Timken: Drooping Now, But Watch For Gains Again In Coming Years

Summary

• The Timken Company’s share price is expected to rise nearly 6% in the coming year due to market stabilization in Chinese wind energy, new products, and improved productivity.
• Timken, a leader in engineered bearings and industrial motion products, has competitive advantages and solid financial metrics.
• Despite short-term challenges, Timken's growth prospects are promising, with positive indicators for 2025 and beyond.
• Investors should look past short-term issues and expect future capital gains and dividend growth, with a one-year price target of $92.27 and a Buy rating.

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Investment thesis

The Timken Company’s (NYSE:TKR) share price has been in a trough since last May, and not surprisingly, because one of its markets, Chinese wind energy, has slowed along with the rest of China’s economy. For the past

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.