Stifel maintains Buy rating on Mettler-Toledo stock despite tariff impact

Published 04/08/2025, 16:26
Stifel maintains Buy rating on Mettler-Toledo stock despite tariff impact

Investing.com - Stifel maintained its Buy rating and $1,450.00 price target on Mettler-Toledo (NYSE:MTD), representing the highest among analyst targets ranging from $1,150 to $1,450, following the company’s quarterly earnings report. The $25 billion market cap laboratory equipment maker has attracted positive analyst attention, with InvestingPro data showing 7 analysts recently revising their earnings estimates upward.

The laboratory equipment manufacturer posted better-than-expected organic performance and raised its earnings guidance, though the increase was partially offset by new White House tariff rates announced Friday that will have a $0.40 per share impact. The company maintains strong fundamentals with a healthy 59.9% gross margin and annual revenue of $3.87 billion.

Despite the tariff headwind, Mettler-Toledo’s business remains on track and "headed in the right direction," according to Stifel, contrasting with several industry peers that have reduced their financial forecasts.

From a valuation perspective, Stifel noted that Mettler-Toledo shares trade at a 42% premium to peers, slightly above the historical average premium of the low to mid-30% range.

The research firm justified this premium valuation by citing Mettler-Toledo’s execution, low exposure to the National Institutes of Health (NIH), and potential for further upside to financial results in the second half of the year.

In other recent news, Mettler-Toledo International Inc . reported its financial results for the second quarter of 2025, surpassing earnings expectations. The company announced an earnings per share (EPS) of $10.09, which was higher than the forecasted $9.6, marking a 5.1% surprise. These results were closely watched by investors, as earnings and revenue figures often provide critical insights into the company’s performance. Despite the positive earnings report, concerns about margin pressures and broader market challenges have been noted. In related developments, analysts have been evaluating the company’s performance, although specific upgrades or downgrades were not detailed in the recent news. Investors continue to monitor these developments for potential impacts on future performance. Mettler-Toledo’s financial outcomes are crucial for stakeholders assessing the company’s stability and growth prospects. The recent earnings report highlights the company’s ability to exceed market expectations, even amidst challenging conditions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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