DA Davidson Has Negative Forecast for Timken Q2 Earnings

Timken Company (The) (NYSE:TKR) – Research analysts at DA Davidson lowered their Q2 2025 earnings per share (EPS) estimates for Timken in a note issued to investors on Wednesday, July 23rd. DA Davidson analyst M. Shlisky now anticipates that the industrial products company will post earnings of $1.36 per share for the quarter, down from their previous forecast of $1.44. DA Davidson currently has a “Neutral” rating and a $80.00 target price on the stock. The consensus estimate for Timken’s current full-year earnings is $5.62 per share.

Timken (NYSE:TKR) last posted its quarterly earnings results on Wednesday, April 30th. The industrial products company reported $1.40 earnings per share for the quarter, missing the consensus estimate of $1.43 by ($0.03). Timken had a return on equity of 12.62% and a net margin of 7.24%. The business had revenue of $1.14 billion during the quarter, compared to analysts’ expectations of $1.13 billion. During the same quarter in the prior year, the firm earned $1.77 EPS. The firm’s revenue for the quarter was down 4.2% compared to the same quarter last year.

Several other analysts have also commented on the company. Oppenheimer cut their price objective on Timken from $90.00 to $88.00 and set an “outperform” rating for the company in a report on Thursday, May 1st. Loop Capital cut their price objective on Timken from $85.00 to $65.00 and set a “hold” rating for the company in a report on Thursday, April 17th. Evercore ISI cut their price target on Timken from $102.00 to $85.00 and set an “outperform” rating for the company in a report on Monday, May 19th. Morgan Stanley cut their price target on Timken from $94.00 to $88.00 and set an “overweight” rating for the company in a report on Wednesday, April 16th. Finally, Jefferies Financial Group reissued a “hold” rating and set a $70.00 price target (down previously from $90.00) on shares of Timken in a report on Wednesday, April 2nd. Six investment analysts have rated the stock with a hold rating and four have given a buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $79.90.

Timken Stock Performance

Shares of TKR opened at $80.79 on Thursday. The company has a debt-to-equity ratio of 0.68, a current ratio of 3.15 and a quick ratio of 1.71. Timken has a one year low of $56.20 and a one year high of $90.49. The firm has a market capitalization of $5.65 billion, a P/E ratio of 17.41, a PEG ratio of 1.75 and a beta of 1.27. The business has a fifty day moving average of $73.62 and a 200 day moving average of $73.05.

Hedge Funds Weigh In On Timken

A number of hedge funds have recently made changes to their positions in TKR. Envestnet Portfolio Solutions Inc. boosted its stake in shares of Timken by 5.0% in the fourth quarter. Envestnet Portfolio Solutions Inc. now owns 5,259 shares of the industrial products company’s stock worth $375,000 after acquiring an additional 251 shares during the period. Xponance Inc. lifted its position in shares of Timken by 5.9% in the fourth quarter. Xponance Inc. now owns 7,309 shares of the industrial products company’s stock worth $522,000 after buying an additional 405 shares in the last quarter. KLP Kapitalforvaltning AS purchased a new stake in shares of Timken in the fourth quarter worth about $992,000. Vanguard Group Inc. lifted its position in shares of Timken by 0.4% in the fourth quarter. Vanguard Group Inc. now owns 6,465,760 shares of the industrial products company’s stock worth $461,461,000 after buying an additional 26,973 shares in the last quarter. Finally, NEOS Investment Management LLC lifted its position in shares of Timken by 178.6% in the fourth quarter. NEOS Investment Management LLC now owns 87,105 shares of the industrial products company’s stock worth $6,217,000 after buying an additional 55,843 shares in the last quarter. Institutional investors own 89.08% of the company’s stock.

Timken Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, May 23rd. Stockholders of record on Tuesday, May 13th were paid a $0.35 dividend. This is a positive change from Timken’s previous quarterly dividend of $0.34. The ex-dividend date was Tuesday, May 13th. This represents a $1.40 dividend on an annualized basis and a dividend yield of 1.73%. Timken’s dividend payout ratio is 30.17%.

About Timken

The Timken Company designs, manufactures, and sells engineered bearings and industrial motion products, and related services in the United States and internationally. The company's Engineered Bearings segment provides various bearing products, including tapered, spherical, and cylindrical roller bearings; plain bearings, metal-polymer bearings, and rod end bearings; radial, angular, and precision ball bearings; thrust and specialty ball bearings; journal bearings; and housed or mounted bearings.