CNH: Tariff Headwinds Will Ease as Market Recovery Is Expected by 2026

The consensus analyst price target for CNH Industrial has been revised downward from approximately $14.11 to $13.12 per share. Analysts cite nearer-term tariff headwinds and heightened industry caution as key drivers of the reduction.

Analyst Commentary

Recent analyst reports on CNH Industrial reflect a nuanced outlook, with both caution and optimism shaping valuations and expectations for future growth. The evolving impact of tariffs and related market dynamics remains central to analyst perspectives.

• Some analysts expect a potential turnaround in the agriculture market as early as 2026. This could support a recovery in CNH Industrial's longer-term growth trajectory.
• The outlook for an industry cycle recovery suggests that, despite headwinds, there is continued investor support for CNH and its peers beyond near-term challenges.
• While immediate expectations have been tempered, forward-looking optimism persists regarding CNH’s operational execution amid shifting market conditions.

• Downward revisions to CNH’s price targets reflect heightened caution related to near-term tariff headwinds and cost pressures, particularly under new steel and aluminum import tariffs.
• Persistent concerns about demand trends, especially in key markets like Brazil, have caused analysts to lower short-term estimates and temper valuation multiples.
• Broader uncertainty across the heavy manufacturing sector, driven by expanded tariffs on key components, is expected to weigh on CNH and its peers. This is likely to limit upside potential in the immediate future.
• Analysts continue to maintain Neutral ratings, pointing to limited catalysts for outperformance until there is greater clarity on cost trends and industry demand stabilization.

What's in the News

• CNH is launching the FLEETPRO line of aftermarket services at Agritechnica 2025. This new offering features certified spare parts and consumables for post-warranty and legacy agricultural equipment. FLEETPRO will also include Precision Farming kits that will initially be available across Europe, the Middle East, and Africa (Key Developments).
• In collaboration with CHC Navigation, the new FLEETPRO line includes guidance kits equipped with advanced displays and multiple steering options. These kits are compatible with all brands and models for mixed fleet customers in the EMEA region (Key Developments).
• CNH completed the repurchase of 18,638,409 shares, totaling $205.34 million under its ongoing buyback program. This includes 0.36% that was repurchased between July 1 and September 30, 2025 (Key Developments).

Valuation Changes

• Consensus Analyst Price Target has decreased from $14.11 to $13.12 per share. This reflects a notable downward revision in expectations.
• Discount Rate has risen slightly from 13.28% to 13.46%, which indicates an increased perceived risk or required return by analysts.
• Revenue Growth expectations have edged up from 1.32% to 1.52%. This suggests modestly more optimistic views on CNH Industrial's future sales performance.
• Net Profit Margin has improved marginally, increasing from 8.05% to 8.16%.
• Future P/E Ratio has fallen from 17.02x to 15.63x. This points to lower growth assumptions or a re-rating of the company’s future earnings multiples.