| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 48 | 52.2x | 17.8x | Around median | |
Growth | 11 | 0.6% | 7.1% | Bottom tier | |
Quality | 61 | 6.7% | 4.5% | Around median | |
Safety | 33 | 9.9x | 2.6x | Bottom tier | |
Capital Return | 38 | 0.82% | 2.12% | Bottom tier | |
Momentum | 70 | -9.1% | 2.9% | Top tier | |
Sentiment | 82 | 12 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
CNH Industrial manufactures agricultural and construction equipment and generates revenue primarily from machinery sales through its network of brands and dealers, alongside equipment-related financing services. In fiscal Q2 2026, Agriculture segment sales were approximately $3.3 billion, accounting for about 69% of consolidated revenue, while Construction sales were $866 million; Financial Services also generated net income of $71 million from a managed portfolio of $28 billion and new financing of $2.5 billion.
In fiscal Q2 2026, CNH reported revenue of $4.8 billion, up 2% year over year, including a positive currency impact of approximately 2%, and gross profit of $1.4 billion, with a calculated gross margin of approximately 29.2%. Reported net income was $138 million and earnings per share were $0.11, while adjusted net income was $161 million and adjusted earnings per share were $0.13; Industrial Activities generated free cash flow of $150 million despite a year-over-year decline due to lower operating profit and increased working capital investment.
Performance varied significantly across segments and regions during fiscal Q2 2026: Agriculture sales rose 1%, driven by growth of 10% in North America and 1% in Europe, the Middle East and Africa, versus a 27% decline in South America. Construction sales, meanwhile, rose 12% to $866 million due to strength in North America and the delivery of some machinery delayed in fiscal Q1 2026 because of a supplier quality issue, but tariffs pressured the margins of both segments.
The average analyst price target is $12.69, versus a wide target range of $10.50–$16 and a consensus rating of “Buy”; the average is approximately 4.7% below the 52-week range high of $13.31. The 52-week range is $9–$13.31, while no valid price-to-earnings multiple is available in the data, making the stock’s valuation more closely tied to CNH’s ability to achieve adjusted earnings per share of $0.41–$0.46 in fiscal 2026 and restore margins amid a weak agricultural cycle. The wide range of analyst targets reflects meaningful disagreement over the value of the Construction improvement and sourcing savings versus tariff risks and declining Agriculture margins.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
Revenue was $4.8 billion, up 2% year over year, including a positive currency impact of approximately 2%. Agriculture sales rose 1%, while Construction sales grew 12% to $866 million, driven by North America and deliveries of machinery that had been delayed due to a supplier quality issue in fiscal Q1 2026. Reported net income was $138 million, while the company recorded adjusted net income of $161 million and adjusted earnings per share of $0.13.
The company expects Industrial net sales to be flat or grow by up to 2%, with an adjusted Industrial operating profit margin of 3.2%–3.8%. It set adjusted earnings per share guidance at $0.41–$0.46 and Industrial free cash flow guidance at $200–$400 million. At the segment level, it expects Agriculture sales to be approximately flat and Construction sales to grow between 5% and 10%.
The company estimates the fiscal 2026 tariff impact at approximately 170 basis points on Agriculture and 470 basis points on Construction because Construction is more dependent on imported finished equipment and North American sales. Section 232 tariffs on certain equipment categories were reduced to 15% from 25%, but higher transportation costs offset part of the benefit. CNH submitted refund claims of approximately $135 million in phase two after collecting $5 million in fiscal Q2 2026, but uncollected amounts were not included in guidance.
Automated analysis for informational purposes only — not investment advice.
Management said on August 3, 2026, that it sees no evidence of a sustained recovery and expects an L-shaped path, with retail demand remaining approximately flat in 2027. Some indicators improved, including inventories of new and used machinery and the convergence of new and used equipment prices, but crop prices and farmer profitability remain weak. The company also expects replacement demand to remain the primary driver, with an additional $400–$500 million reduction in dealer inventory through the end of fiscal 2026.
The company is targeting a 100–150 basis-point margin improvement by 2030 from the strategic sourcing program alone, with the first wave beginning to generate results and the second wave starting to contribute in 2027. CNH expects production to increase in 2027 to align more closely with retail demand after production was approximately 4% below demand in 2026. Management also cites positive pricing, quality improvements and plant efficiency, but it did not provide a detailed numerical bridge for 2027 margins on the August 3, 2026, call.
