Zacks Research Has Optimistic Outlook of Timken Q4 Earnings

Key Points

• Zacks Research raised its Q4 2026 EPS estimate to $1.27 (from $1.25) and now projects FY2027 EPS of $6.41 and FY2028 EPS of $7.04, versus the current consensus full-year estimate of $5.89.
• Timken recently beat quarterly expectations, reporting $1.14 EPS and $1.11B revenue (vs. $1.09 EPS and $1.07B consensus) and setting FY2026 guidance of $5.50–$6.00 EPS.
• Analyst views are mixed despite higher targets—several firms raised price objectives (DA Davidson, Morgan Stanley, Citigroup), but the MarketBeat average rating remains "Hold" with an average price target of $105.86 while the stock trades near $108.86.

Timken Company (The) (NYSE:TKR - Free Report) - Equities research analysts at Zacks Research raised their Q4 2026 earnings per share (EPS) estimates for shares of Timken in a research note issued on Tuesday, April 21st. Zacks Research analyst Team now expects that the industrial products company will post earnings of $1.27 per share for the quarter, up from their prior estimate of $1.25. The consensus estimate for Timken's current full-year earnings is $5.89 per share. Zacks Research also issued estimates for Timken's Q1 2027 earnings at $1.58 EPS, Q4 2027 earnings at $1.54 EPS, FY2027 earnings at $6.41 EPS and FY2028 earnings at $7.04 EPS.

A number of other equities analysts have also recently commented on TKR. Weiss Ratings reissued a "hold (c+)" rating on shares of Timken in a research note on Monday. DA Davidson upped their price objective on shares of Timken from $86.00 to $108.00 and gave the company a "neutral" rating in a research note on Tuesday, February 10th. Morgan Stanley upped their price objective on shares of Timken from $116.00 to $119.00 and gave the company an "overweight" rating in a research note on Monday, March 30th. Citigroup upped their price objective on shares of Timken from $115.00 to $125.00 and gave the company a "buy" rating in a research note on Monday, April 13th. Finally, JPMorgan Chase & Co. reaffirmed an "underweight" rating and issued a $100.00 price objective on shares of Timken in a research note on Thursday, March 26th. Four analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $105.86.

Timken Price Performance

TKR stock opened at $108.86 on Wednesday. The company has a debt-to-equity ratio of 0.56, a current ratio of 2.82 and a quick ratio of 1.47. Timken has a one year low of $60.85 and a one year high of $111.39. The stock has a market cap of $7.60 billion, a PE ratio of 26.49, a P/E/G ratio of 1.58 and a beta of 1.18. The firm has a 50 day simple moving average of $103.54 and a two-hundred day simple moving average of $91.13.

Timken (NYSE:TKR - Get Free Report) last released its quarterly earnings results on Wednesday, February 4th. The industrial products company reported $1.14 EPS for the quarter, topping analysts' consensus estimates of $1.09 by $0.05. Timken had a net margin of 6.29% and a return on equity of 11.52%. The business had revenue of $1.11 billion during the quarter, compared to analysts' expectations of $1.07 billion. During the same quarter in the previous year, the company earned $1.16 EPS. The business's quarterly revenue was up 3.5% compared to the same quarter last year. Timken has set its FY 2026 guidance at 5.500-6.000 EPS.

Institutional Investors Weigh In On Timken

Several institutional investors and hedge funds have recently modified their holdings of the stock. GHP Investment Advisors Inc. lifted its position in shares of Timken by 20.2% in the 1st quarter. GHP Investment Advisors Inc. now owns 23,941 shares of the industrial products company's stock worth $2,408,000 after purchasing an additional 4,031 shares during the period. Louisiana State Employees Retirement System purchased a new stake in shares of Timken in the 1st quarter worth about $1,850,000. Ritholtz Wealth Management purchased a new stake in shares of Timken in the 1st quarter worth about $657,000. Fifth Third Wealth Advisors LLC lifted its position in shares of Timken by 4.3% in the 1st quarter. Fifth Third Wealth Advisors LLC now owns 2,537 shares of the industrial products company's stock worth $255,000 after purchasing an additional 104 shares during the period. Finally, Baker Ellis Asset Management LLC lifted its position in shares of Timken by 1.6% in the 1st quarter. Baker Ellis Asset Management LLC now owns 64,163 shares of the industrial products company's stock worth $6,453,000 after purchasing an additional 1,001 shares during the period. 89.08% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Timken

In other news, Director Richard G. Kyle sold 19,636 shares of the firm's stock in a transaction dated Friday, February 20th. The shares were sold at an average price of $107.99, for a total value of $2,120,491.64. Following the completion of the sale, the director directly owned 243,636 shares of the company's stock, valued at approximately $26,310,251.64. This trade represents a 7.46% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. 8.10% of the stock is currently owned by corporate insiders.

Timken Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, March 6th. Investors of record on Tuesday, February 24th were issued a dividend of $0.35 per share. This represents a $1.40 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date was Tuesday, February 24th. Timken's dividend payout ratio is currently 34.06%.

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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