Sidoti Weighs in on Alamo Group's FY2026 Earnings (NYSE:ALG)

Key Points

• Sidoti raised its FY2026 EPS estimate to $10.62 (from $10.25), above the consensus of $10.31, signaling upgraded profitability expectations for Alamo Group.
• Alamo's Q1 results beat estimates with EPS of $2.56 and revenue of $417.15M, spurring analyst support and a consensus rating of "Moderate Buy" with a $225 price target.
• Management cautioned about near-term margin pressure, which could limit upside despite growth initiatives and recent acquisitions.


Alamo Group, Inc. (NYSE:ALG - Free Report) - Equities researchers at Sidoti lifted their FY2026 earnings per share (EPS) estimates for shares of Alamo Group in a research report issued to clients and investors on Tuesday, May 5th. Sidoti analyst G. Burns now forecasts that the industrial products company will post earnings per share of $10.62 for the year, up from their prior forecast of $10.25. The consensus estimate for Alamo Group's current full-year earnings is $10.31 per share.

Alamo Group (NYSE:ALG - Get Free Report) last posted its quarterly earnings results on Monday, May 4th. The industrial products company reported $2.56 earnings per share for the quarter, topping analysts' consensus estimates of $2.20 by $0.36. Alamo Group had a return on equity of 9.71% and a net margin of 6.21%.The company had revenue of $417.15 million during the quarter, compared to the consensus estimate of $398.02 million.

ALG has been the subject of a number of other reports. DA Davidson reaffirmed a "neutral" rating and set a $190.00 price target on shares of Alamo Group in a research note on Wednesday, April 29th. William Blair started coverage on Alamo Group in a research note on Monday, March 16th. They set an "outperform" rating for the company. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Alamo Group in a research note on Friday, March 27th. Finally, Zacks Research raised Alamo Group from a "strong sell" rating to a "hold" rating in a research note on Tuesday. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat, Alamo Group currently has a consensus rating of "Moderate Buy" and a consensus price target of $225.00.

Alamo Group Stock Up 2.5%

ALG opened at $171.07 on Thursday. Alamo Group has a fifty-two week low of $156.29 and a fifty-two week high of $233.29. The business has a 50-day moving average of $175.04 and a 200-day moving average of $179.11. The company has a debt-to-equity ratio of 0.23, a current ratio of 4.32 and a quick ratio of 2.82. The company has a market capitalization of $2.08 billion, a PE ratio of 20.46, a price-to-earnings-growth ratio of 1.01 and a beta of 1.17.

Institutional Trading of Alamo Group

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. AlphaQuest LLC bought a new stake in shares of Alamo Group in the 3rd quarter worth approximately $3,324,000. Allspring Global Investments Holdings LLC lifted its position in shares of Alamo Group by 9.4% in the 4th quarter. Allspring Global Investments Holdings LLC now owns 666,327 shares of the industrial products company's stock worth $113,562,000 after acquiring an additional 57,456 shares during the period. Tributary Capital Management LLC lifted its position in shares of Alamo Group by 92.5% in the 3rd quarter. Tributary Capital Management LLC now owns 203,742 shares of the industrial products company's stock worth $38,895,000 after acquiring an additional 97,898 shares during the period. Vanguard Group Inc. lifted its position in shares of Alamo Group by 1.2% in the 3rd quarter. Vanguard Group Inc. now owns 785,735 shares of the industrial products company's stock worth $149,997,000 after acquiring an additional 9,571 shares during the period. Finally, Y Intercept Hong Kong Ltd bought a new stake in shares of Alamo Group in the 3rd quarter worth approximately $1,193,000. Institutional investors and hedge funds own 92.36% of the company's stock.

Insider Activity

In other news, Director Nina C. Grooms sold 499 shares of the stock in a transaction dated Wednesday, March 11th. The stock was sold at an average price of $175.19, for a total transaction of $87,419.81. Following the transaction, the director owned 2,844 shares of the company's stock, valued at approximately $498,240.36. This represents a 14.93% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Robert Paul Hureau acquired 460 shares of the stock in a transaction dated Monday, March 9th. The shares were bought at an average cost of $164.40 per share, for a total transaction of $75,624.00. Following the acquisition, the chief executive officer owned 12,506 shares in the company, valued at $2,055,986.40. The trade was a 3.82% increase in their position. The disclosure for this purchase is available in the SEC filing. 1.06% of the stock is currently owned by insiders.

Alamo Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, April 29th. Stockholders of record on Wednesday, April 15th were issued a dividend of $0.34 per share. The ex-dividend date of this dividend was Wednesday, April 15th. This represents a $1.36 dividend on an annualized basis and a dividend yield of 0.8%. Alamo Group's dividend payout ratio is currently 16.27%.

Key Alamo Group News

Here are the key news stories impacting Alamo Group this week:

• Positive Sentiment: Sidoti raised multiple near- and longer-term EPS forecasts (Q2–Q4 2026, Q1–Q3 2027 and FY2027) and boosted FY2026/FY2027 outlooks, signaling better-than-expected underlying profit trends and driving bullish analyst sentiment. Sidoti estimates summary
• Positive Sentiment: Zacks Research upgraded ALG from "strong sell" to "hold," removing an overtly negative recommendation and likely reducing selling pressure from that corner. Zacks upgrade
• Positive Sentiment: Q1 results and commentary have been widely covered as "strong" — revenue and EPS beats for Q1 underpin the stock move, with media write-ups highlighting acquisitions and product innovation offsetting some cost headwinds. Kalkine Media: Strength lifts NYSE Composite focus
• Neutral Sentiment: Full earnings call transcript and coverage are available (useful for investors wanting granular detail on orders, margins and M&A), but transcripts largely reiterate the beat and management's growth plans. Earnings call transcript
• Negative Sentiment: Management acknowledged margin pressure on the earnings call and in coverage; while growth initiatives and acquisitions are offsetting some impacts, margin compression remains a near-term risk for profitability and could cap upside until cost trends improve. TipRanks: call balances growth and pressure

Alamo Group Company Profile

Alamo Group, Inc engages in the design, manufacture and marketing of equipment for vegetation management, roadside maintenance, agricultural harvesting and industrial applications. The company offers a broad portfolio of products, including boom mowers, flail mowers, rotary cutters, snow removal equipment, slurry seal machines, railcar movers and tow tractors. These offerings are distributed under a variety of brand names and through a network of independent dealerships and distributors, meeting the needs of municipalities, highway departments, agricultural producers and industrial operators.

The company operates through two primary segments: Agricultural and Industrial.

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