Fortive expands board, appoints new director

Published 26/02/2025, 22:38
Fortive expands board, appoints new director

Wednesday saw Fortive Corporation (NYSE:FTV), a $27.3 billion industrial technology company specialized in industrial instruments for measurement, display, and control, announce the appointment of Gregory J. Moore, M.D., Ph.D., to its Board of Directors, effective immediately. The expansion of the Board from nine to ten members comes as Fortive aims to bolster its governance and oversight capabilities. According to InvestingPro analysis, the company maintains a GOOD financial health score, supported by impressive gross profit margins of nearly 60%.

Dr. Moore’s term began on the same day as his appointment and will extend until the 2025 Annual Meeting of Shareholders, at which point he will stand for re-election. In addition to his board membership, Dr. Moore has also been appointed to the Compensation Committee and Nominating and Governance Committee.

The company confirmed that Dr. Moore will receive the standard compensation package for non-employee directors, as outlined in the company’s latest Annual Report on Form 10-K. He has also signed an indemnification agreement with Fortive, ensuring protection in his role as director.

Fortive’s Board has determined that Dr. Moore meets the independence criteria set by the New York Stock Exchange listing standards. The company has stated that there are no existing arrangements or understandings between Dr. Moore and any other persons influencing his selection as a director. Additionally, there are no relevant transactions involving Dr. Moore that would require disclosure under SEC regulations. Trading at a P/E ratio of 33.4, Fortive currently appears overvalued compared to its InvestingPro Fair Value estimate. Investors seeking deeper insights can access the comprehensive Pro Research Report, which provides detailed analysis of Fortive’s valuation metrics and growth prospects.

The information is based on a press release statement, providing stakeholders with the latest governance developments within Fortive. This appointment reflects Fortive’s ongoing commitment to leadership diversity and strong corporate governance practices. With current stock price at $79.91 and additional InvestingPro Tips available, investors can gain comprehensive insights into Fortive’s market position and future potential through InvestingPro’s detailed analysis tools and expert research reports.

In other recent news, Fortive Corporation reported its fourth-quarter revenue of $1.62 billion, which, while showing a 2.3% year-over-year increase, slightly missed the consensus estimate of $1.63 billion. The company’s adjusted earnings per share exceeded expectations, coming in at $1.17 against the anticipated $1.12. For 2025, Fortive forecasts revenue between $6.23 billion and $6.35 billion, falling short of Wall Street’s projection of $6.47 billion. Fortive also anticipates adjusted EPS of $4.00 to $4.12, slightly below the consensus estimate of $4.12.

In another development, Fortive announced the appointment of Dr. Gregory Moore to its Board of Directors, enhancing its expertise in AI and healthcare. Analyst firms have shown varied reactions to Fortive’s performance and prospects. RBC Capital Markets raised its stock price target to $85 from $77, maintaining a Sector Perform rating, while Raymond (NSE:RYMD) James increased its target to $90 and retained an Outperform rating. The planned spin-off of Fortive’s Precision Technologies segment is now expected to occur in early Q3 2025, earlier than initially scheduled. Despite challenges in the China market, Fortive’s strong order growth and share repurchase activities highlight its strategic focus and operational resilience.

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