Terex (NYSE:TEX) Releases Earnings Results, Beats Estimates By $0.20 EPS

Key Points

• Terex reported Q1 adjusted EPS of $0.98, beating estimates by $0.20, with revenue of $1.73B (up 41.1% YoY), and management reconfirmed FY2026 guidance of $4.50–$5.00 EPS.
• The REV acquisition and Specialty Vehicles integration are progressing as planned with ~$28M of synergies expected in 2026 and a path to a $75M run‑rate within 24 months, while Materials Processing delivered strong growth (pro forma sales +18.3%, backlog +53%, EBITDA margin ~15%).
• Financials improved with backlog rising to $7.1B and net leverage down to 2.4x, and the company expects 80–90% free‑cash conversion for 2026, although GAAP results included a ($0.97) EPS loss due to merger‑related non‑cash charges.

Terex (NYSE:TEX - Get Free Report) announced its quarterly earnings results on Friday. The industrial products company reported $0.98 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.78 by $0.20, Briefing.com reports. The firm had revenue of $1.73 billion for the quarter, compared to the consensus estimate of $1.70 billion. Terex had a return on equity of 16.51% and a net margin of 4.08%.The company's quarterly revenue was up 41.1% on a year-over-year basis. During the same period in the prior year, the company posted $0.83 earnings per share. Terex updated its FY 2026 guidance to 4.500-5.000 EPS.

Here are the key takeaways from Terex's conference call:

• Terex reported a strong Q1 with pro forma sales up ~10.8% (reported +41% including REV), EPS of $0.98 (includes ~$0.10 one‑time tax benefit), and backlog increased to $7.1 billion, and management reconfirmed its full‑year 2026 guidance.
• The REV acquisition/Specialty Vehicles integration is progressing as planned with about $28 million of synergies expected in 2026 and line‑of‑sight to a $75 million run‑rate within 24 months, while Specialty Vehicles grew ~20% in the period and improved margins.
• Materials Processing delivered notable momentum — Q1 pro forma sales +18.3%, bookings +38% YoY, backlog up 53% y/y and EBITDA margin expanded to ~15% (up 310 bps), positioning MP well for 2026.
• Aerials showed very strong bookings (132% book‑to‑bill, ~$1 billion backlog) giving forward visibility, but Q1 was break‑even on EBITDA due to seasonality, temporary mix and tariff effects, and the business is under a strategic review/divestiture process.
• Financial position improved: net leverage reduced to 2.4x, net working capital/sales improved to 16.7% (from 26%), Q1 free cash outflow was seasonal (~$57M) and the company expects 80–90% free cash conversion for 2026.

Terex Trading Down 0.4%

Shares of NYSE:TEX traded down $0.24 during trading on Friday, hitting $61.96. The company had a trading volume of 2,127,808 shares, compared to its average volume of 1,757,874. The stock has a market cap of $7.04 billion, a price-to-earnings ratio of 18.61, a price-to-earnings-growth ratio of 1.23 and a beta of 1.64. Terex has a one year low of $37.94 and a one year high of $71.50. The company has a fifty day simple moving average of $62.01 and a two-hundred day simple moving average of $57.09. The company has a debt-to-equity ratio of 1.23, a current ratio of 2.30 and a quick ratio of 1.36.

Terex Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, March 19th. Stockholders of record on Friday, March 6th were paid a $0.17 dividend. This represents a $0.68 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend was Friday, March 6th. Terex's dividend payout ratio (DPR) is presently 20.42%.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on TEX shares. Barclays started coverage on Terex in a report on Tuesday, March 31st. They set an "overweight" rating and a $65.00 price target on the stock. Citigroup raised Terex from a "neutral" rating to a "buy" rating and raised their target price for the stock from $73.00 to $75.00 in a research report on Monday, March 9th. Morgan Stanley reissued an "overweight" rating and issued a $83.00 target price on shares of Terex in a research report on Tuesday, February 17th. Wells Fargo & Company raised their price objective on Terex from $56.00 to $70.00 and gave the stock an "equal weight" rating in a research note on Friday, February 13th. Finally, JPMorgan Chase & Co. decreased their price objective on Terex from $76.00 to $60.00 and set a "neutral" rating on the stock in a research note on Friday, April 10th. Eight equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat, Terex currently has an average rating of "Moderate Buy" and a consensus price target of $70.73.

Trending Headlines about Terex

Here are the key news stories impacting Terex this week:

• Positive Sentiment: Adjusted results and sales exceeded expectations — adjusted EPS of $0.98 topped consensus (~$0.78) and revenue of $1.73B was above estimates, driven by strong year‑over‑year growth. Article Title
• Positive Sentiment: Order book and backlog strength support near-term visibility — backlog rose to $7.1B with a book‑to‑bill of 109%, underpinning the company’s reaffirmed outlook. Article Title
• Neutral Sentiment: Company reaffirmed its FY2026 outlook and published a range (EPS $4.50–$5.00; sales $7.5B–$8.1B), giving guidance but leaving room for model variation — investors will watch execution against the midpoint. Article Title
• Negative Sentiment: GAAP results were affected by significant non‑cash, merger‑related charges — Terex reported an EPS loss from continuing operations (GAAP) of ($0.97), which may concern investors focusing on GAAP profitability. Article Title
• Negative Sentiment: Guidance midpoint slightly below some Street expectations (analyst consensus near ~$4.80 EPS) — that modest gap and conservative revenue range likely tempered investor enthusiasm despite the beat. Article Title

Insider Activity

In other Terex news, insider Kieran Hegarty sold 11,980 shares of the company's stock in a transaction on Tuesday, February 17th. The stock was sold at an average price of $69.24, for a total value of $829,495.20. Following the transaction, the insider owned 173,495 shares of the company's stock, valued at $12,012,793.80. This represents a 6.46% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Corporate insiders own 1.90% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. EverSource Wealth Advisors LLC raised its position in Terex by 167.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 590 shares of the industrial products company's stock valued at $28,000 after purchasing an additional 369 shares in the last quarter. Strs Ohio bought a new position in shares of Terex in the 1st quarter worth $30,000. UMB Bank n.a. raised its position in shares of Terex by 15.0% in the 4th quarter. UMB Bank n.a. now owns 1,451 shares of the industrial products company's stock worth $77,000 after acquiring an additional 189 shares in the last quarter. Quarry LP bought a new position in shares of Terex in the 4th quarter worth $88,000. Finally, Empowered Funds LLC bought a new position in shares of Terex in the 4th quarter worth $108,000. 92.88% of the stock is currently owned by institutional investors.

About Terex

Terex Corporation is a global manufacturer of lifting and material-handling plant and equipment, serving a range of industries that includes construction, infrastructure, energy, manufacturing and shipping logistics. Its product portfolio encompasses aerial work platforms, rough terrain and tower cranes, port and cargo handling equipment, material processing machinery and utility products. These offerings are marketed under well-known brands such as Genie®, Terex® AWP, Terex® Cranes, Demag®, and Powerscreen®, and are designed to meet diverse application requirements from building sites to industrial facilities and ports.

Headquartered in Westport, Connecticut, Terex traces its roots back to 1933 and has grown through strategic acquisitions and organic expansion.

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