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Dover (DOV)
NYSE:DOV
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Dover (DOV) AI Stock Analysis

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DOV

Dover

(NYSE:DOV)

Rating:80Outperform
Price Target:
$215.00
▲(15.20%Upside)
Dover's overall stock score reflects its strong financial performance and positive earnings call, offset by neutral technical indicators and fair valuation. The company's effective cost management and strategic acquisitions drive optimism, though modest revenue growth and segment challenges suggest a need for careful monitoring.
Positive Factors
Earnings Growth
The portfolio transformation focusing on acquisitions is expected to accelerate EPS and EBITDA growth, acting as a catalyst for stock re-rating.
Financial Performance
Dover Corporation has expanded margins impressively over the last five years, even facing volume and mix headwinds.
Growth Markets
Dover Corporation is positioned for better growth due to increased exposure to secular growth markets like Biopharma and Clean Energy.
Negative Factors
Growth Concerns
There is concern about the durability of Dover's growth, with potential for it to fade back to lower levels, making it difficult for the stock to re-rate.
Growth Durability
There is concern about the durability of Dover Corporation's growth, as it might fade back to lower levels if comparisons normalize.

Dover (DOV) vs. SPDR S&P 500 ETF (SPY)

Dover Business Overview & Revenue Model

Company DescriptionDover Corporation provides equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services worldwide. The Engineered Products segment provides various equipment, component, software, solution, and services that are used in aftermarket vehicle service, solid waste handling, industrial automation, aerospace and defense, industrial winch and hoist, and fluid dispensing end-market. This segment also offers manual and power clamp, rotary and linear mechanical indexer, conveyor, pick and place unit, glove port, and manipulator, as well as end-of-arm robotic gripper, slide, and end effector. Its Clean Energy & Fueling segment offers component, equipment, and software and service solution enabling safe transport of traditional and clean fuel, and other hazardous substance along with supply chain, as well as operation of convenience retail, retail fueling, and vehicle wash establishment. The Imaging and Identification segment provides precision marking and coding; packaging intelligence; product traceability equipment; brand protection; and digital textile printing equipment, as well as related consumable, software, and service to packaged and consumer good, pharmaceutical, industrial manufacturing, fashion and apparel, and other end-market. Its Pumps and Process Solutions segment manufactures specialty pump, connector, and flow meter, fluid connecting solution, plastics and polymer processing equipment, and engineered components for rotating and reciprocating machines. The Climate & Sustainability Technologies segment manufactures refrigeration system, refrigeration display case, commercial glass refrigerator and freezer door, and brazed plate heat exchanger for industrial heating and cooling, and residential climate control applications. It sells its products directly and through a network of distributors. The company was incorporated in 1947 and is headquartered in Downers Grove, Illinois.
How the Company Makes MoneyDover Corporation makes money through the sale of its diverse range of products and services across its five key segments. The Engineered Products segment generates revenue from products and systems used in vehicle service, industrial automation, and waste handling. The Fueling Solutions segment earns through the provision of components and systems for the safe handling of fuels and chemicals. Imaging & Identification revenue arises from printing and coding solutions for product identification and traceability. The Pumps & Process Solutions segment makes money via the sale of specialized pumps, fluid-handling components, and related services. Lastly, the Refrigeration & Food Equipment segment derives its earnings from refrigeration systems and solutions for the food retail industry. The company's profitability is supported by its global sales network, significant investments in innovation, strategic acquisitions, and partnerships with industry leaders to bolster its market position and expand its product offerings.

Dover Key Performance Indicators (KPIs)

Any
Any
EBITDA by Segment
EBITDA by Segment
Reveals the profitability of each business unit before interest, taxes, depreciation, and amortization, indicating operational efficiency and cash flow potential.
Chart InsightsDover's Clean Energy and Fueling segment shows resilience with consistent growth, bolstered by robust order activity. Meanwhile, the Engineered Products segment faces challenges with volume declines, particularly in vehicle services and aerospace. Despite tariff concerns, the company maintains a positive outlook, supported by record EBITDA margins and strong organic bookings. Pumps and Process Solutions benefit from biopharma and data center demand, while Climate and Sustainability Technologies struggle with revenue drops in food retail and engineering services. Overall, Dover's strategic focus on market share and cost management underpins its confidence in long-term resilience.
Data provided by:Main Street Data

Dover Earnings Call Summary

Earnings Call Date:Jul 24, 2025
(Q2-2025)
|
% Change Since: -2.24%|
Next Earnings Date:Oct 28, 2025
Earnings Call Sentiment Positive
The earnings call presented a generally positive picture with strong performance metrics, increased EPS guidance, and strategic acquisitions. However, there were challenges in some segments like Engineered Products and Climate Sustainability. Despite these challenges, the overall outlook remains optimistic.
Q2-2025 Updates
Positive Updates
Strong Quarterly Performance
Dover reported a strong Q2 2025 with top line performance accelerating due to broad-based shipment growth and outperformance in secular growth exposed end markets. Order trends showed positive momentum, up 7% year-over-year.
Record Adjusted Segment EBITDA Margins
Margin performance was exemplary with record adjusted segment EBITDA margins above 25%, driven by prior period portfolio actions and rigorous cost containment and productivity actions.
Adjusted EPS Increase
Adjusted EPS was up 16% in the quarter, reflecting strong operational results and capital deployment actions.
Acquisitions in High-Priority Segments
Dover completed two acquisitions in the high-priority Pumps & Process Solutions segment, focusing on fast-growing assets.
Full-Year EPS Guidance Raised
Dover raised its full-year adjusted EPS guidance to $9.35 to $9.55, an increase of 14% at the midpoint.
Cash Flow and Capital Investment
Year-to-date free cash flow was $261 million or 7% of revenue, with expectations for cash flow generation to accelerate in the second half of the year.
Negative Updates
Engineered Products Revenue Decline
Engineered Products revenue was down in the quarter due to lower volumes in vehicle services, despite improving sentiment as the quarter progressed.
Climate Sustainability Segment Revenue Down
Revenue in Climate Sustainability was down due to comparative declines in food retail cases and engineering services, despite record quarterly volumes in CO2 systems.
Challenges in Refrigeration Business
The traditional refrigeration case business underperformed expectations, with slower revenue performance than anticipated.
Company Guidance
During Dover's Second Quarter 2025 earnings call, the company provided updated guidance, highlighting several key metrics. Dover reported a 7% year-over-year increase in order trends, indicating positive momentum for the second half of the year. The company achieved record adjusted segment EBITDA margins above 25%, driven by prior period portfolio actions and rigorous cost management. Adjusted EPS was up 16% for the quarter, reflecting strong operational results complemented by strategic capital deployment actions, including two acquisitions in the high-priority Pumps & Process Solutions segment. Dover revised its full-year adjusted EPS guidance upward to a range of $9.35 to $9.55, representing a 14% increase at the midpoint. The company also anticipates free cash flow for 2025 to be on track at 14% to 16% of revenue, with strong conversion of operating cash flow.

Dover Financial Statement Overview

Summary
Dover demonstrates strong financial health with robust profitability metrics, a solid balance sheet, and efficient cash flow generation. However, revenue growth is modest, indicating room for improvement.
Income Statement
85
Very Positive
Dover's income statement shows robust financial health with a strong net profit margin of 28.84% in the TTM. The gross profit margin for the TTM is 38.65%, indicating efficient production processes. Despite a slight decline in revenue from 2023 to TTM, the company demonstrates strong profitability metrics, with EBIT and EBITDA margins of 16.27% and 20.82%, respectively. The revenue growth rate from 2024 to TTM is a modest 2.73%, suggesting stable revenue generation but room for improvement in growth.
Balance Sheet
78
Positive
Dover maintains a solid balance sheet with a debt-to-equity ratio of 0.42 for TTM, reflecting prudent financial leverage. The equity ratio of 56.44% indicates a strong equity base relative to total assets. Return on equity is a remarkable 32.16%, showcasing effective use of shareholder equity to generate profits. Overall, the company shows a strong balance sheet with manageable debt levels, although there is potential risk if debt levels rise significantly.
Cash Flow
80
Positive
The cash flow statement reveals strong operational efficiency with an operating cash flow to net income ratio of 0.32 in TTM, indicating that the company generates sufficient cash from operations relative to its net income. The free cash flow to net income ratio is 0.25, which, although slightly lower, still reflects positive cash flow health. Additionally, the free cash flow growth rate from 2024 to TTM is 2.21%, suggesting steady cash generation capabilities.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.75B8.44B8.51B7.91B6.68B
Gross Profit2.96B3.08B3.07B2.97B2.47B
EBITDA2.23B1.72B1.71B1.80B1.23B
Net Income2.70B1.06B1.07B1.12B683.45M
Balance Sheet
Total Assets12.51B11.35B10.90B10.40B9.15B
Cash, Cash Equivalents and Short-Term Investments1.84B398.56M380.87M385.50M513.08M
Total Debt2.93B3.68B3.89B3.30B3.29B
Total Liabilities5.56B6.24B6.61B6.21B5.77B
Stockholders Equity6.95B5.11B4.29B4.19B3.39B
Cash Flow
Free Cash Flow580.85M1.14B584.76M944.40M939.12M
Operating Cash Flow748.38M1.34B805.72M1.12B1.10B
Investing Cash Flow1.96B-726.63M-540.92M-992.75M-481.38M
Financing Cash Flow-1.27B-568.06M-260.26M-249.88M-506.29M

Dover Technical Analysis

Technical Analysis Sentiment
Positive
Last Price186.63
Price Trends
50DMA
182.85
Positive
100DMA
177.88
Positive
200DMA
186.58
Positive
Market Momentum
MACD
2.12
Positive
RSI
51.79
Neutral
STOCH
55.48
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DOV, the sentiment is Positive. The current price of 186.63 is below the 20-day moving average (MA) of 187.63, above the 50-day MA of 182.85, and above the 200-day MA of 186.58, indicating a neutral trend. The MACD of 2.12 indicates Positive momentum. The RSI at 51.79 is Neutral, neither overbought nor oversold. The STOCH value of 55.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DOV.

Dover Risk Analysis

Dover disclosed 16 risk factors in its most recent earnings report. Dover reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Dover Peers Comparison

Overall Rating
UnderperformOutperform
Sector (71)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
$26.17B11.5016.72%1.10%-8.23%54.92%
76
Outperform
$13.93B29.2112.73%1.52%1.66%-17.18%
76
Outperform
$32.07B35.458.62%1.16%8.14%32.64%
75
Outperform
$12.43B28.3015.54%1.42%1.98%-7.66%
73
Outperform
$35.06B42.938.09%0.09%5.27%0.61%
71
Outperform
¥269.20B13.848.47%2.89%6.33%13.01%
69
Neutral
$40.35B45.0725.86%1.45%-11.19%-22.50%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DOV
Dover
186.63
2.31
1.25%
IEX
IDEX
183.66
-16.58
-8.28%
NDSN
Nordson
219.15
-18.01
-7.59%
ROK
Rockwell Automation
357.01
90.89
34.15%
XYL
Xylem
131.24
-4.29
-3.17%
IR
Ingersoll Rand
86.89
-9.96
-10.28%

Dover Corporate Events

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Dover Reports Strong Q2 2025 Financial Results
Positive
Jul 24, 2025

Dover announced its financial results for the second quarter ending June 30, 2025, reporting a 5% increase in revenue to $2.0 billion and a 14% rise in GAAP earnings from continuing operations to $280 million. The company attributed its solid performance to strong production execution and shipment growth, particularly in short cycle components and secular-growth-exposed end markets. Dover also completed two acquisitions in its high-priority Pumps & Process Solutions segment, enhancing its market position. Despite macroeconomic challenges, Dover remains optimistic about the second half of 2025, raising its full-year adjusted EPS guidance.

The most recent analyst rating on (DOV) stock is a Buy with a $202.00 price target. To see the full list of analyst forecasts on Dover stock, see the DOV Stock Forecast page.

Executive/Board ChangesShareholder Meetings
Dover Holds Annual Shareholders Meeting, Elects Directors
Neutral
May 6, 2025

On May 2, 2025, Dover Corporation held its Annual Meeting of Shareholders, where nine directors were elected, PricewaterhouseCoopers LLP was ratified as the independent auditor for 2025, and the compensation of named executive officers was approved. However, a proposal for an independent board chair was rejected, reflecting the company’s current governance structure and shareholder sentiment.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 25, 2025