Zacks Research Weighs in on Graco's Q1 Earnings (NYSE:GGG)

Key Points

• Zacks Research has raised its Q1 2026 earnings estimate for Graco Inc. to $0.73 per share, reflecting increased optimism for the company.
• The average rating for Graco stock is currently a "Moderate Buy", with a price target of $94.50, following recent upgrades by various analysts.
• Graco's recent earnings report showed a net margin of 22.26% and a year-over-year revenue growth of 3.4%, although it fell short of analyst expectations for revenue and earnings.

Graco Inc. (NYSE:GGG - Free Report) - Investment analysts at Zacks Research lifted their Q1 2026 EPS estimates for shares of Graco in a note issued to investors on Tuesday, August 26th. Zacks Research analyst Team now anticipates that the industrial products company will earn $0.73 per share for the quarter, up from their prior estimate of $0.72. The consensus estimate for Graco's current full-year earnings is $3.06 per share. Zacks Research also issued estimates for Graco's Q2 2026 earnings at $0.80 EPS, Q3 2026 earnings at $0.78 EPS, FY2026 earnings at $3.17 EPS, Q1 2027 earnings at $0.73 EPS and Q2 2027 earnings at $0.90 EPS.

Other analysts have also issued research reports about the stock. Robert W. Baird increased their price target on shares of Graco from $88.00 to $91.00 and gave the stock a "neutral" rating in a research report on Friday, July 25th. Wolfe Research assumed coverage on shares of Graco in a research note on Wednesday, June 18th. They set an "outperform" rating for the company. Three investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $94.50.

Graco Stock Performance

Shares of NYSE GGG traded down $0.67 during trading hours on Friday, hitting $83.88. 43,750 shares of the stock were exchanged, compared to its average volume of 807,118. The company has a market cap of $13.90 billion, a PE ratio of 29.73, a price-to-earnings-growth ratio of 2.89 and a beta of 1.03. The company's fifty day simple moving average is $85.91 and its two-hundred day simple moving average is $84.21. Graco has a 1-year low of $72.06 and a 1-year high of $92.86.

Graco (NYSE:GGG - Get Free Report) last announced its quarterly earnings results on Wednesday, July 23rd. The industrial products company reported $0.75 EPS for the quarter, missing analysts' consensus estimates of $0.78 by ($0.03). Graco had a net margin of 22.26% and a return on equity of 19.05%. The company had revenue of $571.81 million during the quarter, compared to analyst estimates of $590.57 million. During the same quarter last year, the company posted $0.77 EPS. The firm's quarterly revenue was up 3.4% on a year-over-year basis.

Graco Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, August 6th. Stockholders of record on Monday, July 21st were issued a dividend of $0.275 per share. This represents a $1.10 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date was Monday, July 21st. Graco's dividend payout ratio (DPR) is currently 39.01%.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the business. Orion Porfolio Solutions LLC grew its holdings in shares of Graco by 16.8% during the second quarter. Orion Porfolio Solutions LLC now owns 5,356 shares of the industrial products company's stock valued at $460,000 after buying an additional 771 shares during the last quarter. Thompson Davis & CO. Inc. purchased a new position in Graco during the second quarter worth about $229,000. Advisory Services Network LLC raised its position in Graco by 2.6% in the second quarter. Advisory Services Network LLC now owns 37,655 shares of the industrial products company's stock worth $3,162,000 after acquiring an additional 941 shares during the period. State of Wyoming raised its position in shares of Graco by 60.8% in the second quarter. State of Wyoming now owns 9,060 shares of the industrial products company's stock valued at $779,000 after purchasing an additional 3,425 shares during the period. Finally, FORA Capital LLC raised its position in shares of Graco by 220.0% in the second quarter. FORA Capital LLC now owns 11,836 shares of the industrial products company's stock valued at $1,018,000 after purchasing an additional 8,137 shares during the period. 93.88% of the stock is currently owned by institutional investors and hedge funds.

About Graco

Graco Inc designs, manufactures, and markets systems and equipment used to move, measure, control, dispense, and spray fluid and powder materials worldwide. The Contractor segment offers sprayers to apply paint to walls and other structures; two-component proportioning systems that are used to spray polyurethane foam and polyurea coatings; and viscous coatings to roofs, as well as markings on roads, parking lots, athletic fields, and floors.