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The Toro Company
🏹 Trader: 🎯 Near 52W High 📊 High Volume | BRS 71 Forming View all →
$9.3B
Market Cap
23.6
P/E
2.01
PEG
15.1%
ROCE
21.0%
ROE
0.70
D/E
9.1%
OPM
-8.1%
% from 52W High
66
α RS
🔍 TTC is showing a high-conviction setup because it matches 4 of 39 tracked screener presets, Sector RRG has Industrials in the Improving quadrant with the trail still strengthening, and RS Rating is 66. Net: Broad signal stack, not a recommendation. ? Conviction RRG RS Rating
Sources
Conviction 4/39 · Industrials in Improving quadrant · RS Rating 66
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🌏 Global Investor Returns
Currency-adjusted total returns for TTC including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
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By Category
📊 Sector Averages
About

The Toro Company provides professional turf maintenance equipment and services. It operates through Professional and Residential segments. It offers riding and walking mowers, greens rollers, all-wheel drive articulating tractors, turf sprayer, utility vehicles, aeration, bunker maintenance, and other turf equipment; sprinkler heads, controllers, turf sensors, valves, and operating software; and riding rotary and reel mowers and attachments, infield grooming equipment, multipurpose vehicles, debris management products, all-wheel drive articulating tractors, sidewalk snow and ice solution vehicles, and related attachments and accessories. The company also provides zero-turn radius riding mowers, walk behind and stand-on mowers, turf application and renovation, tree care, horizontal directional drills, and drilling guidance and support equipment; walk and ride trenchers, vacuum excavators, utility locators and inspection systems, pipe rehabilitation, and replacement solutions; drive chucks and sub savers, drill pipe, starter rods and quick connects, bits and blades, rock tools, reamers, and swivels; and snow removal and ice management solutions. In addition, it offers rotors, sprinkler bodies and nozzles, valves, drip tubing and subsurface irrigation, and electric control devices; wired and wireless rain, freeze, climate, and soil sensors; drip tape, polyethylene tubing, drip line, emitters, filters, fitting, and software related solutions; stand-on skid steers, walk-behind trenchers, stump grinders, material handlers, and other concrete construction equipment; walk power and zero-turn riding mowers, and snow throwers; and grass and hedge trimmers, blower-vacuums, chainsaws, edgers, cultivators, string mowers, and related parts and accessories. The company sells its products through distributors, dealers, mass retailers, hardware retailers, equipment rental and home centers, and online. The company was founded in 1914 and is headquartered in Bloomington, Minnesota.

Key Ratios Snapshot
📈 Growth Pattern
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⭐ Superinvestors Holding TTC
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Manager Shares Value % of Fund Period
Jim Simons Renaissance Technologies LLC 1.01M $94.4M 0.15% Mar 2026
Steve Cohen Point72 Asset Management 91.3K $8.5M 0.01% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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3-Statement Financial Model
Bear / Base / Bull projections · DCF fair value · Reverse-DCF
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🎙 Management Tone Confident Specific ↑ Improving 4 quarters Full tone analysis in Intelligence →
📊 MIXED Q2 revenue $1.42B up 8.1%, adj. EPS $1.60; raise FY26 guidance to 4-6.5% sales growth.
Revenue & Profitability
Q2 2026 total net sales were $1.42 billion, up 8.1% (5.7% organically). Adjusted operating margin was 14.4%, the highest in 12 quarters. Adjusted EPS was $1.60, up 13% year-over-year. Free cash flow was $266 million with 125% conversion. Professional segment earnings were $224 million (20.3% margin), Residential earnings $30 million (9.8% margin). Full-year guidance raised: sales growth 4%-6.5%, adjusted EPS $4.50-$4.62.
Outlook
Management sees broad-based demand across the portfolio, with spring conditions normalizing after a late spring last year. Key tailwinds include healthy landscape contractors, strong golf rounds (up 5% year-over-year), and sustained demand in underground construction (data centers, broadband). Headwinds include macroeconomic uncertainty, inflation, tariffs, and potential drought conditions in some key markets. Residential consumer confidence remains challenging.
Growth Drivers
Growth is driven by the Professional segment, particularly underground construction (low-double-digit organic growth), landscape contractors (high-single-digit growth), and golf (mid-single-digit growth). The JT21 and JT120 horizontal directional drills have strong order pipelines. The Tornado acquisition (soft excavation) is exceeding expectations, contributing over 2 percentage points to top-line growth. Autonomous mowers are in early growth stages. Residential is expected to be roughly flat for the full year.
Balance Sheet & CapEx
Not discussed in detail. The only investment mentioned is a new paint system at the Perry, Oklahoma facility to increase efficiency and capacity for underground construction. The company also highlighted its annual technology forum focusing on electrification, smart products, AI, and manufacturing efficiency. No specific CapEx guidance was provided.
Margins
Adjusted operating margin in Q2 was 14.4%, up 70 bps year-over-year and the highest in 12 quarters. Professional margin improved 40 bps to 20.3%, Residential margin improved 430 bps to 9.8%. Margin expansion is driven by AMP productivity, net price realization, and volume, partially offset by material, manufacturing, and freight costs. Q3 margins are expected to be lower than Q2 due to normal seasonality and lagging tariff mitigation actions. Full-year margins benefit from operational excellence and restructuring.
Key Risks
Management flagged macroeconomic and geopolitical headwinds, increased inflationary pressures, and tariff uncertainties (Section 232 changes, Section 301). Potential drought conditions could impact residential and contractor demand. Consumer confidence remains a challenge for residential. The tax rate is expected to be higher due to geographic mix of earnings. Inventory levels for landscape contractor and residential are somewhat below desired levels, posing a risk of unmet demand.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-06-04
Second quarter sales rose 8.1% to $1.42 billion, with adjusted EPS up 13% to $1.60, driven by strong demand and margin expansion. Full-year guidance was raised for both sales and EPS, supported by robust professional segment growth and operational efficiencies.
Q1 2026 Q1 2026 2026-03-05
First quarter net sales rose 4.2% to $1.04 billion, with adjusted EPS up to $0.74, driven by strong professional segment growth and the Tornado acquisition. Fiscal 2026 guidance was raised for both sales and earnings, with continued investment in innovation and operational efficiency.
Q4 2025 Q4 2025 2025-12-17
Fourth-quarter and full-year results exceeded expectations, with strong professional segment margins, record free cash flow, and increased shareholder returns. Fiscal 2026 guidance anticipates sales growth, margin expansion, and continued investment in innovation and productivity.
Q3 2025 Q3 2025 2025-09-04
Q3 adjusted earnings surpassed expectations, led by strong professional segment growth and operational efficiencies, while residential faced ongoing headwinds. Fiscal 2025 guidance is cautious, with professional revenue up slightly and residential down mid-teens, but inventory reductions and productivity gains position the company well for 2026.
Q2 2025 Q2 2025 2025-06-05
Adjusted EPS exceeded expectations despite a 2.3% revenue decline, with professional segment growth offsetting residential weakness. FY2025 guidance was lowered due to macro headwinds, but margin expansion and strong cash returns to shareholders continue. Innovation, cost control, and tariff mitigation remain key priorities.
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📊 Analysis Methodology

This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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