Timken (NYSE:TKR) Hits New 12-Month High – Still a Buy?

Timken Company (The) (NYSE:TKR) shares hit a new 52-week high on Wednesday . The stock traded as high as $143.45 and last traded at $143.1790, with a volume of 122324 shares trading hands. The stock had previously closed at $140.28.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on TKR shares. Evercore reissued an “outperform” rating and issued a $158.00 price target on shares of Timken in a research report on Monday, May 11th. The Goldman Sachs Group set a $128.00 price target on shares of Timken in a research report on Friday, May 22nd. KeyCorp lifted their price target on shares of Timken from $130.00 to $140.00 and gave the company an “overweight” rating in a research report on Thursday, May 7th. Weiss Ratings reissued a “hold (c+)” rating on shares of Timken in a research report on Monday, April 20th. Finally, Wall Street Zen raised shares of Timken from a “hold” rating to a “buy” rating in a research report on Sunday, March 1st. Six research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to MarketBeat, Timken has an average rating of “Moderate Buy” and an average target price of $141.63.

Timken Stock Performance

The stock’s 50-day moving average price is $117.75 and its 200 day moving average price is $103.16. The company has a market cap of $9.92 billion, a P/E ratio of 32.41, a price-to-earnings-growth ratio of 1.67 and a beta of 1.21. The company has a quick ratio of 1.55, a current ratio of 2.88 and a debt-to-equity ratio of 0.60.

Timken (NYSE:TKR) last posted its quarterly earnings results on Wednesday, May 6th. The industrial products company reported $1.67 earnings per share for the quarter, topping analysts’ consensus estimates of $1.50 by $0.17. Timken had a net margin of 6.60% and a return on equity of 11.84%. The firm had revenue of $1.23 billion for the quarter, compared to the consensus estimate of $1.17 billion. During the same quarter in the previous year, the company earned $1.40 earnings per share. The business’s revenue was up 8.0% compared to the same quarter last year. Timken has set its FY 2026 guidance at 5.750-6.250 EPS. As a group, research analysts expect that Timken Company will post 6.13 EPS for the current fiscal year.

Timken Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 29th. Shareholders of record on Tuesday, May 19th were paid 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 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date was Tuesday, May 19th. Timken’s dividend payout ratio is presently 32.73%.

Insiders Place Their Bets

In other news, Director Richard G. Kyle sold 8,448 shares of the business’s stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $127.35, for a total value of $1,075,852.80. Following the sale, the director owned 197,361 shares in the company, valued at approximately $25,133,923.35. The trade was a 4.10% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Ajita G. Rajendra sold 8,450 shares of the business’s stock in a transaction on Friday, June 5th. The shares were sold at an average price of $131.34, for a total transaction of $1,109,823.00. Following the completion of the sale, the director owned 20,225 shares in the company, valued at $2,656,351.50. This represents a 29.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 69,079 shares of company stock worth $8,296,144 over the last 90 days. Corporate insiders own 8.10% of the company’s stock.

Institutional Investors Weigh In On Timken

Several institutional investors and hedge funds have recently made changes to their positions in the company. Dimensional Fund Advisors LP boosted its stake in shares of Timken by 8.0% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,886,955 shares of the industrial products company’s stock valued at $290,320,000 after purchasing an additional 214,845 shares in the last quarter. UBS Group AG boosted its stake in shares of Timken by 734.7% in the 3rd quarter. UBS Group AG now owns 2,286,250 shares of the industrial products company’s stock valued at $171,880,000 after purchasing an additional 2,012,352 shares in the last quarter. Victory Capital Management Inc. boosted its stake in shares of Timken by 15.5% in the 4th quarter. Victory Capital Management Inc. now owns 1,843,042 shares of the industrial products company’s stock valued at $155,055,000 after purchasing an additional 247,000 shares in the last quarter. Invesco Ltd. boosted its stake in shares of Timken by 1.0% in the 4th quarter. Invesco Ltd. now owns 1,371,613 shares of the industrial products company’s stock valued at $115,394,000 after purchasing an additional 13,459 shares in the last quarter. Finally, Brown Advisory Inc. boosted its stake in shares of Timken by 5.6% in the 4th quarter. Brown Advisory Inc. now owns 1,273,668 shares of the industrial products company’s stock valued at $107,154,000 after purchasing an additional 67,573 shares in the last quarter. Institutional investors and hedge funds own 89.08% of the company’s stock.

Timken Company Profile

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.