Gates Industrial (NYSE:GTES) Issues FY 2026 Earnings Guidance

Key Points

• Gates Industrial issued FY 2026 guidance calling for EPS of $1.62–$1.70 and revenue of $3.5–$3.6 billion, broadly in line with analyst expectations.
• The company’s latest quarter exceeded estimates, with EPS of $0.44 versus $0.42 expected and revenue of $941.6 million compared with the $925.4 million consensus.
• Analysts maintain a “Moderate Buy” consensus with an average $31.50 price target, while institutional investors own 98.5% of the company’s shares.

Gates Industrial (NYSE:GTES - Get Free Report) updated its FY 2026 earnings guidance on Friday. The company provided earnings per share (EPS) guidance of 1.620-1.700 for the period, compared to the consensus earnings per share estimate of 1.620. The company issued revenue guidance of $3.5 billion-$3.6 billion, compared to the consensus revenue estimate of $3.6 billion.

Gates Industrial Stock Performance

Shares of Gates Industrial stock opened at $25.77 on Friday. The stock has a market capitalization of $6.54 billion, a price-to-earnings ratio of 26.84 and a beta of 1.25. The firm has a fifty day moving average of $26.63 and a two-hundred day moving average of $25.36. The company has a debt-to-equity ratio of 0.61, a quick ratio of 2.66 and a current ratio of 3.67. Gates Industrial has a 52 week low of $20.88 and a 52 week high of $29.17.

Gates Industrial (NYSE:GTES - Get Free Report) last released its quarterly earnings data on Friday, July 31st. The company reported $0.44 earnings per share for the quarter, topping the consensus estimate of $0.42 by $0.02. Gates Industrial had a net margin of 7.23% and a return on equity of 10.00%. The business had revenue of $941.60 million for the quarter, compared to analyst estimates of $925.44 million. Gates Industrial has set its FY 2026 guidance at 1.620-1.700 EPS. As a group, equities research analysts predict that Gates Industrial will post 1.53 EPS for the current year.

Analysts Set New Price Targets

Several research analysts have recently weighed in on the stock. Weiss Ratings reiterated a "hold (c+)" rating on shares of Gates Industrial in a report on Monday, June 29th. Royal Bank Of Canada lifted their price objective on shares of Gates Industrial from $30.00 to $33.00 and gave the company an "outperform" rating in a report on Thursday, July 16th. Wall Street Zen lowered shares of Gates Industrial from a "buy" rating to a "hold" rating in a research report on Saturday, July 25th. Morgan Stanley raised their target price on shares of Gates Industrial from $27.00 to $28.00 and gave the company an "equal weight" rating in a research report on Friday, May 29th. Finally, Wolfe Research reiterated an "outperform" rating and issued a $33.00 price target on shares of Gates Industrial in a research note on Thursday, July 9th. Seven research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $31.50.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of GTES. Los Angeles Capital Management LLC acquired a new stake in Gates Industrial during the fourth quarter worth approximately $26,000. Transamerica Financial Advisors LLC grew its position in shares of Gates Industrial by 51.9% in the fourth quarter. Transamerica Financial Advisors LLC now owns 1,577 shares of the company's stock valued at $34,000 after purchasing an additional 539 shares during the last quarter. Northwestern Mutual Wealth Management Co. increased its stake in shares of Gates Industrial by 273.2% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,911 shares of the company's stock worth $67,000 after purchasing an additional 2,131 shares during the period. EverSource Wealth Advisors LLC increased its stake in shares of Gates Industrial by 1,976.9% during the second quarter. EverSource Wealth Advisors LLC now owns 2,970 shares of the company's stock worth $68,000 after purchasing an additional 2,827 shares during the period. Finally, Quadrant Capital Group LLC acquired a new stake in Gates Industrial during the 3rd quarter worth approximately $73,000. Institutional investors and hedge funds own 98.50% of the company's stock.

About Gates Industrial

Gates Industrial Corporation PLC NYSE: GTES is a leading global manufacturer of engineered power transmission belts and fluid power products. The company's portfolio includes synchronous belts, V-belts, hose assemblies, fittings and hydraulic components designed to support a wide range of industrial and automotive applications. Gates Industrial serves sectors such as agriculture, mining, construction, manufacturing, transportation and consumer markets, offering solutions that improve performance, reliability and efficiency in demanding operating environments.

In its power transmission segment, Gates Industrial produces high-strength belts engineered for precise motion control and minimal maintenance.

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