SPX Technologies (SPXC): Evaluating Valuation After Strong Q3 Growth in HVAC and Detection & Measurement

SPX Technologies reported third-quarter results that beat expectations, as strength in the HVAC and Detection & Measurement segments led to higher sales and profits. Management highlighted new products and recent acquisitions as key drivers.

See our latest analysis for SPX Technologies.

SPX Technologies has been on a notable run, with its share price rallying over 20% in the past month and posting a remarkable year-to-date gain of nearly 52%. While there have been no major buybacks completed recently, the company’s momentum is clearly reflected in a robust 31.8% total shareholder return over the past year. This reinforces investor optimism for both its near-term growth and long-term potential.

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Yet with shares hitting new highs after such impressive gains, the question emerges: is SPX Technologies undervalued, or has the market already priced in all its future growth?

Most Popular Narrative: 7.6% Overvalued

With SPX Technologies closing at $221.92 and the most-followed narrative estimating a fair value of $206.15, there is a notable disconnect between the current share price and what is considered justified based on analyst consensus. This gap suggests the market is pricing the company above what underlying earnings projections might support.

Expansion in data center cooling solutions, highlighted by the new OlympusV Max launch, which addresses the rapidly growing demand for energy-efficient, large-scale data center infrastructure, positions SPX to meaningfully expand its addressable market and top-line growth as hyperscale projects accelerate into 2026. This is expected to support both revenue and margin improvement due to product differentiation and high-engineering requirements.

Read the complete narrative.

What numbers could possibly back this premium? The narrative’s fair value relies on bold expansion projects, margin improvements and a valuation multiple far beyond sector averages. Eager to uncover which headline financial forecast turns heads in this growth story? Dive into the full narrative to see exactly what must go right to justify today’s price.

Result: Fair Value of $206.15 (OVERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, rapid project-driven growth and reliance on successful execution of recent acquisitions could increase earnings volatility and challenge the optimistic outlook.

Find out about the key risks to this SPX Technologies narrative.

Build Your Own SPX Technologies Narrative

If you have a different perspective or want to chart your own assumptions, the tools are ready for you to build a custom forecast in under three minutes. Do it your way.

A good starting point is our analysis highlighting 2 key rewards investors are optimistic about regarding SPX Technologies.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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