), which keeps investor focus on order trends and end-market demand. QuiverQuant: Financials & Reaction
• Negative Sentiment: Execution and cash-flow concerns plus insider selling: operating profit declined and operating cash flow was negative in the quarter; Quiver also documents recent insider sales and sizable institutional reductions that may weigh on sentiment. QuiverQuant: Cash flow & Insider Activity

About Flowserve

Flowserve Corporation NYSE: FLS is a leading provider of fluid motion and control products and services. The company designs, manufactures and services engineered and industrial pumps, mechanical seals, valves and related flow management equipment. Flowserve's offerings are utilized across a broad spectrum of end markets, including oil and gas, power generation, chemical processing, water management, pharmaceutical and semiconductor manufacturing, as well as mining and general industrial applications.

Flowserve's product portfolio encompasses a wide range of centrifugal and positive displacement pumps, high-performance control valves, butterfly and ball valves, as well as mechanical seals and seal support systems.