Toro (NYSE:TTC) Releases Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Key Points

• Toro reported $1.24 EPS for the quarter, exceeding expectations by $0.02 and showing an increase from the $1.18 EPS earned in the same period last year.
• The company's quarterly revenue decreased by 2.2% year-over-year, and it updated its FY 2025 guidance to $4.15 EPS.
• Following the earnings announcement, Toro's stock experienced a 1.0% decline, despite favorable analyst ratings and increased institutional investment in the stock.

Toro (NYSE:TTC - Get Free Report) released its quarterly earnings results on Thursday. The company reported $1.24 earnings per share for the quarter, topping analysts' consensus estimates of $1.22 by $0.02, Briefing.com reports. Toro had a return on equity of 28.98% and a net margin of 7.37%.The company had revenue of $1.13 billion during the quarter, compared to analysts' expectations of $1.16 billion. During the same quarter in the prior year, the firm posted $1.18 EPS. Toro's quarterly revenue was down 2.2% compared to the same quarter last year. Toro updated its FY 2025 guidance to 4.150-4.150 EPS.

Toro Price Performance

Shares of NYSE:TTC traded down $0.22 during midday trading on Monday, hitting $81.42. The company had a trading volume of 732,977 shares, compared to its average volume of 964,170. Toro has a twelve month low of $62.34 and a twelve month high of $89.50. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.88 and a quick ratio of 0.79. The stock has a market cap of $7.97 billion, a price-to-earnings ratio of 24.67 and a beta of 0.80. The business's 50-day simple moving average is $76.10 and its 200-day simple moving average is $73.54.

Analyst Upgrades and Downgrades

A number of equities analysts have commented on TTC shares. Robert W. Baird increased their target price on Toro from $82.00 to $86.00 and gave the company a "neutral" rating in a report on Friday. Raymond James Financial reduced their target price on Toro from $95.00 to $90.00 and set an "outperform" rating for the company in a report on Friday, June 6th. Northland Capmk cut Toro from a "strong-buy" rating to a "hold" rating in a report on Friday, June 6th. Longbow Research raised Toro from a "neutral" rating to a "buy" rating and set a $100.00 target price for the company in a report on Monday, August 25th. Finally, Northland Securities reissued a "market perform" rating and set a $80.00 target price (down previously from $100.00) on shares of Toro in a report on Friday, June 6th. Three investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $90.60.

Insider Activity at Toro

In related news, Director Gary Lee Ellis sold 5,038 shares of the stock in a transaction that occurred on Wednesday, June 11th. The stock was sold at an average price of $70.81, for a total value of $356,740.78. Following the completion of the sale, the director owned 34,062 shares of the company's stock, valued at approximately $2,411,930.22. This trade represents a 12.88% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Kurt D. Svendsen sold 6,000 shares of the stock in a transaction that occurred on Thursday, June 26th. The stock was sold at an average price of $70.99, for a total value of $425,940.00. Following the completion of the transaction, the vice president owned 11,646 shares of the company's stock, valued at $826,749.54. The trade was a 34.00% decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.39% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Caxton Associates LLP purchased a new position in Toro in the first quarter worth approximately $285,000. Integrated Wealth Concepts LLC grew its position in Toro by 10.6% in the first quarter. Integrated Wealth Concepts LLC now owns 6,136 shares of the company's stock worth $446,000 after acquiring an additional 586 shares during the period. Focus Partners Wealth grew its position in Toro by 191.5% in the first quarter. Focus Partners Wealth now owns 7,586 shares of the company's stock worth $552,000 after acquiring an additional 4,984 shares during the period. Empowered Funds LLC grew its position in Toro by 9.8% in the first quarter. Empowered Funds LLC now owns 38,840 shares of the company's stock worth $2,826,000 after acquiring an additional 3,464 shares during the period. Finally, Goldman Sachs Group Inc. grew its position in Toro by 37.4% in the first quarter. Goldman Sachs Group Inc. now owns 456,861 shares of the company's stock worth $33,237,000 after acquiring an additional 124,373 shares during the period. 87.95% of the stock is currently owned by hedge funds and other institutional investors.

Toro Company Profile

The Toro Company designs, manufactures, markets, and sells professional turf maintenance equipment and services. It operates through two segments: Professional and Residential. The Professional segment offers turf and landscape equipment products, including sports fields and grounds mowing and maintenance equipment, golf course mowing and maintenance equipment, landscape contractor mowing equipment, landscape creation and renovation equipment, and other maintenance equipment; rental, specialty, and underground construction equipment, such as horizontal directional drills, walk and ride trenchers, stand-on skid steers, vacuum excavators, stump grinders, turf renovation products, asset locators, pipe rehabilitation solutions, materials handling equipment, and other after-market tools; and snow and ice management equipment, such as snowplows, as well as stand-on snow and ice removal equipment, such as snowplow, snow brush, and snow thrower attachments, salt and sand spreaders, and related parts and accessories for light and medium duty trucks, utility task vehicles, skid steers, and front-end loaders.