Toro (NYSE:TTC) Announces Earnings Results, Beats Estimates By $0.02 EPS

Toro (NYSE:TTC) issued its earnings results on Thursday. The company reported $1.33 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.31 by $0.02, FiscalAI reports. The business had revenue of $1.23 billion for the quarter, compared to analysts’ expectations of $1.19 billion. Toro had a net margin of 7.29% and a return on equity of 31.13%. The business’s revenue for the quarter was up 8.4% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.24 EPS. Toro updated its FY 2026 guidance to 4.600-4.650 EPS.

Here are the key takeaways from Toro’s conference call:

• Toro raised full-year guidance, increasing expected net sales growth to 6.3%-6.6% and adjusted EPS to $4.60-$4.65, supported by broad-based demand and productivity gains.
• Third-quarter net sales rose 8.4% to $1.23 billion and adjusted EPS reached $1.33. Professional and residential sales both grew more than 8%, while residential adjusted operating margin expanded 400 basis points to 5.9%.
• The AMP productivity program is expected to exceed its $125 million run-rate savings target by year-end, with additional benefits carrying into fiscal 2027; working-capital improvements helped generate $425 million of year-to-date free cash flow and supported $358 million of share repurchases.
• Toro highlighted strong growth opportunities in underground construction, including data-center and utility infrastructure, pipe relining, and Tornado products, while Ditch Witch capacity expansion and potential acquisitions remain high capital-allocation priorities.
• Professional-segment operating margin declined 40 basis points year over year because of product mix and higher manufacturing costs, and residential sales are expected to be approximately flat in the fourth quarter as the company laps strong prior-year snow demand; tariff refund timing and winter weather remain variables.

Toro Stock Performance

Toro stock opened at $92.82 on Friday. Toro has a 1-year low of $67.64 and a 1-year high of $105.18. The company has a current ratio of 1.56, a quick ratio of 0.74 and a debt-to-equity ratio of 0.74. The firm has a market capitalization of $8.84 billion, a PE ratio of 26.75 and a beta of 0.70. The firm’s 50 day simple moving average is $96.28 and its 200 day simple moving average is $94.99.

Analyst Ratings Changes

Several equities analysts have recently weighed in on TTC shares. Weiss Ratings upgraded Toro from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, August 4th. Robert W. Baird dropped their price objective on Toro from $105.00 to $100.00 and set a “neutral” rating on the stock in a report on Friday, June 5th. One investment analyst has rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $102.33.

Insider Buying and Selling at Toro

In other news, COO Edric Funk sold 856 shares of the business’s stock in a transaction on Friday, June 26th. The shares were sold at an average price of $97.97, for a total transaction of $83,862.32. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Gary Ellis sold 4,951 shares of the business’s stock in a transaction on Tuesday, June 9th. The shares were sold at an average price of $91.91, for a total transaction of $455,046.41. Following the transaction, the director owned 35,297 shares of the company’s stock, valued at $3,244,147.27. This trade represents a 12.30% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 12,934 shares of company stock valued at $1,204,933 in the last three months. Company insiders own 1.88% of the company’s stock.

Institutional Trading of Toro

Several institutional investors and hedge funds have recently modified their holdings of TTC. Russell Investments Group Ltd. boosted its position in shares of Toro by 0.3% during the 4th quarter. Russell Investments Group Ltd. now owns 125,625 shares of the company’s stock valued at $9,889,000 after acquiring an additional 410 shares during the last quarter. Integrated Wealth Concepts LLC raised its holdings in shares of Toro by 10.6% during the 1st quarter. Integrated Wealth Concepts LLC now owns 6,136 shares of the company’s stock valued at $446,000 after buying an additional 586 shares in the last quarter. Stonebridge Capital Advisors LLC lifted its position in Toro by 6.9% in the 4th quarter. Stonebridge Capital Advisors LLC now owns 9,299 shares of the company’s stock worth $732,000 after buying an additional 600 shares during the last quarter. Danske Bank A S bought a new stake in Toro in the 3rd quarter worth approximately $46,000. Finally, Harvest Fund Management Co. Ltd purchased a new stake in Toro in the third quarter worth approximately $119,000. Hedge funds and other institutional investors own 87.95% of the company’s stock.

Toro News Roundup

Here are the key news stories impacting Toro this week:

• Positive Sentiment: Fiscal Q3 revenue increased 8.4% year over year to $1.23 billion, exceeding the $1.19 billion analyst consensus. Adjusted earnings were $1.33 per share, ahead of the $1.31 estimate and up from $1.24 a year earlier. Toro earnings report
• Positive Sentiment: Management raised fiscal 2026 adjusted EPS guidance to $4.60-$4.65 from $4.50-$4.62, while the midpoint is slightly above the $4.61 consensus. Full-year sales-growth guidance was also lifted to 6.3%-6.6% from 4.0%-6.5%. Toro raises fiscal 2026 outlook
• Positive Sentiment: Growth was broad-based: Professional segment sales rose 8.8% and Residential sales increased 8.6%. Operating earnings climbed to $115.2 million from $64.8 million, while gross margin improved to 34.1% from 33.7%. Toro also returned $110 million to shareholders during the quarter, bringing year-to-date capital returns to $471 million. Toro Q3 sales and outlook
• Neutral Sentiment: The updated revenue outlook is broadly in line with the approximately $4.8 billion analyst forecast, so the guidance increase may already be partly reflected in expectations. With shares opening below their 50-day and 200-day moving averages, investors may be weighing the earnings beat against valuation and broader market conditions.
• Negative Sentiment: Insider trading data showed 13 insider sales versus one purchase over the past six months, including a sizable sale by Chairman and CEO Richard Olson. This could raise caution about near-term insider confidence, although insider transactions do not necessarily reflect company fundamentals.

About Toro

The Toro Company (NYSE: TTC) specializes in the design, manufacture and marketing of a broad range of outdoor environment equipment for residential, commercial and professional markets. Its product portfolio includes lawn mowers, utility vehicles, snow throwers, irrigation systems and landscape maintenance equipment. Toro’s offerings span walk-behind and ride-on mowers, zero-turn radius mowers, snow blowers, sprinklers, drip irrigation products, spreaders and specialty turf maintenance machines tailored to golf courses, sports fields and municipal parks.

Founded in 1914 and headquartered in Bloomington, Minnesota, Toro has built a century-long legacy of innovation in the grounds-care industry.