The Middleby (MIDD) AI Stock Analysis

• Market Cap: $7.98B
• Dividend Yield: N/A
• Average Volume (3M): 813.76K
• Price to Earnings (P/E): 18.4
• Beta (1Y): 1.11
• Revenue Growth: -2.56%
• EPS Growth: 11.51%
• Country: US
• Employees: 10,616
• Sector: Industrials
• Sector Strength: 93
• Industry: Industrial - Machinery
• EPS (TTM): 2.08
• Shares Outstanding: 53,481,520
• 10 Day Avg. Volume: 735,077
• 30 Day Avg. Volume: 813,763
• PEG Ratio: 13.35
• Price to Book (P/B): 2.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.92
• Enterprise Value/Market Cap: 1.21
• Enterprise Value/Revenue: 1.27
• Enterprise Value/Gross Profit: 14.22
• Enterprise Value/Ebitda: 5.81
• 1Y Price Target: $164.67
• Price Target Upside: 12.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 72 Outperform
• Price Target: $166.00 ▲(12.97%Upside)

Middleby's strong cash flow and operational efficiency are significant strengths, supporting a robust financial foundation. Strategic initiatives like share buybacks enhance shareholder value, though challenges such as tariff impacts and stagnant revenue growth pose risks. The technical outlook is stable, reinforcing a cautiously optimistic view.

Positive Factors

Board Appointments

Ed Garden of Garden Investments and Julie Bowerman were appointed to Middleby’s Board of Directors, which are seen as steps to reinvigorate investor interest.

Product Strategy

The company's new product strategy is providing management with incremental confidence in the company's three-year midsingle-digit organic growth outlook.

Share Buybacks

Middleby Corporation will accelerate its share repurchase program, expecting to deploy most of its free cash flow to share buybacks.

Negative Factors

Earnings Performance

Shares of Middleby ended down nearly 3% after reporting a weaker-than-expected first quarter.

Macroeconomic Uncertainty

Heightened macroeconomic uncertainty has seemingly pushed out previous expectations for organic growth.

Tariff Impact

Outdoor grills remain under pressure as tariffs continue to impact the segment.

The Middleby Business Overview & Revenue Model

Company Description

The Middleby Corporation (MIDD) is a global leader in the foodservice equipment industry, providing innovative solutions for commercial kitchens, industrial food processing, and premium residential kitchen appliances. The company operates through three business segments: Commercial Foodservice, Food Processing, and Residential Kitchen Equipment. Middleby is renowned for its cutting-edge technology and energy-efficient products, catering to a diverse clientele ranging from restaurants and foodservice operations to large-scale food processors and home chefs.

How the Company Makes Money

The Middleby Corporation generates revenue primarily through the sale of its wide range of kitchen and food processing equipment. In the Commercial Foodservice segment, Middleby offers a variety of products such as ovens, fryers, grills, and beverage dispensers, catering to restaurants, fast-food chains, and other foodservice providers. This segment is a significant revenue driver, supported by the company's focus on innovation and energy efficiency, which attracts businesses looking to improve operational efficiency and sustainability. In the Food Processing segment, Middleby provides equipment and systems for food production, including cooking, chilling, and packaging solutions, serving large food processors and manufacturers. The Residential Kitchen Equipment segment targets the high-end market with premium appliances like ranges, refrigerators, and dishwashers under brands such as Viking Range and AGA. The company's revenue is further bolstered by strategic acquisitions that expand its product portfolio and market reach, as well as by its extensive distribution network and strong industry relationships that enhance its market presence.

The Middleby Financial Statement Overview

Summary

The Middleby has shown consistent profitability with strong gross profit margins and stable net profit margins. Despite stagnant revenue growth, operational efficiency remains high. The company's strong cash flow management indicates financial stability, though leverage needs cautious management.

Income Statement

The Middleby has shown consistent profitability with strong gross profit margins and stable net profit margins in recent years. Despite a slight decrease in revenue, the EBIT and EBITDA margins remain robust, indicating operational efficiency. However, the revenue growth rate has been stagnant, which could be a concern for future expansion.

Balance Sheet

The company maintains a reasonable debt-to-equity ratio, reflecting balanced leverage. A stable return on equity demonstrates effective use of shareholders’ funds. However, the equity ratio indicates that liabilities still form a significant portion of the company’s financing, which could be risky during economic downturns.

Cash Flow

The Middleby exhibits strong cash flow management with a healthy operating cash flow to net income ratio and consistent free cash flow generation. The free cash flow growth rate shows positive trends, which supports future investment and debt repayment. Nevertheless, the slight fluctuation in free cash flow growth indicates potential volatility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.88B	4.04B	4.03B	3.25B	2.51B
Gross Profit	1.47B	1.53B	1.45B	1.19B	882.05M
EBITDA	796.72M	797.35M	780.39M	776.67M	457.21M
Net Income	428.43M	400.88M	436.57M	488.49M	207.29M
Balance Sheet
Total Assets	7.28B	6.91B	6.87B	6.38B	5.20B
Cash, Cash Equivalents and Short-Term Investments	689.53M	247.50M	162.00M	180.36M	268.10M
Total Debt	2.42B	2.54B	2.72B	2.41B	1.73B
Total Liabilities	3.64B	3.66B	4.08B	3.89B	3.23B
Stockholders Equity	3.64B	3.25B	2.80B	2.49B	1.98B
Cash Flow
Free Cash Flow	637.51M	541.81M	263.03M	371.85M	482.88M
Operating Cash Flow	686.82M	628.79M	332.55M	423.40M	524.78M
Investing Cash Flow	-158.53M	-155.74M	-348.32M	-1.01B	-106.76M
Financing Cash Flow	-73.77M	-390.94M	7.63M	502.79M	-252.47M

The Middleby Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 146.94
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MIDD, the sentiment is Neutral. The current price of 146.94 is below the 20-day moving average (MA) of 147.58, above the 50-day MA of 146.68, and above the 200-day MA of 145.59, indicating a neutral trend. The MACD of 0.78 indicates Negative momentum. The RSI at 50.05 is Neutral, neither overbought nor oversold. The STOCH value of 71.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MIDD.

The Middleby Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WTS	79 Outperform	$8.42B	28.87	17.61%	0.72%	3.89%	8.17%
SPXC	77 Outperform	$8.43B	41.67	15.24%	―	10.78%	30.05%
CR	74 Outperform	$10.92B	35.16	18.22%	0.44%	3.01%	30.34%
MIDD	72 Outperform	$7.98B	18.36	12.33%	―	-2.56%	11.51%
RRX	72 Outperform	$10.61B	45.56	3.69%	0.90%	-10.19%	―
GNRC	67 Neutral	$8.94B	30.08	14.59%	―	8.07%	58.67%
Sector *	66 Neutral	$2.74B	14.00	10.02%	3.70%	-1.07%	33.72%

The Middleby Corporate Events

The Middleby Holds Annual Stockholders Meeting

On May 14, 2025, The Middleby Corporation held its Annual Meeting of Stockholders where several key proposals were voted on. All ten nominees for the Board of Directors were elected to serve until the 2026 meeting. Additionally, the advisory vote on executive compensation was approved, and Ernst & Young LLP was ratified as the independent public accountants for the fiscal year ending January 3, 2026. These decisions reflect the company’s ongoing governance and operational strategies, potentially impacting its market positioning and stakeholder confidence.

The most recent analyst rating on (MIDD) stock is a Buy with a $160.00 price target. To see the full list of analyst forecasts on The Middleby stock, see the MIDD Stock Forecast page.

Middleby Expands Share Buyback Program by 7.5 Million

On May 5, 2025, The Middleby Corporation’s Board of Directors authorized an increase in its share repurchase program by 7.5 million shares, bringing the total available for buyback to 11.4 million shares, or 21% of the company’s equity. This strategic move aims to return the majority of the company’s free cash flow to shareholders, following a February 2025 announcement to separate its Food Processing business. Despite a slight decrease in net sales and adjusted EBITDA in the first quarter of 2025, Middleby remains confident in its long-term outlook, planning to offset potential tariff-related cost increases through operational initiatives and pricing actions.