Update shared on 21 Nov 2025
Fair value Decreased 0.13%The analyst consensus price target for Teledyne Technologies was modestly reduced by $0.83 to $620.90, as analysts balanced ongoing growth in legacy and defense businesses with tempered near-term revenue and profit expectations.
Analyst Commentary
Recent analyst notes reflect a mixed yet constructive outlook for Teledyne Technologies following its latest quarterly results and updated guidance. While several experts remain confident in the company's long-term positioning and operational resilience, others highlight factors warranting caution in the near term.
Bullish Takeaways
- Bullish analysts have raised price targets, citing robust performance in legacy and defense-related businesses and above-consensus earnings per share for the recent quarter.
- Sales growth continues to outpace industry expectations, demonstrating solid demand and effective execution across core segments.
- Backlog expansion and ongoing strength in the defense segment support the company's outlook, providing visibility into future revenue streams.
- Recovery in short-cycle businesses, along with strong contributions from DALSA and e2v units, indicate positive momentum and diversification benefits.
Bearish Takeaways
- Bearish analysts highlight investor disappointment regarding the company's Q4 guidance, which did not fully align with more optimistic consensus expectations for sequential growth.
- Earnings and revenue for the recent quarter, while broadly in line, did not provide significant upside to prompt a re-rating of shares in the immediate term.
- Some experts express preference for other firms with more cyclical upside. They suggest that Teledyne's diversification, while beneficial for stability, may limit near-term earnings acceleration.
- The split between short- and long-cycle market exposure is seen as balanced but may constrain rapid growth if macroeconomic conditions remain mixed.
What's in the News
- Teledyne Technologies announced the upcoming availability of industrial CMOS image sensors upscreened for space applications. Evaluation kits and integration tools for the New Space market are expected by the end of 2025. The sensors offer up to 12MP resolution and are rigorously qualified for space missions. (Key Developments)
- The company secured a Regional Headquarters license in Saudi Arabia and plans to open a new Middle East headquarters in Riyadh by mid-2026. This move aims to enhance collaboration with government and defense agencies across the Gulf. (Key Developments)
- Teledyne revised its full-year 2025 earnings guidance upward and now expects GAAP diluted earnings per share between $17.83 and $18.05. The company set fourth quarter 2025 EPS guidance at $4.76 to $4.98. (Key Developments)
- Teledyne FLIR Defense opened a new office and demonstration center in Arlington, Virginia, near the Pentagon. The facility supports customer engagement and showcases products in the D.C. area. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has declined slightly, moving from $621.73 to $620.90.
- Discount Rate has edged down minimally, changing from 8.68% to 8.67%.
- Revenue Growth expectations have decreased modestly, shifting from 4.82% to 4.59%.
- Net Profit Margin has risen marginally, increasing from 16.40% to 16.51%.
- Future P/E ratio forecast has declined slightly, dropping from 33.76x to 33.00x.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.