Timken announces 411th consecutive quarterly dividend

NORTH CANTON, Ohio - The Timken Company (NYSE:TKR), known for its engineered bearings and industrial motion products, has declared a quarterly cash dividend of 34 cents per share, representing a 1.64% yield. The $5.86 billion market cap company, currently trading at a P/E ratio of 16.65, will pay this dividend on March 7, 2025, to shareholders on record as of February 25, 2025.

Continuing its legacy as one of the most consistent dividend-paying companies on the New York Stock Exchange, Timken marks its 411th consecutive quarterly dividend since its initial listing in 1922. According to InvestingPro data, the company has maintained dividend payments for 54 consecutive years and has raised its dividend for 11 straight years, demonstrating its long-standing commitment to shareholder returns. InvestingPro analysis suggests the stock is currently slightly undervalued based on its Fair Value model.

The Timken Company has a history stretching back over 125 years, during which it has cultivated expertise in creating specialized solutions tailored to enhance reliability and efficiency for its customers. In 2024, Timken reported sales of $4.6 billion and currently employs about 19,000 people worldwide, with operations spanning 45 countries.

This announcement is based on a press release statement from The Timken Company.

In other recent news, financial analysts from various firms have adjusted their outlook on Timken. DA Davidson analyst Michael Shilsky revised the price target for Timken to $97, maintaining a Buy rating. Despite facing organic growth challenges, particularly in European markets, Shilsky remains optimistic due to signs of recovery in renewable-energy trends. Timken's new CEO has implemented cost reductions expected to enhance earnings. The company's strong free cash flow (FCF) generation is also projected to continue, with growth in FCF forecasted for 2025.

Citi analyst Kyle Menges increased Timken's price target to $95, also reiterating a Buy rating. The revised target reflects more conservative projections for organic growth and slightly decreased margin expectations. Despite these adjustments, Menges remains positive about Timken's future, pointing to healthy inventory levels and signs of stabilization in China's wind energy market.

BofA Securities upgraded Timken's stock rating from Underperform to Neutral and increased the price target to $78. The firm noted diminishing pressures affecting Timken's growth trajectory and an improvement in U.S. industrial activity. Despite potential tariff-related risks, BofA Securities sees a more balanced risk/reward profile for Timken's stock. These recent developments indicate analysts' cautious optimism about Timken's financial health and strategic adjustments.

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