Zacks Research Brokers Raise Earnings Estimates for Timken

Key Points

• Zacks Research raised Timken’s Q2 2026 EPS estimate to $1.59 from $1.57, reflecting a slightly more optimistic outlook for the industrial products maker. The firm also outlined estimates for upcoming quarters and fiscal years through FY2027.
• Timken recently beat earnings and revenue expectations in its latest quarter, reporting EPS of $1.67 versus the $1.50 consensus and revenue of $1.23 billion versus $1.17 billion expected. The company also posted 8% year-over-year revenue growth and raised its FY2026 EPS guidance to 5.75-6.25.
• Analyst sentiment remains constructive, with several firms reiterating or lifting price targets and JPMorgan upgrading the stock to overweight. MarketBeat data shows Timken has a consensus rating of “Moderate Buy” with an average price target of $139.13.

Timken Company (The) (NYSE:TKR - Free Report) - Zacks Research increased their Q2 2026 earnings per share (EPS) estimates for Timken in a research note issued to investors on Wednesday, May 27th. Zacks Research analyst Team now expects that the industrial products company will earn $1.59 per share for the quarter, up from their prior estimate of $1.57. The consensus estimate for Timken's current full-year earnings is $6.13 per share. Zacks Research also issued estimates for Timken's Q3 2026 earnings at $1.49 EPS, FY2026 earnings at $6.04 EPS, Q1 2027 earnings at $1.64 EPS, Q2 2027 earnings at $1.75 EPS, Q4 2027 earnings at $1.63 EPS and FY2027 earnings at $6.73 EPS.

Timken (NYSE:TKR - Get Free Report) last posted its earnings results on Wednesday, May 6th. The industrial products company reported $1.67 earnings per share for the quarter, beating analysts' consensus estimates of $1.50 by $0.17. Timken had a return on equity of 11.84% and a net margin of 6.60%.The company had revenue of $1.23 billion for the quarter, compared to the consensus estimate of $1.17 billion. During the same quarter in the prior year, the company earned $1.40 earnings per share. Timken's revenue was up 8.0% on a year-over-year basis. Timken has set its FY 2026 guidance at 5.750-6.250 EPS.

A number of other research analysts also recently weighed in on TKR. Evercore reissued an "outperform" rating and issued a $158.00 target price on shares of Timken in a report on Monday, May 11th. Morgan Stanley set a $140.00 price target on Timken in a research report on Thursday, May 21st. The Goldman Sachs Group set a $128.00 price target on Timken in a research report on Friday, May 22nd. JPMorgan Chase & Co. upgraded Timken from a "neutral" rating to an "overweight" rating and upped their price target for the stock from $130.00 to $150.00 in a research report on Tuesday. Finally, Oppenheimer upped their price target on Timken from $132.00 to $137.00 and gave the stock an "outperform" rating in a research report on Friday, May 22nd. Six investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $139.13.

Timken Stock Down 0.2%

TKR stock opened at $127.19 on Thursday. Timken has a fifty-two week low of $67.14 and a fifty-two week high of $128.31. The business's 50-day moving average is $108.05 and its two-hundred day moving average is $97.66. The company has a debt-to-equity ratio of 0.60, a quick ratio of 1.55 and a current ratio of 2.88. The company has a market cap of $8.84 billion, a price-to-earnings ratio of 28.91, a P/E/G ratio of 1.53 and a beta of 1.18.

Hedge Funds Weigh In On Timken

Several institutional investors have recently added to or reduced their stakes in the company. Fifth Third Wealth Advisors LLC grew its holdings in Timken by 4.3% during the 1st quarter. Fifth Third Wealth Advisors LLC now owns 2,537 shares of the industrial products company's stock valued at $255,000 after buying an additional 104 shares in the last quarter. Parallel Advisors LLC grew its holdings in Timken by 4.1% during the 1st quarter. Parallel Advisors LLC now owns 2,970 shares of the industrial products company's stock valued at $299,000 after buying an additional 116 shares in the last quarter. Uncommon Cents Investing LLC grew its holdings in Timken by 0.5% during the 4th quarter. Uncommon Cents Investing LLC now owns 27,465 shares of the industrial products company's stock valued at $2,311,000 after buying an additional 125 shares in the last quarter. Parvin Asset Management LLC grew its holdings in Timken by 16.5% during the 1st quarter. Parvin Asset Management LLC now owns 920 shares of the industrial products company's stock valued at $93,000 after buying an additional 130 shares in the last quarter. Finally, Quadrant Capital Group LLC grew its holdings in Timken by 3.2% during the 3rd quarter. Quadrant Capital Group LLC now owns 4,319 shares of the industrial products company's stock valued at $325,000 after buying an additional 132 shares in the last quarter. Hedge funds and other institutional investors own 89.08% of the company's stock.

Insider Activity

In related news, Director Richard G. Kyle sold 37,181 shares of the stock in a transaction dated Friday, May 8th. The stock was sold at an average price of $117.34, for a total transaction of $4,362,818.54. Following the completion of the sale, the director owned 206,455 shares in the company, valued at approximately $24,225,429.70. This trade represents a 15.26% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director John M. Timken, Jr. sold 15,000 shares of the stock in a transaction dated Friday, May 8th. The stock was sold at an average price of $116.51, for a total value of $1,747,650.00. Following the sale, the director owned 264,744 shares of the company's stock, valued at $30,845,323.44. This represents a 5.36% decrease in their position. The SEC filing for this sale provides additional information. Company insiders own 8.10% of the company's stock.

Timken Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Investors of record on Tuesday, May 19th will be given a dividend of $0.36 per share. This is an increase from Timken's previous quarterly dividend of $0.35. This represents a $1.44 annualized dividend and a dividend yield of 1.1%. The ex-dividend date is Tuesday, May 19th. Timken's dividend payout ratio (DPR) is 32.73%.

About Timken

The Timken Company is a global manufacturer specializing in engineered bearings and mechanical power transmission products. Its core offerings include tapered and cylindrical roller bearings, spherical and plain bearings, mounted bearing units, and precision gear drives. Timken's products serve a broad range of industries, from industrial machinery and aerospace to automotive, rail, wind energy and heavy equipment.

Beyond bearings, Timken's portfolio extends to industrial chains, belts, couplings and related components designed to optimize power transmission systems.

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