Modine (MOD) AI Stock Analysis

• Market Cap: $7.32B
• Dividend Yield: N/A
• Average Volume (3M): 1.32M
• Price to Earnings (P/E): 40.0
• Beta (1Y): 2.20
• Revenue Growth: 6.45%
• EPS Growth: 14.21%
• Country: US
• Employees: 11,000
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Auto - Parts
• EPS (TTM): 1.06
• Shares Outstanding: 52,490,230
• 10 Day Avg. Volume: 1,480,978
• 30 Day Avg. Volume: 1,316,094
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.79
• Enterprise Value/Revenue: 2.23
• Enterprise Value/Gross Profit: 8.97
• Enterprise Value/Ebitda: 17.03
• 1Y Price Target: $158.20
• Price Target Upside: 14.04% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 75 Outperform
• Price Target: $151.00 ▲(8.85% Upside)

Modine's overall stock score reflects a strong financial performance and positive earnings outlook, supported by strategic acquisitions. However, high valuation and potential overbought technical indicators present risks.

Positive Factors

Financial Performance

MOD reported F1Q26 sales, adj. op. profit/EBITDA/EPS all nicely above the model.

Revenue Growth

Modine shares appreciated 18% after management laid out a realistic path to the data center business generating about $2 billion in revenue in fiscal 2028.

Technological Advantage

MOD has a technological moat and is broadly capturing market share.

Negative Factors

European Market Weakness

Weakness in European Data Center Market Offset by North American Strength.

Performance Technologies

A decline in performance technologies businesses and about $10 million to $15 million that came out of genset revenue expectations.

Segment Forecast

The engine segment forecast is unchanged.

Modine Business Overview & Revenue Model

Company Description

Modine Manufacturing Company provides engineered heat transfer systems and heat transfer components for use in on- and off-highway original equipment manufacturer (OEM) vehicular applications. It operates through Climate Solutions and Performance Technologies segments. The company offers gas-fired, hydronic, electric, and oil-fired unit heaters; indoor and outdoor duct furnaces; infrared units; perimeter heating products, such as commercial fin-tube radiation, cabinet unit heaters, and convectors; roof-mounted direct- and indirect-fired makeup air units; unit ventilators; single packaged vertical units; precision air conditioning units for data center applications; air handler units; fan walls; chillers; ceiling cassettes; hybrid fan coils; and condensers and condensing units. It also provides microchannel, heat recovery, round tube plate fin, and motor and generator cooling coils; evaporator unit, fluid, transformer oil, gas, air blast, and dry and brine coolers, as well as remote condensers; and coatings to protect against corrosion. In addition, the company offers powertrain cooling products, including engine cooling modules, radiators, charge air coolers, condensers, oil coolers, fan shrouds, and surge tanks; on-engine cooling products comprising exhaust gas recirculation, engine oil, fuel, charge air, and intake air coolers; auxiliary cooling products, such as transmission and retarder oil coolers, and power steering coolers; and complete battery thermal management systems and electronics cooling packages. It serves heating, ventilation, and cooling OEMs; construction architects and contractors; wholesalers of heating equipment; automobile, truck, bus, and specialty vehicle OEMs; agricultural, industrial, and construction equipment OEMs; and commercial and industrial equipment OEMs. The company has operations in North America, South America, Europe, and Asia. Modine Manufacturing Company was incorporated in 1916 and is headquartered in Racine, Wisconsin.

How the Company Makes Money

Modine generates revenue primarily through the sale of its thermal management products and systems across various industries. The company has a diversified revenue model that includes direct sales to original equipment manufacturers (OEMs), aftermarket sales, and service contracts. Key revenue streams are derived from the automotive sector, where Modine supplies heat exchangers and cooling systems, as well as from industrial applications, where it provides customized heat management solutions. Additionally, Modine benefits from strategic partnerships with major manufacturers and suppliers, enhancing its market presence and driving sales. The company also invests in research and development to innovate and expand its product offerings, which can lead to increased market share and revenue growth.

Modine Financial Statement Overview

Summary

Modine demonstrates strong financial health with consistent revenue and profit growth, improved margins, and effective cash flow management. However, significant debt levels require ongoing attention.

Income Statement

Modine has demonstrated consistent revenue growth, with a 7.3% increase from 2024 to 2025. The gross profit margin improved to 24.9%, and the net profit margin rose to 7.1%, indicating enhanced profitability. The EBIT and EBITDA margins also showed positive trends. Overall, the income statement reflects strong growth and profitability, enhancing Modine's financial position.

Balance Sheet

The debt-to-equity ratio improved, reflecting better leverage management, with a decrease from 0.68 in 2024 to 0.39 in 2025. The return on equity improved to 20.2%, showing efficient utilization of equity. The equity ratio increased to 47.5%, indicating a stronger equity base. However, the company still carries significant debt, which poses potential risks.

Cash Flow

Modine's free cash flow grew by 2.5% from 2024 to 2025, demonstrating effective cash management. The operating cash flow to net income ratio is robust at 1.16, reflecting strong cash generation relative to net income. The free cash flow to net income ratio is also healthy at 0.70, indicating efficient conversion of income to cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.60B	2.58B	2.41B	2.30B	2.05B	1.81B
Gross Profit	646.60M	643.80M	525.60M	389.40M	309.30M	293.40M
EBITDA	340.60M	358.10M	294.80M	208.00M	171.90M	-31.30M
Net Income	187.90M	184.00M	161.50M	153.10M	85.20M	-209.50M
Balance Sheet
Total Assets	2.23B	1.92B	1.85B	1.57B	1.43B	1.28B
Cash, Cash Equivalents and Short-Term Investments	124.50M	71.60M	60.10M	70.60M	48.90M	37.80M
Total Debt	527.10M	350.80M	509.00M	413.40M	431.70M	390.50M
Total Liabilities	1.21B	999.40M	1.10B	966.30M	968.90M	920.60M
Stockholders Equity	1.02B	910.20M	747.60M	599.60M	458.10M	348.70M
Cash Flow
Free Cash Flow	143.30M	129.30M	126.10M	56.80M	-28.80M	117.10M
Operating Cash Flow	200.50M	213.30M	214.60M	107.50M	11.50M	149.80M
Investing Cash Flow	-204.10M	-86.60M	-283.40M	-50.40M	-51.00M	-31.30M
Financing Cash Flow	53.30M	-113.60M	62.70M	-33.30M	39.20M	-145.10M

Modine Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 138.72
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MOD, the sentiment is Positive. The current price of 138.72 is above the 20-day moving average (MA) of 121.47, above the 50-day MA of 106.31, and above the 200-day MA of 104.50, indicating a bullish trend. The MACD of 11.24 indicates Negative momentum. The RSI at 71.83 is Negative, neither overbought nor oversold. The STOCH value of 75.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MOD.

Modine Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VC	82 Outperform	$3.32B	11.59	22.96%	―	-3.26%	-45.84%
LEA	76 Outperform	$5.50B	12.07	9.51%	2.98%	-3.12%	-8.23%
MOD	75 Outperform	$7.32B	39.98	20.88%	―	6.45%	14.21%
BWA	72 Outperform	$8.97B	44.26	3.66%	1.06%	-2.12%	-69.42%
GTX	68 Neutral	$2.60B	9.01	-41.90%	0.93%	-6.71%	43.34%
Sector *	59 Neutral	€9.01B	10.49	-13.89%	4.55%	0.76%	-39.51%
GT	56 Neutral	$2.36B	6.05	8.37%	―	-4.52%	―

Modine Corporate Events

Modine Appoints Alan S. Lowe to Board

On July 18, 2025, Modine Manufacturing Company appointed Alan S. Lowe to its Board of Directors, effective immediately, with a term ending in 2026. Lowe, who has extensive executive experience in technology and manufacturing sectors, is expected to contribute significantly to Modine’s ongoing transformation efforts.

The most recent analyst rating on (MOD) stock is a Buy with a $125.00 price target. To see the full list of analyst forecasts on Modine stock, see the MOD Stock Forecast page.

Modine Secures New Credit Agreement for Financial Flexibility

On July 10, 2025, Modine Manufacturing Company entered into a Sixth Amended and Restated Credit Agreement, which extends its existing credit facilities and introduces a $400 million revolving credit facility and a $200 million term loan facility, both maturing on July 10, 2030. This agreement includes revised covenants and restructuring provisions, reflecting Modine’s strategic focus on financial flexibility and operational restructuring, particularly concerning its Performance Technologies segment’s automotive business exit.

The most recent analyst rating on (MOD) stock is a Buy with a $125.00 price target. To see the full list of analyst forecasts on Modine stock, see the MOD Stock Forecast page.

Modine Acquires Climate by Design International

Modine Manufacturing Company recently acquired Climate by Design International (CDI), a leading designer and manufacturer of desiccant-based dehumidification equipment. This acquisition, completed on July 1, 2025, is part of Modine’s strategic initiative to enhance its product offerings and market reach. The acquisition is expected to be accretive to earnings per share and aligns with Modine’s goal to expand its comprehensive commercial indoor air quality portfolio. The company has also restructured its product groups within its Performance Technologies and Climate Solutions segments, although this will not affect financial reporting.

The most recent analyst rating on (MOD) stock is a Buy with a $125.00 price target. To see the full list of analyst forecasts on Modine stock, see the MOD Stock Forecast page.

Modine Announces Merger with LBW Holding Corp.

On May 29, 2025, Modine Manufacturing Company announced a merger agreement with LBW Holding Corp., under which LBW Holding will become a wholly owned subsidiary of Modine. The transaction, valued at approximately $112 million, is expected to close by May 31, 2025, and aims to enhance Modine’s market position in climate solutions. The acquisition is anticipated to be accretive to earnings per share and will be funded through cash on hand and existing credit facilities, with no financing conditions or regulatory reviews required for closing.

The most recent analyst rating on (MOD) stock is a Buy with a $120.00 price target. To see the full list of analyst forecasts on Modine stock, see the MOD Stock Forecast page.