TIMKEN CO (TKR) Stock Fundamental Analysis
NYSE:TKR • US8873891043
106.875 USD
-3.11 (-2.83%)
Last: Mar 3, 2026, 12:44 PM
Overall TKR gets a fundamental rating of 4 out of 10. We evaluated TKR against 130 industry peers in the Machinery industry. TKR has only an average score on both its financial health and profitability. TKR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- TKR had positive earnings in the past year.
- In the past year TKR had a positive cash flow from operations.
- In the past 5 years TKR has always been profitable.
- In the past 5 years TKR always reported a positive cash flow from operatings.
1.2 Ratios
- TKR has a Return On Assets (4.32%) which is in line with its industry peers.
- With a Return On Equity value of 9.06%, TKR perfoms like the industry average, outperforming 57.69% of the companies in the same industry.
- TKR's Return On Invested Capital of 7.93% is in line compared to the rest of the industry. TKR outperforms 58.46% of its industry peers.
- TKR had an Average Return On Invested Capital over the past 3 years of 8.76%. This is in line with the industry average of 10.21%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.32% | ||
| ROE | 9.06% | ||
| ROIC | 7.93% |
ROA(3y)5.28%
ROA(5y)6.01%
ROE(3y)12.27%
ROE(5y)14.17%
ROIC(3y)8.76%
ROIC(5y)9.16%
1.3 Margins
- TKR has a Profit Margin of 6.29%. This is comparable to the rest of the industry: TKR outperforms 55.38% of its industry peers.
- In the last couple of years the Profit Margin of TKR has declined.
- TKR's Operating Margin of 13.09% is fine compared to the rest of the industry. TKR outperforms 63.08% of its industry peers.
- TKR's Operating Margin has declined in the last couple of years.
- The Gross Margin of TKR (31.15%) is comparable to the rest of the industry.
- TKR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.09% | ||
| PM (TTM) | 6.29% | ||
| GM | 31.15% |
OM growth 3Y-5.16%
OM growth 5Y-1.84%
PM growth 3Y-11.43%
PM growth 5Y-4.91%
GM growth 3Y2.01%
GM growth 5Y1.13%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TKR is destroying value.
- The number of shares outstanding for TKR has been reduced compared to 1 year ago.
- Compared to 5 years ago, TKR has less shares outstanding
- The debt/assets ratio for TKR has been reduced compared to a year ago.
2.2 Solvency
- The Debt to FCF ratio of TKR is 4.73, which is a neutral value as it means it would take TKR, 4.73 years of fcf income to pay off all of its debts.
- TKR has a Debt to FCF ratio (4.73) which is comparable to the rest of the industry.
- TKR has a Debt/Equity ratio of 0.59. This is a neutral value indicating TKR is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.59, TKR is doing worse than 60.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 4.73 | ||
| Altman-Z | N/A |
ROIC/WACC0.91
WACC8.76%
2.3 Liquidity
- A Current Ratio of 2.82 indicates that TKR has no problem at all paying its short term obligations.
- Looking at the Current ratio, with a value of 2.82, TKR is in the better half of the industry, outperforming 73.85% of the companies in the same industry.
- A Quick Ratio of 1.47 indicates that TKR should not have too much problems paying its short term obligations.
- TKR's Quick ratio of 1.47 is fine compared to the rest of the industry. TKR outperforms 62.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
- TKR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.94%.
- The Earnings Per Share has been growing slightly by 5.39% on average over the past years.
- Looking at the last year, TKR shows a small growth in Revenue. The Revenue has grown by 0.19% in the last year.
- Measured over the past years, TKR shows a small growth in Revenue. The Revenue has been growing by 5.45% on average per year.
EPS 1Y (TTM)-7.94%
EPS 3Y-3.98%
EPS 5Y5.39%
EPS Q2Q%-1.72%
Revenue 1Y (TTM)0.19%
Revenue growth 3Y0.63%
Revenue growth 5Y5.45%
Sales Q2Q%3.48%
3.2 Future
- Based on estimates for the next years, TKR will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.55% on average per year.
- TKR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.76% yearly.
EPS Next Y13.14%
EPS Next 2Y11.91%
EPS Next 3Y8.55%
EPS Next 5YN/A
Revenue Next Year4.18%
Revenue Next 2Y4.02%
Revenue Next 3Y3.76%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 20.05 indicates a rather expensive valuation of TKR.
- Based on the Price/Earnings ratio, TKR is valued a bit cheaper than 75.38% of the companies in the same industry.
- When comparing the Price/Earnings ratio of TKR to the average of the S&P500 Index (27.13), we can say TKR is valued slightly cheaper.
- TKR is valuated rather expensively with a Price/Forward Earnings ratio of 17.72.
- Based on the Price/Forward Earnings ratio, TKR is valued a bit cheaper than 76.92% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of TKR to the average of the S&P500 Index (28.11), we can say TKR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.05 | ||
| Fwd PE | 17.72 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TKR is valued cheaply inside the industry as 80.77% of the companies are valued more expensively.
- 80.00% of the companies in the same industry are more expensive than TKR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.33 | ||
| EV/EBITDA | 11.11 |
4.3 Compensation for Growth
- TKR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.53
PEG (5Y)3.72
EPS Next 2Y11.91%
EPS Next 3Y8.55%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.27%, TKR has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.13, TKR pays a bit more dividend than its industry peers.
- TKR's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
5.2 History
- The dividend of TKR has a limited annual growth rate of 4.11%.
- TKR has paid a dividend for at least 10 years, which is a reliable track record.
- TKR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.11%
Div Incr Years11
Div Non Decr Years15
5.3 Sustainability
- 34.08% of the earnings are spent on dividend by TKR. This is a low number and sustainable payout ratio.
- The dividend of TKR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP34.08%
EPS Next 2Y11.91%
EPS Next 3Y8.55%
NYSE:TKR (3/3/2026, 12:44:50 PM)
106.875
-3.11 (-2.83%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-04 2026-02-04/bmo
Earnings (Next)04-28 2026-04-28
Inst Owners97.48%
Inst Owner Change-2.17%
Ins Owners3.47%
Ins Owner Change-0.86%
Market Cap7.44B
Revenue(TTM)4.58B
Net Income(TTM)288.40M
Analysts71.76
Price Target113.42 (6.12%)
Short Float %3.2%
Short Ratio2.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
Yearly Dividend1.41
Dividend Growth(5Y)4.11%
DP34.08%
Div Incr Years11
Div Non Decr Years15
Ex-Date02-24 2026-02-24 (0.35)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.52%
Min EPS beat(2)3.89%
Max EPS beat(2)9.15%
EPS beat(4)3
Avg EPS beat(4)3%
Min EPS beat(4)-4.26%
Max EPS beat(4)9.15%
EPS beat(8)6
Avg EPS beat(8)4.12%
EPS beat(12)8
Avg EPS beat(12)3.78%
EPS beat(16)12
Avg EPS beat(16)8.12%
Revenue beat(2)2
Avg Revenue beat(2)2.49%
Min Revenue beat(2)2.4%
Max Revenue beat(2)2.59%
Revenue beat(4)4
Avg Revenue beat(4)1.54%
Min Revenue beat(4)0.03%
Max Revenue beat(4)2.59%
Revenue beat(8)5
Avg Revenue beat(8)0.89%
Revenue beat(12)7
Avg Revenue beat(12)0.25%
Revenue beat(16)9
Avg Revenue beat(16)0.32%
PT rev (1m)25.23%
PT rev (3m)27.23%
EPS NQ rev (1m)-3.01%
EPS NQ rev (3m)-3.2%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)0.01%
Revenue NQ rev (1m)0.17%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)0.93%
Revenue NY rev (3m)1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.05 | ||
| Fwd PE | 17.72 | ||
| P/S | 1.62 | ||
| P/FCF | 18.33 | ||
| P/OCF | 13.43 | ||
| P/B | 2.34 | ||
| P/tB | 10.7 | ||
| EV/EBITDA | 11.11 |
EPS(TTM)5.33
EY4.99%
EPS(NY)6.03
Fwd EY5.64%
FCF(TTM)5.83
FCFY5.45%
OCF(TTM)7.96
OCFY7.45%
SpS65.77
BVpS45.72
TBVpS9.99
PEG (NY)1.53
PEG (5Y)3.72
Graham Number74.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.32% | ||
| ROE | 9.06% | ||
| ROCE | 10.42% | ||
| ROIC | 7.93% | ||
| ROICexc | 8.47% | ||
| ROICexgc | 15.74% | ||
| OM | 13.09% | ||
| PM (TTM) | 6.29% | ||
| GM | 31.15% | ||
| FCFM | 8.86% |
ROA(3y)5.28%
ROA(5y)6.01%
ROE(3y)12.27%
ROE(5y)14.17%
ROIC(3y)8.76%
ROIC(5y)9.16%
ROICexc(3y)9.47%
ROICexc(5y)9.9%
ROICexgc(3y)18.38%
ROICexgc(5y)18.32%
ROCE(3y)11.54%
ROCE(5y)12.1%
ROICexgc growth 3Y-8.32%
ROICexgc growth 5Y-2.36%
ROICexc growth 3Y-10.57%
ROICexc growth 5Y-2.7%
OM growth 3Y-5.16%
OM growth 5Y-1.84%
PM growth 3Y-11.43%
PM growth 5Y-4.91%
GM growth 3Y2.01%
GM growth 5Y1.13%
F-Score5
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 4.73 | ||
| Debt/EBITDA | 2.27 | ||
| Cap/Depr | 64.41% | ||
| Cap/Sales | 3.23% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.78% | ||
| Profit Quality | 140.81% | ||
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | N/A |
F-Score5
WACC8.76%
ROIC/WACC0.91
Cap/Depr(3y)78.12%
Cap/Depr(5y)86.3%
Cap/Sales(3y)3.63%
Cap/Sales(5y)3.69%
Profit Quality(3y)106.06%
Profit Quality(5y)90.6%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.94%
EPS 3Y-3.98%
EPS 5Y5.39%
EPS Q2Q%-1.72%
EPS Next Y13.14%
EPS Next 2Y11.91%
EPS Next 3Y8.55%
EPS Next 5YN/A
Revenue 1Y (TTM)0.19%
Revenue growth 3Y0.63%
Revenue growth 5Y5.45%
Sales Q2Q%3.48%
Revenue Next Year4.18%
Revenue Next 2Y4.02%
Revenue Next 3Y3.76%
Revenue Next 5YN/A
EBIT growth 1Y-1.77%
EBIT growth 3Y-4.56%
EBIT growth 5Y3.52%
EBIT Next Year43.99%
EBIT Next 3Y18.13%
EBIT Next 5YN/A
FCF growth 1Y32.84%
FCF growth 3Y12.48%
FCF growth 5Y-2.29%
OCF growth 1Y16.52%
OCF growth 3Y6.12%
OCF growth 5Y-0.82%
TIMKEN CO / TKR FAQ
What is the ChartMill fundamental rating of TIMKEN CO (TKR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TKR.
Can you provide the valuation status for TIMKEN CO?
ChartMill assigns a valuation rating of 5 / 10 to TIMKEN CO (TKR). This can be considered as Fairly Valued.
Can you provide the profitability details for TIMKEN CO?
TIMKEN CO (TKR) has a profitability rating of 4 / 10.
Can you provide the financial health for TKR stock?
The financial health rating of TIMKEN CO (TKR) is 5 / 10.
Can you provide the expected EPS growth for TKR stock?
The Earnings per Share (EPS) of TIMKEN CO (TKR) is expected to grow by 13.14% in the next year.