Enerpac Tool Group (EPAC) AI Stock Analysis

• Market Cap: $2.11B
• Dividend Yield: 0.1%
• Average Volume (3M): 469.49K
• Price to Earnings (P/E): 23.9
• Beta (1Y): 0.96
• Revenue Growth: 3.91%
• EPS Growth: 1.48%
• Country: US
• Employees: 2,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.36
• Shares Outstanding: 52,776,306
• 10 Day Avg. Volume: 775,022
• 30 Day Avg. Volume: 469,485
• PEG Ratio: 2.78
• Price to Book (P/B): 5.28
• Price to Sales (P/S): 3.71
• P/FCF Ratio: 24.89
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 3.53
• Enterprise Value/Gross Profit: 7.08
• Enterprise Value/Ebitda: 15.04
• 1Y Price Target: $51.00
• Price Target Upside: 29.44% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: $46.00 ▲(16.75% Upside)

Enerpac Tool Group's overall stock score reflects a combination of strong cash flow management and promising growth prospects highlighted in the earnings call. However, the bearish technical indicators and high valuation relative to peers weigh down the score. The company's ability to reverse negative revenue growth and capitalize on market opportunities will be crucial for future performance.

Positive Factors

Free Cash Flow Strength

Robust free cash flow growth (11.43% TTM) indicates durable cash generation that funds R&D, product launches, and strategic M&A without reliance on external financing. This cash convertibility enhances financial flexibility and resilience through industrial cycles, supporting long-term investments.

Low Leverage & High Liquidity

Very low net leverage and substantial liquidity provide structural balance-sheet strength, enabling sustained investment in geographic expansion and innovation while buffering downturns. This financial flexibility supports opportunistic M&A and reduces refinancing risk over the medium term.

High Margins and Order Momentum

Sustained gross margins above 50% and healthy adjusted EBITDA margins reflect pricing power and operational efficiency. Combined with broad order growth in infrastructure and nuclear, margins provide durable cash to reinvest in product development and support competitive positioning in specialized industrial niches.

Negative Factors

Negative Revenue Trend

A TTM revenue decline of -16% is a structural concern: shrinking top-line constrains scale economies and puts pressure on long-term growth. Without reversing this trend, investments in R&D, distribution, and margin maintenance may deliver diminishing returns over the medium term.

Declining Return on Equity

ROE falling to 8.87% from 21.39% signals weaker capital efficiency and lower profitability per shareholder dollar. Persistently lower ROE can hinder the company's ability to generate attractive shareholder returns and may require operational or portfolio adjustments to restore long-term value creation.

Service Revenue Weakness

A notable decline in service revenue, especially in the UK, undermines recurring, higher-margin income and reduces customer stickiness. Long-term weakness in services erodes aftermarket revenues and cross-sell opportunities, making overall cash flows more reliant on cyclical equipment sales.

Enerpac Tool Group Business Overview & Revenue Model

Company Description

Enerpac Tool Group Corp. manufactures and sells a range of industrial products and solutions in the United States, the United Kingdom, Germany, Australia, Canada, China, Saudi Arabia, Brazil, and internationally. It operates in two segments, Industrial Tools & Services (IT&S) and Other. The IT&S segment designs, manufactures, and distributes branded hydraulic and mechanical tools; and provides services and tool rentals to the infrastructure, industrial maintenance, repair and operations, oil and gas, mining, renewable energy, and construction markets. It also offers branded tools and engineered heavy lifting technology solutions, and hydraulic torque wrenches; maintenance and manpower services; high-force hydraulic and mechanical tools, including cylinders, pumps, valves, and specialty tools; and bolt tensioners and other miscellaneous products. This segment markets its branded tools and services primarily under the Enerpac, Hydratight, Larzep, and Simplex brands. The Other segment designs and manufactures synthetic ropes and biomedical textiles. The company was formerly known as Actuant Corporation and changed its name to Enerpac Tool Group Corp. in January 2020. Enerpac Tool Group Corp. was incorporated in 1910 and is headquartered in Menomonee Falls, Wisconsin.

How the Company Makes Money

Enerpac Tool Group generates revenue primarily through the sale of its hydraulic tools and equipment, which are essential for heavy lifting and industrial applications. The company has multiple revenue streams, including direct sales to end-users, distribution partnerships, and service contracts for maintenance and support. Additionally, Enerpac benefits from its global presence and established relationships with key industries, allowing it to leverage demand in sectors such as construction and energy. The company also invests in research and development to innovate and expand its product offerings, contributing to its long-term profitability.

Enerpac Tool Group Financial Statement Overview

Summary

Enerpac Tool Group presents a mixed financial performance. The income statement reflects strong margins but declining revenue growth, which could impact future profitability. The balance sheet shows improved leverage, but a decrease in return on equity highlights reduced profitability. Cash flow metrics are robust, indicating strong cash generation and conversion. The company should focus on reversing the negative revenue growth trend to enhance overall financial health.

Income Statement

Enerpac Tool Group shows a strong gross profit margin of over 50% in the TTM, indicating efficient cost management. However, the net profit margin has decreased to 13.27% from 15.03% in the previous annual report, reflecting some pressure on profitability. The revenue growth rate is negative at -16% in the TTM, which is a concern for future revenue generation. EBIT and EBITDA margins are healthy, but the decline in revenue growth needs attention.

Balance Sheet

The company's debt-to-equity ratio has improved significantly in the TTM, dropping to 0.02 from 0.53, indicating a strong reduction in leverage. Return on equity has decreased to 8.87% from 21.39%, suggesting a decline in profitability relative to equity. The equity ratio remains stable, reflecting a balanced asset structure. Overall, the balance sheet shows improved leverage but reduced profitability.

Cash Flow

Enerpac Tool Group demonstrates robust cash flow management with a free cash flow growth rate of 11.43% in the TTM. The operating cash flow to net income ratio is strong, indicating efficient cash generation relative to net income. The free cash flow to net income ratio remains high, suggesting good cash conversion. Overall, the cash flow position is strong, supporting operational and financial flexibility.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	616.90M	589.51M	598.20M	571.22M	528.66M
Gross Profit	306.25M	301.01M	295.04M	265.39M	243.16M
EBITDA	146.31M	132.32M	97.60M	47.98M	70.85M
Net Income	92.75M	85.75M	46.56M	15.69M	38.08M
Balance Sheet
Total Assets	827.87M	777.33M	762.60M	757.88M	820.25M
Cash, Cash Equivalents and Short-Term Investments	151.56M	167.09M	154.41M	120.70M	140.35M
Total Debt	227.75M	229.12M	253.12M	248.19M	227.49M
Total Liabilities	394.17M	385.35M	435.98M	438.14M	408.05M
Stockholders Equity	433.69M	391.98M	326.62M	319.75M	412.20M
Cash Flow
Free Cash Flow	91.94M	69.91M	68.20M	43.32M	42.16M
Operating Cash Flow	111.28M	81.32M	77.60M	51.74M	54.18M
Investing Cash Flow	-46.00M	-13.95M	11.34M	-7.24M	13.30M
Financing Cash Flow	-81.46M	-56.27M	-53.13M	-52.20M	-81.52M

Enerpac Tool Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 39.40
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EPAC, the sentiment is Negative. The current price of 39.4 is below the 20-day moving average (MA) of 40.22, above the 50-day MA of 39.08, and below the 200-day MA of 40.60, indicating a neutral trend. The MACD of 0.30 indicates Positive momentum. The RSI at 46.13 is Neutral, neither overbought nor oversold. The STOCH value of 20.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EPAC.

Enerpac Tool Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
THR	75 Outperform	$1.44B	24.81	11.74%	―	3.08%	35.81%
SXI	73 Outperform	$2.97B	56.17	7.72%	0.57%	18.51%	-28.69%
EPAC	68 Neutral	$2.11B	23.94	21.75%	0.10%	3.91%	1.48%
HI	65 Neutral	$2.25B	52.40	3.07%	2.85%	-16.00%	―
PSIX	65 Neutral	$1.71B	13.87	118.50%	―	54.78%	122.61%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ENOV	49 Neutral	$1.26B	-0.89	-51.11%	―	11.57%	-1016.39%

Enerpac Tool Group Corporate Events

Enerpac Tool Group Announces Trading Blackout Period

On December 15, 2025, Enerpac Tool Group Corp. notified its directors and executive officers about a trading blackout period due to changes in the company’s 401(k) Plan. The blackout, from December 31, 2025, to January 13, 2026, is to eliminate the Company Stock Fund as an investment option, affecting the ability to make investment changes and restricting transactions involving the company’s equity securities.

The most recent analyst rating on (EPAC) stock is a Buy with a $51.00 price target. To see the full list of analyst forecasts on Enerpac Tool Group stock, see the EPAC Stock Forecast page.