Timken (NYSE:TKR) Sets New 12-Month High – What’s Next?

Timken Company (The) (NYSE:TKR)’s share price reached a new 52-week high during trading on Friday . The stock traded as high as $134.12 and last traded at $130.52, with a volume of 281433 shares traded. The stock had previously closed at $133.66.

Wall Street Analysts Forecast Growth

TKR has been the topic of several recent research reports. JPMorgan Chase & Co. upgraded Timken from a “neutral” rating to an “overweight” rating and upped their price objective for the stock from $130.00 to $150.00 in a research report on Tuesday, May 26th. DA Davidson upped their price objective on Timken from $117.00 to $120.00 and gave the stock a “neutral” rating in a research report on Thursday, May 21st. Evercore restated an “outperform” rating and issued a $158.00 price objective on shares of Timken in a research report on Monday, May 11th. KeyCorp upped their price objective on Timken from $130.00 to $140.00 and gave the stock an “overweight” rating in a research report on Thursday, May 7th. Finally, Citigroup increased their target price on Timken from $125.00 to $140.00 and gave the company a “buy” rating in a research report on Thursday, May 7th. Six equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, Timken has an average rating of “Moderate Buy” and a consensus price target of $140.38.

Timken Stock Down 1.2%

The stock has a market cap of $9.18 billion, a PE ratio of 30.01, a price-to-earnings-growth ratio of 1.58 and a beta of 1.21. The company has a current ratio of 2.88, a quick ratio of 1.55 and a debt-to-equity ratio of 0.60. The business has a 50-day moving average price of $112.43 and a 200-day moving average price of $100.06.

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

Timken Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 29th. Stockholders of record on Tuesday, May 19th were given a dividend of $0.36 per share. This is a positive change from Timken’s previous quarterly dividend of $0.35. The ex-dividend date was Tuesday, May 19th. This represents a $1.44 dividend on an annualized basis and a dividend yield of 1.1%. Timken’s payout ratio is 32.73%.

Insider Buying and Selling

In other news, Director Richard G. Kyle sold 37,181 shares of the stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $117.34, for a total transaction of $4,362,818.54. Following the transaction, the director owned 206,455 shares in the company, valued at $24,225,429.70. This trade represents a 15.26% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director John M. Timken, Jr. sold 15,000 shares of the stock in a transaction on Friday, May 8th. The shares were sold at an average price of $116.51, for a total value of $1,747,650.00. Following the completion of the transaction, the director directly owned 264,744 shares of the company’s stock, valued at approximately $30,845,323.44. This represents a 5.36% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 60,629 shares of company stock worth $7,186,321 in the last quarter. Insiders own 8.10% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Gordian Capital Singapore Pte Ltd acquired a new position in Timken in the 4th quarter valued at $25,000. Clearstead Advisors LLC raised its stake in Timken by 130.3% in the 4th quarter. Clearstead Advisors LLC now owns 304 shares of the industrial products company’s stock valued at $26,000 after purchasing an additional 172 shares during the last quarter. Eastern Bank acquired a new position in Timken in the 4th quarter valued at $27,000. V Square Quantitative Management LLC acquired a new position in Timken in the 4th quarter valued at $31,000. Finally, Kestra Investment Management LLC acquired a new position in Timken in the 2nd quarter valued at $42,000. 89.08% of the stock is owned by institutional investors and hedge funds.

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.