tiprankstipranks
Trending News
More News >
Manitowoc Company (MTW)
NYSE:MTW

Manitowoc Company (MTW) AI Stock Analysis

Compare
289 Followers

Top Page

MTW

Manitowoc Company

(NYSE:MTW)

Select Model
Select Model
Select Model
Neutral 60 (OpenAI - 5.2)
Rating:60Neutral
Price Target:
$15.50
▲(4.66% Upside)
Action:ReiteratedDate:02/10/26
The score is held back primarily by weak cash-flow performance (negative TTM free cash flow) and very thin profitability alongside rising leverage. Offsetting these are strong technical uptrend signals, a low P/E valuation, and constructive 2026 guidance supported by improving orders/backlog and planned restructuring savings.
Positive Factors
Aftermarket / Non-new Machine Sales Strength
A growing $690M trailing non-new machine revenue base increases recurring aftermarket sales and service demand. This less-cyclical revenue stream supports higher gross margins (~35%), steadier cash flows, and a larger installed base that drives parts, service, and long-term customer relationships.
Order Momentum and Backlog Growth
Very strong quarterly orders and a year-end $794M backlog (up 22% YoY) provide multi-quarter revenue visibility and better production planning. Sustained order strength improves capacity utilization, supports steady manufacturing throughput, and helps convert demand into durable top-line growth.
Direct-to-Customer & Distribution Expansion
Expanding MGX distribution and new product launches enlarge the direct aftermarket and parts footprint, widening addressable markets and service touchpoints. This structural move increases recurring revenue potential, improves margins via higher aftermarket mix, and strengthens long-term customer retention.
Negative Factors
Weak Cash Generation / Negative Free Cash Flow
Negative TTM free cash flow and a large ~$45M EPA payment materially reduced liquidity and optionality. Persistent weak cash conversion constrains the company's ability to de-lever, invest in growth, or return capital until operating cash flow normalizes and one-off headwinds are absorbed.
Elevated Net Leverage and Limited Cash Buffer
A net leverage ratio above 3.0x with modest cash on hand tightens financial flexibility in a capital-intensive, cyclical industry. Elevated leverage raises refinancing and interest coverage risks during downturns and limits capacity for opportunistic investments until leverage meaningfully declines.
Thin Profitability and Margin Pressure
Very low net margins leave little cushion for cost inflation, tariffs, or pricing pressure. Structural margin headwinds from used-sales mix, tariffs, and FX reduce operating leverage and long-term free cash generation, making sustained profitability improvements necessary to restore balance-sheet resilience.

Manitowoc Company (MTW) vs. SPDR S&P 500 ETF (SPY)

Manitowoc Company Business Overview & Revenue Model

Company DescriptionThe Manitowoc Company, Inc. provides engineered lifting solutions in the Americas, Europe, Africa, the Middle East, and the Asia Pacific. It designs, manufactures, and distributes crawler-mounted lattice-boom cranes under the Manitowoc brand; a line of top-slewing and self-erecting tower cranes under the Potain brand; mobile hydraulic cranes under the Grove, Shuttlelift, and National Crane brands; and hydraulic boom trucks under the National Crane brand. The company also provides crane product parts and services; and crane rebuilding, remanufacturing, and training services. Its crane products are used in various applications, including energy production/distribution and utilities; petrochemical and industrial projects; infrastructure, such as road, bridge, and airport construction; and commercial and high-rise residential construction. The company serves a range of customers, including dealers, rental companies, contractors, and government entities in the petrochemical, industrial, commercial construction, power and utilities, infrastructure, and residential construction end markets. The Manitowoc Company, Inc. was founded in 1902 and is headquartered in Milwaukee, Wisconsin.
How the Company Makes MoneyManitowoc generates revenue primarily through the sale of crane equipment and lifting solutions. Key revenue streams include new equipment sales, which account for a significant portion of its income, as well as aftermarket services such as parts and maintenance, which provide ongoing revenue from existing customers. The company also benefits from leasing programs and rentals, allowing customers to access equipment without significant upfront investment. Strategic partnerships with distributors and dealers enhance its market reach and customer service capabilities. Additionally, Manitowoc's focus on innovation and technology helps them maintain competitive pricing and improve operational efficiency, contributing to overall profitability.

Manitowoc Company Earnings Call Summary

Earnings Call Date:Feb 09, 2026
(Q4-2025)
|
% Change Since: |
Next Earnings Date:May 05, 2026
Earnings Call Sentiment Positive
The call conveyed a constructive tone with multiple operational and commercial wins: record non-new machine sales, strong quarterly order growth (+56% Q/Q YoY), expanding backlog (+22% YoY), product launches, safety improvements, and positive 2026 guidance (higher revenue and EBITDA ranges plus planned cash generation). However, significant near-term headwinds persist, notably tariff impacts (‑$0.13 EPS drag), full-year free cash flow pressure due to a $45M EPA payment, elevated leverage (3.15x), and market uncertainty in the U.S. and parts of the Middle East. Management outlined clear mitigation steps—pricing, sourcing, restructuring ($10M of savings), geographic aftermarket expansion, and product pipeline—which support an optimistic outlook for 2026 while acknowledging short-term volatility (Q1 pressure). Overall, the positives and actionable guidance outweigh the challenges, but risks remain that could influence execution.
Q4-2025 Updates
Positive Updates
Record Non-New Machine Sales
Trailing twelve-month non-new machine sales reached $690 million, up 10% year over year, marking a new company record and a core driver of higher, less-cyclical gross margins (~35%).
Strong Quarterly Order Momentum
Fourth-quarter orders totaled $803 million, up 56% year over year, driven by whole-goods stocking orders in the Americas and improved European tower crane demand; January orders ~ $225 million (management comment).
Backlog Growth
Year-end backlog was $794 million, up 22% versus prior year, providing multi-quarter visibility into production and revenue.
New Machine Order Strength
New crane orders increased 64% year over year in the fourth quarter; mobile crane orders were up 39% year over year, signaling improving end-market demand in Europe and Asia Pacific.
Revenue and Quarterly Profitability
Net sales for the quarter were $677 million, up 14% year over year; adjusted EBITDA for the quarter was $40 million and adjusted EPS was $0.32 (GAAP diluted EPS $0.20).
Cash Generation and Working Capital Progress (Quarter)
Management reported $78 million of free cash flow generation during the quarter and meaningful progress reducing working capital; total liquidity ended the year at $298 million.
Operational and Safety Improvements
Recordable injury rate (RIR) fell below 1.0 to 0.94 for the first time in company history; first-aid incidents down 10% year over year and total recordable injuries reduced to 42 in 2025 (from 91 in 2015).
Product and Aftermarket Expansion
Launched 11 new cranes in 2025 (including MCT 2205 topless tower crane; sold 19 units of MCT 2205), grew field service technician population to over 500, expanded aftermarket territories (multiple U.S. states and French provinces), opened/upgraded locations globally, and announced a new MGX distribution agreement covering 13 U.S. states.
2026 Financial Guidance and Restructuring
Guidance for 2026: net sales $2.25B–$2.35B; adjusted EBITDA $125M–$150M; projected free cash flow $40M–$65M; capex $45M–$50M; restructuring expected to save roughly $10M and help reduce net leverage toward sub-3.0x.
Negative Updates
Full-Year Free Cash Flow and EPA Settlement Impact
Full-year free cash flow was a use of $15 million and cash flows from operations were $22 million; results were negatively impacted by approximately $45 million of payments related to an EPA matter (excluding this, free cash flow would have been $30 million).
Tariff-Related Headwinds and EPS Impact
Ongoing tariff uncertainty materially affected results and customer behavior; net tariffs produced a $0.13 unfavorable impact to diluted EPS year over year and adjusted EPS decreased $0.09 versus prior year.
Americas Market Uncertainty and Flat Rental Rates
U.S. market complicated by tariffs and delayed customer buying behavior (customers waiting to place orders); rental rates have remained flat, limiting fleet renewal economics and dampening near-term demand.
Near-Term Seasonality and Q1 Pressure
Management expects Q1 2026 to be relatively weak versus the rest of the year due to tariff timing, FX headwinds, and restructuring timing (benefits expected later in year).
Leverage and Cash Position
Net leverage ended the year at 3.15x and cash balance was $77 million, indicating leverage and liquidity metrics that management expects to improve but remain watch points in the near term.
Lower Full-Year Free Cash Flow Guidance vs. Quarterly Generation
Despite a strong quarter of cash generation, full-year dynamics (including the EPA payment and capex/rental fleet investments) resulted in lower full-year free cash flow, and 2026 capex guidance of $45M–$50M remains material.
Project Delays and Regional Risks in Middle East
Certain large projects (e.g., Stargate Data Center phase two in Abu Dhabi) are moving slower than anticipated and tightening cash in Saudi adds volatility to Middle East demand despite pockets of strength in Dubai.
Margin Pressure from Used Sales Mix and Currency/Inflation
Management noted used (non-new) sales have somewhat lower margins than typical non-new machine sales; foreign currency and inflation remain headwinds that the company expects to offset partially through pricing, sourcing, and restructuring.
Company Guidance
Management guided 2026 net sales of $2.25–$2.35 billion and adjusted EBITDA of $125–$150 million, with projected free cash flow of $40–$65 million (inclusive of $45–$50 million in capital expenditures); they expect roughly $10 million of restructuring savings in 2026 to offset inflation and FX headwinds, plan to continue using pricing and sourcing actions to mitigate tariff pressures (having mitigated ~85% of recent headwinds in Q4), and aim to reduce net leverage from 3.15x at year‑end to below 3.0x during the year, while carrying $77 million of cash, $298 million of total liquidity, and building on a $794 million backlog, $803 million of Q4 orders, and $690 million of trailing‑12‑month non‑new machine sales.

Manitowoc Company Financial Statement Overview

Summary
Modest TTM revenue improvement and a balance sheet that is still manageable are outweighed by materially weaker cash generation (TTM FCF negative) and very thin profitability, with leverage trending higher into a period of margin pressure.
Income Statement
57
Neutral
Revenue is broadly stable to modestly improving, with TTM (Trailing-Twelve-Months) up ~3.8% after a slight decline in 2024 and stronger growth in 2023. Profitability, however, has been volatile: the business rebounded sharply from a large loss in 2022, but TTM earnings are very thin (about 0.3% net margin) and down meaningfully versus 2024 despite similar revenue. Gross margin is steady (~17–19%), while operating profitability has compressed from 2023 levels, suggesting cost pressure and limited pricing leverage.
Balance Sheet
63
Positive
Leverage is moderate for an industrial company, with debt-to-equity rising to ~0.81 in TTM (Trailing-Twelve-Months) from ~0.68 in 2024, signaling increased reliance on debt. Equity has grown versus prior years, which helps cushion the capital structure, and returns on equity are positive in the last two periods after a steep negative year in 2022. The key watch item is the upward leverage trend alongside weakening profitability, which can reduce balance-sheet flexibility if the cycle softens.
Cash Flow
38
Negative
Cash generation has weakened materially in TTM (Trailing-Twelve-Months): operating cash flow fell to ~$22M from ~$49M in 2024, and free cash flow turned negative (~-$15M) after being slightly positive in 2024. Cash conversion is a concern, with operating cash flow covering only a small portion of reported earnings and free cash flow remaining inconsistent year-to-year (negative in 2020, 2023, and TTM). This raises execution risk and limits optionality for debt reduction or shareholder returns until cash flow stabilizes.
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.24B2.18B2.23B2.03B1.72B
Gross Profit404.70M375.00M425.20M364.50M307.20M
EBITDA121.70M112.90M139.20M-24.90M92.90M
Net Income7.20M55.80M39.20M-123.60M11.00M
Balance Sheet
Total Assets1.82B1.66B1.71B1.62B1.78B
Cash, Cash Equivalents and Short-Term Investments77.30M48.00M34.40M64.40M75.40M
Total Debt583.30M437.20M419.30M419.90M436.40M
Total Liabilities1.12B1.02B1.10B1.08B1.11B
Stockholders Equity695.20M640.10M603.30M537.80M662.40M
Cash Flow
Free Cash Flow-15.30M3.50M-14.40M15.10M35.80M
Operating Cash Flow22.20M49.20M63.00M76.90M76.20M
Investing Cash Flow-49.50M-40.40M-71.80M-58.00M-226.30M
Financing Cash Flow54.80M6.70M-21.40M-29.90M100.90M

Manitowoc Company Technical Analysis

Technical Analysis Sentiment
Positive
Last Price14.81
Price Trends
50DMA
13.57
Positive
100DMA
12.34
Positive
200DMA
11.74
Positive
Market Momentum
MACD
0.33
Positive
RSI
59.57
Neutral
STOCH
71.62
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MTW, the sentiment is Positive. The current price of 14.81 is above the 20-day moving average (MA) of 14.31, above the 50-day MA of 13.57, and above the 200-day MA of 11.74, indicating a bullish trend. The MACD of 0.33 indicates Positive momentum. The RSI at 59.57 is Neutral, neither overbought nor oversold. The STOCH value of 71.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MTW.

Manitowoc Company Risk Analysis

Manitowoc Company disclosed 30 risk factors in its most recent earnings report. Manitowoc Company 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

Manitowoc Company Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
$10.63B16.9614.90%1.56%-2.28%-0.53%
70
Outperform
$2.59B22.1410.82%0.69%-2.73%-2.91%
67
Neutral
$1.42B36.975.88%1.14%6.66%
67
Neutral
$7.82B20.6411.26%1.24%4.60%-65.73%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
60
Neutral
$523.23M76.508.82%-0.83%
51
Neutral
$653.14M250.030.51%4.61%-8.30%-98.18%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MTW
Manitowoc Company
14.75
4.40
42.51%
ALG
Alamo Group
213.53
39.69
22.83%
ASTE
Astec
62.09
26.96
76.74%
OSK
Oshkosh
170.02
69.36
68.91%
TEX
Terex
68.79
28.70
71.60%
HY
Hyster-Yale Materials Handling
36.83
-11.99
-24.56%

Manitowoc Company Corporate Events

Business Operations and StrategyExecutive/Board Changes
Manitowoc Company adds two CEOs to board
Positive
Jan 21, 2026

On January 20, 2026, Manitowoc expanded its board of directors from eight to ten members and appointed Mark B. Rourke, CEO of Schneider National, and Randy A. Wood, CEO of Lindsay Corporation, as new directors with terms expiring at the company’s 2026 annual meeting of shareholders. The addition of two sitting chief executives with deep operational and strategic experience in transportation, logistics, industrial and infrastructure markets is intended to strengthen Manitowoc’s governance and support its long-term growth objectives, signaling a continued focus on enhancing board expertise to guide the crane maker through complex operating environments and evolving market demands.

The most recent analyst rating on (MTW) stock is a Buy with a $15.00 price target. To see the full list of analyst forecasts on Manitowoc Company stock, see the MTW Stock Forecast page.

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: Feb 10, 2026