Analyst move
DA Davidson raised its price objective for Timken Co. (TKR) to $108.00 from $86.00, yet left its coverage stance at Neutral. The firm’s revised target comes as the shares trade roughly in line with the new level, with the stock quoted at $108.87 and sitting close to a 52-week high of $109.43. The shares have appreciated 13.3% over the past week and about 47.75% over the last six months, per available market data.
Drivers behind the change
The price-target increase follows Timken’s fourth-quarter 2025 earnings release. Management reported 5.6% organic growth for the period, a figure DA Davidson described as being driven in part by "easy comps." Timken also flagged a "flattish" outlook for the first quarter of 2026, tempering near-term visibility for growth.
Despite leaving its rating unchanged, DA Davidson wrote that there are "high" chances Timken could finish 2026 "on a high note." The firm said it expects additional disclosure on new-product development aimed at faster-growth end markets, calling out humanoid robots and robotics more broadly as target areas. Timken reported diluted earnings per share of $4.11 for the trailing twelve months, while analyst consensus for fiscal 2026 stands at $5.78 per share.
Upcoming catalysts and positioning
Timken has an Investor Day scheduled for May 2026. DA Davidson anticipates the company will provide further information about its product-development pipeline and progress on so-called "80-20" initiatives at that event. Even with the material bump to the price target, the research firm said it is remaining "on the sidelines, waiting for the right entry point."
Quarterly performance and other analyst views
Timken’s fourth-quarter 2025 results outpaced internal forecasts: GAAP diluted EPS for the quarter came in at $1.14 versus a consensus expectation of $1.09, and revenue reached $1.11 billion compared with an anticipated $1.07 billion. These figures underline a stronger-than-expected quarter for the industrial bearings and power transmission products maker.
Separately, KeyBanc Capital Markets upgraded Timken’s rating from Sector Weight to Overweight and set a $130.00 price target. KeyBanc attributed the change to expectations for an industrial cycle inflection and potential value creation under the company’s new CEO, Lucian Boldea. Collectively, the differing analyst views and the upcoming Investor Day establish a sequence of data points that market participants will likely use to reassess the company’s medium-term outlook.
Conclusion
The DA Davidson price-target increase to $108 reflects a reassessment of Timken’s valuation following solid quarterly results and notable share performance. At the same time, the firm’s Neutral rating and its statement that it is waiting for a better entry point highlight lingering caution until management provides clearer signals on product strategy execution and 2026 trajectory.