Timken (NYSE:TKR) Reaches New 12-Month High – Should You Buy?

Timken Company (The) (NYSE:TKR) shares reached a new 52-week high during trading on Wednesday . The company 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.

Analysts Set New Price Targets

Several research firms have weighed in on TKR. KeyCorp lifted their target price on Timken from $130.00 to $140.00 and gave the stock an “overweight” rating in a report on Thursday, May 7th. Weiss Ratings restated a “hold (c+)” rating on shares of Timken in a report on Monday, April 20th. DA Davidson assumed coverage on Timken in a research report on Tuesday. They set a “neutral” rating and a $130.00 price target on the stock. The Goldman Sachs Group set a $128.00 price objective on Timken in a report on Friday, May 22nd. Finally, Citigroup boosted their price objective 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 issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $141.62.

Timken Stock Up 1.7%

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 company has a market capitalization of $9.85 billion, a P/E ratio of 32.21, a PEG ratio of 1.67 and a beta of 1.21. The firm’s 50 day moving average price is $119.41 and its two-hundred day moving average price is $103.99.

Timken (NYSE:TKR) last announced its quarterly earnings data on Wednesday, May 6th. The industrial products company reported $1.67 EPS for the quarter, topping analysts’ consensus estimates of $1.50 by $0.17. The business had revenue of $1.23 billion for the quarter, compared to analyst estimates of $1.17 billion. Timken had a net margin of 6.60% and a return on equity of 11.84%. The firm’s revenue for the quarter was up 8.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.40 earnings per share. Timken has set its FY 2026 guidance at 5.750-6.250 EPS. Equities research analysts forecast that Timken Company will post 6.14 EPS for the current year.

Timken Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, May 29th. Stockholders of record on Tuesday, May 19th were paid a dividend of $0.36 per share. The ex-dividend date was Tuesday, May 19th. This represents a $1.44 dividend on an annualized basis and a dividend yield of 1.0%. This is a positive change from Timken’s previous quarterly dividend of $0.35. Timken’s dividend payout ratio (DPR) is currently 32.73%.

Insider Activity

In other news, Director John M. Timken, Jr. sold 15,000 shares of the company’s stock in a transaction dated 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 sale, 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 position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Ajita G. Rajendra sold 8,450 shares of the firm’s stock in a transaction dated 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 of the company’s stock, valued at $2,656,351.50. This trade represents a 29.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 69,079 shares of company stock worth $8,296,144 in the last quarter. Corporate insiders own 8.10% of the company’s stock.

Institutional Trading of Timken

Several institutional investors and hedge funds have recently bought and sold shares of TKR. Gordian Capital Singapore Pte Ltd bought a new position in shares of Timken during the 4th quarter worth approximately $25,000. Clearstead Advisors LLC lifted its holdings in Timken by 130.3% during 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 stake in Timken during the 4th quarter valued at $27,000. V Square Quantitative Management LLC bought a new position in Timken during the fourth quarter worth $31,000. Finally, Kestra Investment Management LLC bought a new position in Timken during the second quarter worth $42,000. Institutional investors own 89.08% of the company’s stock.

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.