Company Overview and Market Position
Ingersoll Rand Inc. (IR), headquartered in Davidson, North Carolina, provides essential technologies and solutions for the flow of air, gas, liquid, and solids on a global scale. The firm boasts a market cap of $39.4 billion and is divided into two primary segments: Industrial Technologies and Services (IT&S) and Precision and Science Technologies (P&ST).
Stock Performance Review
Ingersoll Rand’s stock has exceeded the overall market performance over the past year. Within the last 52 weeks, IR shares have increased by 49.5%, overshadowing the S&P 500 Index’s ($SPX) return of 32.7%. In 2024, IR’s stock is up 26.3%, surpassing the SPX’s gains of 21.2% year-to-date (YTD).
When looking closely, IR also outshined the Industrial Select Sector SPDR Fund’s (XLI) performance, which had a 34% increase over the past year and a YTD return of 19.4%.
Recent Earnings and Analyst Insights
On November 1, Ingersoll Rand released its Q3 earnings report, leading to a 2.1% drop in share price. The company reported an adjusted net income of 84 cents per share, which was higher than the anticipated 82 cents. However, revenue was reported at $1.86 billion, slightly below the expected $1.88 billion.
For the current fiscal year ending in December, analysts predict Ingersoll Rand will achieve an EPS growth of 12.6% year-over-year, reaching $3.21. Historically, the company has consistently exceeded EPS estimates across all four quarterly reports this year.
Currently, 12 analysts follow IR stock, and the consensus rating is a “Moderate Buy.” This rating comes from seven “Strong Buy” recommendations and five “Hold” ratings.
Price Target Adjustments and Market Outlook
On November 4, Robert W. Baird decreased Ingersoll Rand’s price target from $114 to $109 while still maintaining an “Outperform” rating for the stock. The average price target for IR stands at $104.67, indicating a potential premium of 7.1% at current trading levels. Furthermore, the highest target among analysts is $120, suggesting a possible upside of 22.8% from current prices.
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On the date of publication, Kritika Sarmah did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are provided for informational purposes only. For more information, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
