Enerpac Tool Group (NYSE:EPAC) Stock Price Up 8.5% Following Earnings Beat

Key Points

• Enerpac Tool Group shares jumped 8.5% after quarterly results beat expectations, with adjusted EPS of $0.53 versus $0.52 expected and revenue of $185.7 million, up 10.9% year over year.
• Fiscal 2026 revenue reached a record $652.3 million, while operating cash flow rose 17% and free cash flow increased 30%, leaving the company with low net debt and added capital-allocation flexibility.
• Management projects fiscal 2027 revenue of $825 million to $845 million and adjusted EPS of $2.00 to $2.15, supported by organic growth and the SFE Group acquisition; analysts nevertheless maintain a consensus “Hold” rating with a $50 price target.

Enerpac Tool Group Corp. (NYSE:EPAC - Get Free Report)'s share price shot up 8.5% during mid-day trading on Thursday following a better than expected earnings announcement. The stock traded as high as $38.70 and last traded at $38.7170. 100,091 shares were traded during mid-day trading, a decline of 76% from the average session volume of 425,350 shares. The stock had previously closed at $35.70.

The company reported $0.53 EPS for the quarter, beating analysts' consensus estimates of $0.52 by $0.01. Enerpac Tool Group had a net margin of 14.72% and a return on equity of 23.21%. The company had revenue of $185.70 million during the quarter, compared to analyst estimates of $172.68 million. During the same period in the prior year, the business posted $0.52 EPS. The firm's revenue was up 10.9% compared to the same quarter last year.

Enerpac Tool Group News Summary

Here are the key news stories impacting Enerpac Tool Group this week:

• Positive Sentiment: Enerpac’s fiscal fourth-quarter adjusted EPS was $0.53, ahead of the $0.52 consensus estimate, while revenue rose 10.9% year over year to $185.7 million, surpassing the $172.68 million analyst estimate. Enerpac Q4 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Fiscal 2026 revenue reached a company-record $652.3 million, up 6%, with fourth-quarter organic growth of 10%. Product sales increased 11% organically and service sales rebounded 9%, signaling improving demand across the core Industrial Tools & Services business. Enerpac Tool Group Q4 2026: Revenue Beats as Service Business Rebounds
• Positive Sentiment: Cash flow strengthened substantially: operating cash flow rose 17% to $130.2 million and free cash flow increased 30% to $119.6 million. Net debt was only $7.6 million, or 0.1 times adjusted EBITDA, giving Enerpac flexibility for acquisitions, buybacks and other capital allocation. Enerpac Fiscal 2026 Results and Outlook
• Positive Sentiment: Management forecasts fiscal 2027 revenue of $825 million to $845 million, adjusted EBITDA of $195 million to $205 million and adjusted EPS of $2.00 to $2.15. The outlook includes approximately 10 months of contribution from SFE Group and 4% to 6% organic growth.
• Positive Sentiment: The completed SFE Group acquisition expands Enerpac’s industrial-tool portfolio and exposure to higher-growth end markets. The company also amended its credit agreement to extend debt maturities, reducing near-term refinancing pressure. Enerpac Extends Debt Maturities
• Neutral Sentiment: A cash-flow valuation analysis argues EPAC may be approximately 20% undervalued, potentially supporting investor interest, though this is model-based rather than a new analyst price target. Enerpac May Be Undervalued on Cash Flow
• Negative Sentiment: GAAP net earnings fell to $24.4 million from $28.1 million in the quarter and to $89.7 million from $92.7 million for the year. Gross margin also declined to 47.0% from 50.1%, reflecting mix, higher incentive compensation and growth investments.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on EPAC shares. Zacks Research upgraded shares of Enerpac Tool Group from a "strong sell" rating to a "hold" rating in a report on Tuesday, September 8th. Weiss Ratings upgraded shares of Enerpac Tool Group from a "hold (c)" rating to a "hold (c+)" rating in a research note on Tuesday, October 13th. Finally, Roth Capital reaffirmed a "buy" rating and issued a $50.00 target price on shares of Enerpac Tool Group in a report on Thursday, July 9th. One investment analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of $50.00.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Moody National Bank Trust Division raised its stake in shares of Enerpac Tool Group by 2.6% during the 2nd quarter. Moody National Bank Trust Division now owns 17,210 shares of the company's stock worth $617,000 after acquiring an additional 440 shares in the last quarter. PNC Financial Services Group Inc. boosted its position in shares of Enerpac Tool Group by 8.4% in the 1st quarter. PNC Financial Services Group Inc. now owns 7,685 shares of the company's stock worth $280,000 after purchasing an additional 597 shares in the last quarter. Janney Montgomery Scott LLC boosted its position in shares of Enerpac Tool Group by 9.0% in the 1st quarter. Janney Montgomery Scott LLC now owns 7,894 shares of the company's stock worth $288,000 after purchasing an additional 652 shares in the last quarter. Aristides Capital LLC grew its stake in Enerpac Tool Group by 12.9% during the 1st quarter. Aristides Capital LLC now owns 6,012 shares of the company's stock worth $219,000 after buying an additional 688 shares during the last quarter. Finally, Versant Capital Management Inc increased its position in Enerpac Tool Group by 567.4% during the 3rd quarter. Versant Capital Management Inc now owns 941 shares of the company's stock valued at $33,000 after buying an additional 800 shares in the last quarter. Hedge funds and other institutional investors own 97.70% of the company's stock.

Enerpac Tool Group Stock Up 8.3%

The company has a 50-day moving average of $35.88 and a 200-day moving average of $36.65. The company has a current ratio of 2.67, a quick ratio of 2.04 and a debt-to-equity ratio of 0.41. The company has a market capitalization of $1.98 billion, a price-to-earnings ratio of 21.89 and a beta of 0.81.

Enerpac Tool Group Company Profile

Enerpac Tool Group Corp. is an industrial tools and services company that provides engineered solutions for lifting, moving, positioning, maintenance and assembly applications. Its products are used in industries such as energy, infrastructure, construction, manufacturing, mining and heavy equipment.

The company offers high-pressure hydraulic tools and systems, including hydraulic pumps, cylinders, jacks, tensioners, torque tools and specialized lifting and positioning equipment. It also provides bolting, machining, flange-management and other field services designed to support the installation, maintenance and repair of large-scale industrial assets.

Enerpac Tool Group markets products under brands that include Enerpac, Hydratight, Equalizer, Mirage, Simplex and Larzep.

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