Street Calls of the Week
Investing.com - Roth/MKM initiated coverage on Tennant Company (NYSE:TNC) with a Buy rating and a price target of $102.00 on Friday. The company, which boasts a "Good" financial health score according to InvestingPro, has demonstrated remarkable consistency with 32 consecutive years of dividend increases.
The research firm cited Tennant’s potential to expand beyond its current mid-teens market share in the approximately $9 billion mechanized cleaning market as a key reason for the bullish outlook.
Roth/MKM highlighted Tennant’s differentiated product portfolio, including autonomous equipment, coupled with what it described as an unmatched service offering that provides a lasting competitive advantage.
The firm noted that Tennant’s under-leveraged balance sheet offers flexibility to support both internal and external investments, positioning the company for future growth opportunities.
Based on these factors, Roth/MKM concluded that Tennant Company shares are "meaningfully undervalued" at current trading levels.
In other recent news, Tennant Company reported its Q2 2025 earnings, which fell short of analyst expectations. The company announced an earnings per share (EPS) of $1.49, missing the forecasted $1.63, marking an 8.59% negative surprise. Additionally, Tennant’s revenue reached $319 million, which was below the anticipated $327.2 million, resulting in a 2.63% shortfall. In another development, Freedom Broker initiated coverage on Tennant with a Buy rating and set a price target of $93.00. The firm emphasized Tennant’s extensive global service network as a significant competitive advantage. Tennant’s direct sales presence in approximately 21 countries, along with distributors in over 100 additional countries, was highlighted as a key strength. These recent developments provide investors with important insights into Tennant’s current business landscape.
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