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U.S. Machinery Industry Analysis

UpdatedJul 23, 2026
DataAggregated Company Financials
Companies192
  • 7D0.5%
  • 3M1.1%
  • 1Y34.1%
  • YTD20.1%

Over the last 7 days, the Machinery industry has remained flat, although notably Westinghouse Air Brake Technologies gained 12%. The past year has been better, since the industry has gained 34% in that time. As for the next few years, earnings are expected to grow by 16% per annum.

Industry Valuation and Performance

Has the U.S. Machinery Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 23 Jul 2026US$1.5tUS$486.3bUS$45.0b27.9x34.3x3.2x
Sat, 20 Jun 2026US$1.6tUS$489.3bUS$44.8b28x36.1x3.3x
Mon, 18 May 2026US$1.5tUS$461.2bUS$43.7b25.9x33.4x3.2x
Wed, 15 Apr 2026US$1.5tUS$451.4bUS$43.6b27.8x34.2x3.3x
Fri, 13 Mar 2026US$1.4tUS$451.5bUS$43.3b26.6x32.4x3.1x
Sun, 08 Feb 2026US$1.5tUS$449.4bUS$42.9b29.2x34.4x3.3x
Tue, 06 Jan 2026US$1.3tUS$450.9bUS$43.7b25.4x29.7x2.9x
Thu, 04 Dec 2025US$1.3tUS$450.7bUS$43.7b25.3x28.7x2.8x
Sat, 01 Nov 2025US$1.2tUS$447.9bUS$44.5b23.8x27.5x2.7x
Mon, 29 Sep 2025US$1.2tUS$447.0bUS$44.2b24.1x26x2.6x
Wed, 27 Aug 2025US$1.1tUS$446.9bUS$44.2b24.3x25.9x2.6x
Fri, 25 Jul 2025US$1.1tUS$448.6bUS$44.3b23x25.8x2.5x
Sun, 22 Jun 2025US$1.0tUS$449.2bUS$44.5b22.4x23.5x2.3x
Tue, 20 May 2025US$1.1tUS$449.1bUS$44.6b24.1x24.1x2.4x
Thu, 17 Apr 2025US$927.0bUS$457.0bUS$48.6b19.7x19.1x2x
Sat, 15 Mar 2025US$996.5bUS$457.3bUS$47.9b21.4x20.8x2.2x
Mon, 10 Feb 2025US$1.1tUS$461.6bUS$48.9b23x22.4x2.4x
Wed, 08 Jan 2025US$1.0tUS$467.3bUS$47.9b23x21.9x2.2x
Fri, 06 Dec 2024US$1.1tUS$467.7bUS$47.8b24.8x23.9x2.4x
Sun, 03 Nov 2024US$1.0tUS$473.8bUS$49.3b23.1x21.3x2.2x
Tue, 01 Oct 2024US$1.1tUS$474.2bUS$49.4b22.6x21.5x2.2x
Thu, 29 Aug 2024US$995.0bUS$474.2bUS$49.3b21.6x20.2x2.1x
Sat, 27 Jul 2024US$1.0tUS$477.0bUS$51.7b21.9x19.4x2.1x
Mon, 24 Jun 2024US$966.1bUS$476.9bUS$51.6b21.6x18.7x2x
Wed, 22 May 2024US$1.0tUS$477.4bUS$51.3b22.3x20.2x2.2x
Fri, 19 Apr 2024US$1.0tUS$478.1bUS$48.2b22.1x21.1x2.1x
Sun, 17 Mar 2024US$1.0tUS$476.8bUS$48.0b23x21.3x2.1x
Tue, 13 Feb 2024US$986.5bUS$476.7bUS$47.3b22.8x20.9x2.1x
Thu, 11 Jan 2024US$943.3bUS$485.4bUS$47.8b22x19.7x1.9x
Sat, 09 Dec 2023US$896.6bUS$483.9bUS$47.8b21.5x18.7x1.9x
Mon, 06 Nov 2023US$853.0bUS$484.2bUS$46.8b19.7x18.2x1.8x
Wed, 04 Oct 2023US$864.0bUS$475.1bUS$44.4b19.7x19.5x1.8x
Fri, 01 Sep 2023US$926.4bUS$475.1bUS$44.5b20.6x20.8x1.9x
Sun, 30 Jul 2023US$933.7bUS$465.4bUS$41.2b20.7x22.6x2x
Price to Earnings Ratio

22.6x


Total Market Cap: US$933.7bTotal Earnings: US$41.2bTotal Revenue: US$465.4bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Machinery Industry Price to Earnings3Y Average 24.1x202420252026
Current Industry PE
  • Investors are optimistic on the American Machinery industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 34.3x which is higher than its 3-year average PE of 24.1x.
  • The 3-year average PS ratio of 2.4x is lower than the industry's current PS ratio of 3.2x.
Past Earnings Growth
  • The earnings for companies in the Machinery industry have grown 3.0% per year over the last three years, while revenues have remained mostly flat.
  • This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.

Industry Trends

Which industries have driven the changes within the U.S. Industrials industry?

US Market-1.35%
Industrials-0.71%
Machinery0.55%
Agricultural Machinery2.71%
Industrial Machinery0.71%
Construction Machinery and Vehicles-0.18%
Industry PE
  • Investors are most optimistic about the Construction Machinery and Vehicles industry which is trading above its 3-year average PE ratio of 21.0x.
    • Analysts are expecting annual earnings growth of 17.2%, which is higher than its past year's earnings decline of 5.5% per year.
  • Investors are most pessimistic about the Agricultural Machinery industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 19.0x.
Forecasted Growth
  • Analysts are most optimistic on the Agricultural Machinery industry, expecting annual earnings growth of 18% over the next 5 years.
  • This is better than its past earnings decline of 15% per year.
  • In contrast, the Industrial Machinery industry is expected to see its earnings grow by 15% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
WAB Westinghouse Air Brake TechnologiesUS$290.0011.7%
+US$5.1b		35.3%PE38.9x
DE DeereUS$607.333.0%
+US$4.8b		17.9%PE34.3x
PCAR PACCARUS$131.116.5%
+US$4.2b		29.7%PE27.9x
PH Parker-HannifinUS$970.771.9%
+US$2.2b		33.3%PE35.2x
IR Ingersoll RandUS$83.545.6%
+US$1.7b		-3.8%PE55.7x

Latest News

OTIS
US$70.41
Otis Worldwide
7D
-2.5%
1Y
-20.4%
WAB
US$290.00
Westinghouse Air Brake Technologies
7D
11.7%
1Y
35.3%
MLI
US$62.66
Mueller Industries
7D
9.0%
1Y
43.9%
CAT
US$889.31
Caterpillar
7D
-2.7%
1Y
108.0%
ALSN
US$119.06
Allison Transmission Holdings
7D
4.2%
1Y
35.2%
WTS
US$341.54
Watts Water Technologies
7D
-2.2%
1Y
35.9%
Narrative Update • Jul 21

WTS: Data Center Upside And Industrial Recovery Will Shape Balanced Forward Risk

The analyst price target for Watts Water Technologies has been raised from $333 to $358, with analysts pointing to higher sector targets, improving industrial activity and growing data center related opportunities as key supports for the updated valuation inputs. Analyst Commentary Recent research updates on Watts Water Technologies highlight a mix of optimism around growth drivers like data center exposure and industrial recovery, balanced against questions on valuation and execution as the stock trades closer to prior target levels.
PCAR
US$131.11
PACCAR
7D
6.5%
1Y
29.7%
Seeking Alpha • Jul 20

Paccar's Prospects Are Being Overestimated

Summary PACCAR remains a soft 'Sell' due to expensive valuation, operational weakness, and ongoing macroeconomic headwinds. Truck segment revenue and profitability declined sharply, driven by reduced retail demand and a 17.5% drop in deliveries year over year. Parts and Financial Services segments showed resilience, but organic growth was weak, and profitability declined despite some geographic strength. With analysts forecasting further declines and PCAR stock trading at a premium to peers, I maintain a slightly bearish stance. Read the full article on Seeking Alpha
PNR
US$63.02
Pentair
7D
-2.0%
1Y
-39.2%
Narrative Update • Jul 20

PNR: Pool Destocking Reset Will Set Up 2027 Recovery Potential

Pentair's updated analyst price target has moved lower from about $101 to roughly $82, as analysts factor in reduced revenue growth assumptions, slightly softer profit margins, and a lower future P/E multiple following the company's guidance cut, pool channel destocking, and recent management changes. Analyst Commentary Street research on Pentair is mixed, with many firms cutting price targets and several shifting ratings lower after the guidance reset, pool channel destocking, and management turnover.
ITW
US$273.93
Illinois Tool Works
7D
0.9%
1Y
4.1%
Seeking Alpha • Jul 16

Illinois Tool Works: Growth Could Justify The Premium Valuation

Summary Illinois Tool Works is rated Hold due to a premium valuation not justified by its below-sector growth profile. Recovery in the semiconductor market and the Customer-Back Innovation (CBI) program are expected to drive FY2026 net sales growth. Margin expansion is supported by the 80/20 program and Product Line Simplification, with management targeting 100 bps improvement in FY2026. ITW trades at a 23.95x P/E, a 56.68% PEG premium to peers, while forward revenue and EBITDA growth lag sector medians by ~60%. Read the full article on Seeking Alpha
CMI
US$660.75
Cummins
7D
-0.8%
1Y
82.5%
Narrative Update • Jul 16

CMI: Data Center Prime Power Awards Will Support Multiyear Earnings Upside

The analyst fair value estimate for Cummins has been adjusted to $901 from $874. This change reflects Street research that points to stronger demand trends, expanded power opportunities, and supportive truck and infrastructure end markets across upcoming earnings periods.
DE
US$607.33
Deere
7D
3.0%
1Y
17.9%
Narrative Update • Jul 15

DE: AI Precision Investment And Tariff Relief Will Support Future Upside

Analysts have raised their price targets on Deere, increasing fair value estimates from $759.00 to about $803.77. This shift is supported by expectations for steadier margins, a slightly lower discount rate, modestly higher future P/E assumptions, and generally constructive sector research.
FTV
US$60.25
Fortive
7D
-0.4%
1Y
17.9%
LECO
US$249.17
Lincoln Electric Holdings
7D
-1.6%
1Y
10.5%
PH
US$970.77
Parker-Hannifin
7D
1.9%
1Y
33.3%
Narrative Update • Jul 06

PH: Future Upside Will Rely On Dividend Strength And Filtration Expansion

Analysts have lifted their price target for Parker-Hannifin to about $1,259 from roughly $1,168, citing updated assumptions around slightly higher revenue growth, a revised discount rate, a modestly lower profit margin, and a higher future P/E multiple. What’s in the News for Parker-Hannifin Parker-Hannifin has raised its dividend every year since 1956, reaching a streak of 70 consecutive fiscal years, according to recent coverage.
XYL
US$116.14
Xylem
7D
-4.4%
1Y
-11.9%
IR
US$83.54
Ingersoll Rand
7D
5.6%
1Y
-3.8%