Tennant (NYSE:TNC) to Buyback 2,000,000,000,000 Outstanding Stock

Key Points

• The board authorized a share repurchase of up to 2,000,000 additional shares, bringing total buyback capacity to just over ~2.56 million shares (roughly 15% of basic shares), a move management says can be EPS‑accretive.
• Tennant beat Q1 estimates with $0.58 EPS (vs. $0.40 consensus) and $297.9M revenue (vs. $289.3M), and set FY‑2026 EPS guidance of $4.70–$5.30 while analysts’ consensus and average rating remain around a "Hold" with a $91 price target.
• Reports of ERP system problems and a related securities‑law probe triggered a sharp intraday share drop, raising near‑term operational and litigation risk.

Tennant (NYSE:TNC - Get Free Report) announced that its board has approved a share repurchase program on Monday, May 4th, RTT News reports. The company plans to repurchase 2,000,000,000,000 shares. This repurchase authorization authorizes the industrial products company to purchase up to 11.1% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's management believes its stock is undervalued.

Tennant Stock Down 1.2%

TNC traded down $0.98 during midday trading on Monday, reaching $81.80. 369,557 shares of the company were exchanged, compared to its average volume of 311,446. The company has a market cap of $1.47 billion, a price-to-earnings ratio of 34.96, a price-to-earnings-growth ratio of 2.45 and a beta of 1.12. Tennant has a one year low of $60.17 and a one year high of $85.90. The company's fifty day moving average price is $70.64 and its 200 day moving average price is $74.69. The company has a debt-to-equity ratio of 0.45, a quick ratio of 1.37 and a current ratio of 2.05.

Tennant (NYSE:TNC - Get Free Report) last issued its quarterly earnings data on Monday, May 4th. The industrial products company reported $0.58 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.40 by $0.18. Tennant had a net margin of 3.64% and a return on equity of 16.05%. The business had revenue of $297.90 million during the quarter, compared to the consensus estimate of $289.25 million. During the same period in the prior year, the firm posted $1.12 EPS. The firm's quarterly revenue was up 2.7% compared to the same quarter last year. Tennant has set its FY 2026 guidance at 4.700-5.300 EPS. As a group, analysts expect that Tennant will post 4.84 EPS for the current year.

Tennant Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Friday, May 29th will be paid a $0.31 dividend. The ex-dividend date is Friday, May 29th. This represents a $1.24 annualized dividend and a dividend yield of 1.5%. Tennant's payout ratio is presently 52.99%.

Wall Street Analyst Weigh In

TNC has been the topic of several research reports. Roth Mkm reiterated a "buy" rating and set a $91.00 price objective (down from $107.00) on shares of Tennant in a report on Wednesday, February 25th. Wall Street Zen lowered Tennant from a "buy" rating to a "hold" rating in a research report on Saturday, February 28th. Weiss Ratings raised Tennant from a "hold (c-)" rating to a "hold (c)" rating in a research note on Friday, April 24th. Zacks Research upgraded Tennant from a "strong sell" rating to a "hold" rating in a report on Monday, April 27th. Finally, Freedom Capital cut Tennant from a "strong-buy" rating to a "hold" rating in a report on Thursday, February 26th. One investment analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $91.00.

Insider Activity

In other news, Director James T. Jr. Glerum purchased 8,163 shares of the business's stock in a transaction dated Monday, March 2nd. The stock was bought at an average price of $61.25 per share, for a total transaction of $499,983.75. Following the purchase, the director owned 8,600 shares of the company's stock, valued at $526,750. The trade was a 1,867.96% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Carol S. Eicher sold 3,130 shares of Tennant stock in a transaction dated Thursday, February 26th. The shares were sold at an average price of $61.98, for a total value of $193,997.40. Following the transaction, the director directly owned 28,836 shares of the company's stock, valued at $1,787,255.28. The trade was a 9.79% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have bought 20,163 shares of company stock worth $1,261,674. 3.50% of the stock is owned by company insiders.

Tennant News Summary

Here are the key news stories impacting Tennant this week:

• Positive Sentiment: Q1 beat: Tennant reported $0.58 EPS and $297.9M revenue, topping consensus estimates (EPS consensus ≈ $0.40; revenue ≈ $289.3M). Revenue was up ~2.7% year‑over‑year, showing demand resilience even as EPS lags last year’s $1.12. Tennant (TNC) Q1 Earnings and Revenues Beat Estimates
• Positive Sentiment: Share repurchase: The board authorized up to 2,000,000 additional shares (bringing total capacity to ~2,560,000 shares, ~15% of basic shares outstanding), which is a capital-allocation positive and can be EPS‑accretive over time. Tennant Company Board Authorizes Repurchase of Additional 2 Million Shares
• Neutral Sentiment: FY‑2026 guidance: Tennant updated full‑year EPS to $4.70–$5.30 (consensus ~4.96) and revenue guidance to $1.2–$1.3B (consensus ≈ $1.3B). Guidance overlaps consensus but the lower bound and wide range introduce some uncertainty on margin assumptions.
• Neutral Sentiment: Unrelated ticker: A separate Australian company, Tennant Minerals (AU:TMS), announced a large capital raise — not related to Tennant Company (TNC) but could cause ticker confusion in news feeds. Tennant Minerals Plans Major Share and Options Issue to Fund Growth
• Neutral Sentiment: Pre‑earnings coverage: Analysts and market previews discussed expectations ahead of the release; useful background but superseded by actual results. What To Expect From Tennant’s (TNC) Q1 Earnings
• Negative Sentiment: ERP issues and legal probe: Reports say TNC experienced ERP system problems and a law firm has opened an investigation into potential securities‑law issues; coverage noted a sharp intraday share drop tied to this news. This is the primary driver of today’s negative market reaction and increases short‑term operational and litigation risk. $TNC Stock Drop Alert: Tennant Company Stock Plummeted 23% on News of ERP System Issues

About Tennant

Tennant Company is a global provider of solutions that help keep facilities clean, safe and sustainable. The company designs, manufactures and markets a broad range of cleaning machines, chemicals and service programs that address the cleaning needs of customers in diverse industries, including manufacturing, warehousing, food and beverage, healthcare and education. Tennant's product portfolio encompasses both ride-on and walk-behind floor scrubbers and sweepers, carpet extractors, power brushes, pressure washers and autonomous cleaning machines.

Founded in 1870 and headquartered in Minneapolis, Minnesota, Tennant has grown from a regional manufacturer into a multinational organization with operations in more than 70 countries and sales representation in over 100 markets worldwide.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.