-
Terex (TEX) received a Barclays Overweight rating with a $65 price target, representing 19% upside from $54.87, driven by portfolio transformation that reduced cyclical exposure through the REV Group merger and addition of Specialty Vehicles contributing $2.2B in baseline revenue with $28M in synergies expected in 2026. Q4 2025 bookings surged 32% year-over-year on a pro forma basis to $1.90B with a 145% book-to-bill ratio, while management guided 2026 adjusted EPS of $4.50 to $5.00 on $7.5B to $8.1B in net sales.
-
Barclays reinstatement signals that the 20% monthly pullback in Terex shares reflects a buying opportunity as the company’s diversified portfolio structure now improves through-cycle durability and stabilizing end markets support an improving risk-reward profile.
-
A recent study identified one single habit that doubled Americans’ retirement savings and moved retirement from dream, to reality. Read more here.
Terex Corp (NYSE:TEX) received a reinstatement of coverage from Barclays on Tuesday, with the firm assigning an Overweight rating and a $65 price target. The call arrives as Terex shares trade at $54.87, having pulled back 20.02% over the past month after peaking near the stock’s 52-week high of $71.50. For investors watching industrials, the reinstatement signals that at least one major firm views the recent selloff as a buying signal worth acting on.
|
Ticker |
Firm |
Action |
New Rating |
New Price Target |
One-Line Takeaway |
|---|---|---|---|---|---|
|
TEX |
Barclays |
Reinstatement |
Overweight |
$65 |
Portfolio transformation and stabilizing end markets support improving risk/reward. |
Barclays’ core thesis centers on a structural shift in Terex’s business mix. The firm argues that the company’s portfolio is less cyclical and better balanced across non-construction end markets, and that Terex has fundamentally transformed its portfolio in a way that improves its through-cycle durability. Barclays also notes that the stock offers an improving risk/reward as its end markets stabilize.
That transformation thesis has real operational backing. The completed REV Group merger added a fourth segment, Specialty Vehicles, contributing an estimated $2.2 billion revenue baseline from fire trucks, ambulances, and recreational vehicles. Management expects ~$28 million in realized REV synergies in 2026, targeting a $75 million annual run-rate within two years.
Terex posted Q4 2025 revenue of $1.318 billion, beating estimates, though adjusted EPS of $1.12 narrowly missed the $1.13 consensus. The more compelling data point was demand: Q4 bookings hit $1.90 billion, up 32% year-over-year on a pro forma basis, with a book-to-bill ratio of 145%. Full-year free cash flow reached $325 million at 147% cash conversion.
