| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 54 | 24.8x | 17.8x | Around median | |
Growth | 54 | 5.2% | 7.1% | Around median | |
Quality | 87 | 15.7% | 4.5% | Top tier | |
Safety | 75 | 1.4x | 2.6x | Top tier | |
Capital Return | 64 | 1.65% | 2.12% | Around median | |
Momentum | 61 | 22.4% | 2.9% | Around median | |
Sentiment | 74 | 4 | 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.
The Toro Company manufactures and sells professional and residential equipment and solutions serving landscape contractors, snow and ice management, golf courses, underground construction, as well as homeowners and owners of large properties. The professional business relies on brands and products such as Exmark, Ventrac, BOSS, Ditch Witch, and HammerHead, while the residential business benefits from distribution channels including the partnership with Lowe's. The company is also expanding its offerings through attachments, pipe rehabilitation solutions, irrigation technologies, and autonomous and electric equipment.
In Q3 fiscal 2026, net sales increased 8.4% to $1.23 billion, or 6.2% organically, and adjusted earnings per share reached $1.33. According to EDGAR data, revenue was $1.2 billion and gross profit was $418.1 million, equivalent to a gross margin of approximately 34.8%, while net income was $77.0 million and earnings per share were $0.81. The difference between EDGAR earnings per share and adjusted earnings reflects the exclusion of items including a $43 million non-cash impairment charge.
Professional segment net sales grew 8.8% in Q3 fiscal 2026, including 6.1% organic growth, but its adjusted operating margin declined 40 basis points to 20.9%. Residential segment sales increased 8.6%, and its adjusted operating margin improved 400 basis points to 5.9%. At the company level, adjusted operating margin increased 30 basis points to 13.9%, while revenue for the twelve months ended in fiscal 2026 was approximately $4.8 billion and net income was $363.3 million.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $115, with the highest and lowest targets matching at the same level, versus a consensus rating of “Neutral”; therefore, the figure does not reflect a broad range of independent opinions. The target is approximately 9.3% above the 52-week range high of $105.19, while the full range extends from $67.64 to $105.19, placing the target above the highest recorded annual level. No price-to-earnings ratio is available in the provided data, so the valuation assessment here is based on the uniform target and the 52-week range, balanced against the neutral consensus and margin and weather risks.
Figures in the text are as of 2026-09-05; the live price is shown at the top of the page.
Net sales increased 8.4% to $1.23 billion, or 6.2% organically, and adjusted earnings per share reached $1.33 in Q3 fiscal 2026. Professional segment sales grew 8.8% and residential segment sales grew 8.6%, with strong demand from landscape contractors and underground construction, as well as the Lowe's partnership. Operational efficiency contributed $0.12 to earnings per share, while repurchases added $0.05 and tariff refunds added $0.06.
The company launched the AMP program in 2024 to focus on transforming the supplier base, value engineering, optimizing routes to market, and operational efficiency. On September 3, 2026, management said run-rate savings would exceed the $125 million target by the end of fiscal 2026. The program helped increase the company's adjusted operating margin by 30 basis points to 13.9% in Q3, but it was also associated with a $43 million non-cash impairment charge.
The redesigned Exmark Radius mower and the GrandStand MULTI FORCE line supported double-digit growth in the landscape contractor business in Q3 fiscal 2026. Demand for Ventrac's fence-post trimming attachment exceeded the initial production volume, while HammerHead Bluelight grew by more than 30% fiscal year to date. In golf, the company deployed hundreds of autonomous Turf Pro, Range Pro, and GeoLink units worldwide, and the new electric roller sold out for the entirety of fiscal 2026.
The company expects fiscal 2026 net sales growth between 6.3% and 6.6% and adjusted earnings per share between $4.60 and $4.65. Q4 includes expected sales growth between 3.9% and 5.1% and adjusted earnings per share between $0.93 and $0.98. Management expects mid-single-digit growth for the professional segment and approximately flat sales for the residential segment, including $7 million in expected IEEPA refunds.
The professional segment margin declined 40 basis points to 20.9% in Q3 fiscal 2026 due to product mix and higher manufacturing costs, and the Tornado acquisition had a slight negative impact on margin. Demand for snow equipment is linked to winter patterns, so the company is attempting to balance its ability to meet demand against the risk of channel inventory accumulation. Golf shipments also declined modestly, and execution of irrigation projects remained constrained by installation crew availability, while the timing of $5 million in IEEPA refunds remained uncertain.
The analyst price target is $115, with the highest and lowest target estimates matching at that level, while the consensus remains “Neutral.” This target is approximately 9.3% above the 52-week range high of $105.19, and the range low is $67.64. The provided data does not include a usable price-to-earnings ratio, so the target should be viewed in light of the neutral consensus, the risk of a Q4 slowdown, and pressure on the professional segment's margin.
