Jefferies' update
Jefferies raised its price objective for Teledyne Technologies Inc. shares to $770 from $710 and retained a Buy rating on the stock. The shares were quoted at $670.86 at the time of the report, representing a 30.93% year-to-date gain and trading within roughly 1% of a 52-week high of $675.19.
10-K highlights cited by the firm
In its review of Teledyne’s 10-K filing, Jefferies emphasized several operational trends. U.S. Government-related sales increased by 13% including the impact of mergers and acquisitions, bringing government sales to 25.5% of consolidated revenue compared with 24.3% a year earlier. International revenue rose 7.4% year over year, with European sales climbing 13% while sales in Asia were essentially flat.
Headcount expanded by 6%, while productivity measures showed modest gains: revenue per employee increased 1.7% and adjusted EBIT per employee rose 4.3%.
Cash flow, capital spending and balance sheet
Teledyne’s free cash flow for 2025 was reported at $1,074 million, a 3% decline from $1,108 million in 2024. Capital expenditures for the period totaled $117 million, up from $84 million the prior year, with management planning approximately $150 million in capital spending for 2026. Gross debt was recorded at $2,475 million, down $175 million from the prior period, and the company maintained a $1.2 billion credit facility that remained undrawn.
Valuation signals and analyst activity
Platform analysis noted that the stock appears on a Most Overvalued list and is trading at a price-to-earnings ratio of 35.45. The same platform tracks more than a dozen additional analyst ProTips for the company, including recent upward earnings revisions from five analysts.
Other brokerages have also adjusted their views following Teledyne’s recent results. One firm raised its target to $720 while keeping a Buy rating after the company posted record fourth-quarter sales. Another increased its target to $650, citing the business prospects tied to the company’s unmanned and space segments.
Recent operational wins and production notes
Teledyne reported record fourth-quarter sales of $1.61 billion, a 7.3% increase versus the year-ago quarter, and achieved record non-GAAP margins of 23.9%. The company has commenced production of infrared Focal Plane Modules for the Space Development Agency’s Tracking Layer Tranche 3 program, which supports satellites in low Earth orbit and is intended to improve missile warning, tracking, and defense capabilities.
Separately, a Teledyne unit that supplies original equipment manufacturers produces tens of thousands of thermal imaging modules each week for various uses.
Corporate governance update
Teledyne disclosed executive compensation decisions along with board-level changes. Director Kenneth C. Dahlberg has notified the company of his planned retirement at the end of his current term in 2026. In connection with that announcement, the board reduced its number of Class III directors from three to two, effective immediately prior to the 2026 Annual Meeting of Stockholders.
What this means
Jefferies’ price-target increase reflects the firm’s reading of Teledyne’s 10-K and recent operating results, including stronger government sales, regional revenue moves, productivity improvements, and robust quarter-end margins. At the same time, valuation metrics highlighted by platform analysis suggest investors and analysts are assessing the trade-off between growth and current multiple levels.