Zacks Research Has Negative Outlook for Timken Q1 Earnings

The Timken Company (NYSE:TKR) – Investment analysts at Zacks Research lowered their Q1 2025 earnings estimates for Timken in a research note issued on Wednesday, February 19th. Zacks Research analyst M. Das now anticipates that the industrial products company will post earnings of $1.42 per share for the quarter, down from their previous estimate of $1.74. The consensus estimate for Timken’s current full-year earnings is $5.62 per share. Zacks Research also issued estimates for Timken’s Q2 2025 earnings at $1.51 EPS, Q4 2025 earnings at $1.31 EPS, FY2025 earnings at $5.62 EPS, Q1 2026 earnings at $1.66 EPS, Q2 2026 earnings at $1.73 EPS, Q3 2026 earnings at $1.63 EPS, Q4 2026 earnings at $1.50 EPS and FY2026 earnings at $6.52 EPS.

Timken (NYSE:TKR) last issued its earnings results on Wednesday, February 5th. The industrial products company reported $1.16 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.08 by $0.08. Timken had a return on equity of 13.93% and a net margin of 7.71%.

A number of other equities analysts also recently issued reports on the company. Bank of America upgraded Timken from an “underperform” rating to a “neutral” rating and increased their price objective for the stock from $73.00 to $78.00 in a report on Tuesday, February 4th. KeyCorp restated a “sector weight” rating on shares of Timken in a research report on Friday, November 22nd. Evercore ISI raised their price objective on Timken from $91.00 to $102.00 and gave the stock an “outperform” rating in a research note on Wednesday, February 19th. Oppenheimer lowered their target price on shares of Timken from $102.00 to $97.00 and set an “outperform” rating on the stock in a research note on Wednesday, November 6th. Finally, Jefferies Financial Group upgraded Timken from a “hold” rating to a “buy” rating and upped their price target for the stock from $80.00 to $95.00 in a research note on Friday, December 6th. Four equities research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $92.70.

Timken Price Performance

TKR opened at $80.14 on Monday. Timken has a 52-week low of $69.35 and a 52-week high of $94.71. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.61 and a current ratio of 3.07. The stock’s 50 day moving average price is $76.71 and its 200-day moving average price is $79.31. The stock has a market capitalization of $5.62 billion, a PE ratio of 16.06, a price-to-earnings-growth ratio of 1.51 and a beta of 1.39.

Institutional Trading of Timken

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Mackenzie Financial Corp purchased a new stake in shares of Timken during the fourth quarter worth approximately $510,000. Public Employees Retirement System of Ohio boosted its position in shares of Timken by 5.4% during the 4th quarter. Public Employees Retirement System of Ohio now owns 53,606 shares of the industrial products company’s stock worth $3,826,000 after purchasing an additional 2,763 shares during the period. CSS LLC IL acquired a new position in Timken during the 4th quarter worth about $208,000. PharVision Advisers LLC purchased a new position in shares of Timken in the fourth quarter valued at approximately $242,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in Timken by 9.3% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 210,872 shares of the industrial products company’s stock valued at $15,050,000 after buying an additional 17,966 shares during the period. Institutional investors and hedge funds own 89.08% of the company’s stock.

Insider Transactions at Timken

In other news, CFO Philip D. Fracassa sold 5,000 shares of the company’s stock in a transaction on Friday, February 7th. The shares were sold at an average price of $81.50, for a total value of $407,500.00. Following the sale, the chief financial officer now directly owns 90,541 shares of the company’s stock, valued at $7,379,091.50. This represents a 5.23 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 8.70% of the company’s stock.

Timken Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, March 7th. Shareholders of record on Tuesday, February 25th will be issued a $0.34 dividend. This represents a $1.36 annualized dividend and a yield of 1.70%. The ex-dividend date is Tuesday, February 25th. Timken’s dividend payout ratio is currently 27.25%.

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.