Twin Disc stock plunges to 52-week low at $9.36

Published 21/02/2025, 16:30
Twin Disc stock plunges to 52-week low at $9.36

In a challenging market environment, Twin Disc , Inc. (NASDAQ:TWIN) stock has tumbled to a 52-week low, reaching a price level of $9.36. This latest dip underscores a period of significant bearish momentum for the company, which specializes in the design, manufacture, and sale of marine and heavy-duty off-highway power transmission equipment. According to InvestingPro analysis, the company maintains strong fundamentals with a healthy current ratio of 2.11 and revenue growth of 9.23% in the last twelve months. The stock currently trades at 0.9 times book value and shows an EV/EBITDA of 6.91, suggesting potential undervaluation. Over the past year, Twin Disc has seen its stock value erode, reflecting a stark 1-year change with a decline of -37.07%. Investors are closely monitoring the company’s performance, seeking signs of a turnaround that could signal a rebound from these lower price levels. InvestingPro analysis reveals several positive indicators, including strong liquidity and moderate debt levels. For deeper insights into TWIN’s valuation and growth potential, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

In other recent news, Twin Disc, Inc. has announced the acquisition of Kobelt Manufacturing Co. Ltd., a Canadian firm known for its industrial and marine control systems, for $16.5 million. The acquisition is expected to immediately benefit Twin Disc’s earnings according to U.S. GAAP, with Kobelt reporting revenues of approximately $14 million for the fiscal year ending December 31, 2024. This move aims to expand Twin Disc’s portfolio and international presence, leveraging Kobelt’s established market presence in 60 countries. The integration is anticipated to create growth opportunities and partnerships by utilizing Twin Disc’s global sales and service network. Kobelt’s capabilities, including an in-house foundry and precision machining, are expected to enhance quality control and after-sales services. The acquisition is seen as a strategic alignment of product lines, manufacturing capabilities, and corporate cultures. Twin Disc’s leadership has expressed optimism about the synergies and strategic fit between the two companies. This development marks a significant step for Twin Disc to strengthen its position as an integrated systems supplier in the marine and industrial sectors.

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