William Blair analyst Brian Drab has maintained their neutral stance on LNN stock, giving a Hold rating on January 9.
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Brian Drab has given his Hold rating due to a combination of factors tied to Lindsay’s mixed operating performance and outlook. He notes that while the company’s earnings and margins exceeded expectations—helped by a more favorable mix away from lower-margin international irrigation projects—overall revenue declined, pressured by ongoing credit constraints and higher interest rates in Brazil, as well as timing issues for projects in the MENA region. Additionally, the North American irrigation market remains challenged by macro uncertainties, including trade-related concerns and elevated input costs for farmers, limiting near-term growth visibility.
At the same time, Drab acknowledges that the infrastructure segment delivered a solid quarter, supported by healthy demand for road safety products, which provides some balance to the weaker irrigation trends. However, he flags that the absence of a large Road Zipper project in fiscal 2026 will likely weigh on results in the coming quarters. Taken together, these positives and negatives suggest neither a compelling upside nor a clear downside case at current levels, leading him to maintain a neutral, Hold stance on the stock.
Drab covers the Industrials sector, focusing on stocks such as Xometry, Lindsay, and Donaldson Company. According to TipRanks, Drab has an average return of 22.5% and a 67.71% success rate on recommended stocks.
In another report released on January 9, TipRanks – OpenAI also downgraded the stock to a Hold with a $138.00 price target.