Professional
Added to YB: 2024-06-07
Pitch date: 2024-06-07
TTC [bearish]
The Toro Company
+20.51%
current return
Author Info
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Company Info
The Toro Company provides professional turf maintenance equipment and services. It operates in two segments, Professional and Residential.
Market Cap
$6.7B
Pitch Price
$92.44
Price Target
N/A
Dividend
2.21%
EV/EBITDA
10.76
P/E
20.88
EV/Sales
1.70
Sector
Machinery
Category
N/A
Toro’s Q1 Results and Financial Red Flags
TTC Q1: Lowe's infill drove sales but hid underlying weakness. Trade DSOs exploded to 121 days vs 92 2yrs ago, implying $130M one-time benefit replacing HD consignment sales. Red Iron DSOs flat YoY but up 44% in 2yrs - restocking unlikely, foretelling revenue & cash flow challenges ahead. Guided 100% FCF conversion unreliable based on history. Remain bearish.
Read full article (2 min)