Analyst Consensus ?
ConsensusHold20 ratings
Bullish630.0%
Neutral1470.0%
Bearish00.0%
Graco Inc. · GGG · FY2026 Q1 · Calendar Q2 2026
Graco: Industrial bookings improve as organic sales decline
Graco's Q1 evidence is mixed: industrial bookings, semiconductor demand, acquisitions, and pricing supported the business, but organic revenue declined and contractor weakness, tariffs, and margin pressure remain material offsets. The maintained guidance depends on backlog conversion and a stronger second half.
Reported After market closeNYSEIndustrials
$11.22B market cap
90quality score
Earnings scorecard
Reported versus consensus
Reported EPS
$0.66
Consensus $0.74
EPS surprise
-11.1%
Reported versus consensus
Reported revenue
$540.1M
Consensus $560.6M
Revenue surprise
-3.7%
Reported versus consensus
Market reaction
event-close to next-session close
Stock move
-3.9%
Event window
SPY move
-0.4%
Same window
Abnormal move
-3.6%
Stock minus SPY
Volume
2.5×
Versus trailing sessions
Subsequent drift
-8.4%
Up to 20 sessions
GGGSPY benchmark
Ask FN2 about GGG FY2026 Q1
Transcript, numbers and history already loaded
Why did GGG fall 3.9% after missing EPS estimates in FY2026 Q1?What changed in GGG's guidance and outlook in FY2026 Q1?Give me the bull and bear case for GGG after FY2026 Q1 earnings.
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Transcript intelligence
What changed
The quarter added evidence of a split operating picture: industrial bookings rose mid-single digits and semiconductor demand was strong, while organic sales fell 6%, the contractor segment remained soft, and gross margin declined 60 basis points. Management also quantified tariff impact at $7 million and outlined higher facility-expansion spending.
Guidance delta
Management maintained its 2026 low single-digit organic revenue growth guidance and expects a stronger second half.
Key takeaways
- Q1 sales rose 2% overall, while organic revenue declined 6%.
- Industrial bookings increased by mid-single digits and semiconductor demand remained strong, while the contractor segment was soft.
- Gross margin declined 60 basis points amid lower volume, mix, and tariff costs; pricing actions are mitigating pressure.
- Management maintained 2026 low single-digit organic growth guidance and expects a stronger second half.
- Full-year capex is targeted at $90–100 million, including roughly $50 million for facility expansions, alongside continued M&A activity.
Management priorities
- Convert industrial bookings and backlog into revenue
- Launch new contractor products in Q2
- Advance facility expansion projects
- Pursue disciplined M&A in industrial and contractor segments
- Use the capital-allocation framework to fund internal growth and maintain the dividend
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Analyst 52W Price Targets
$69.28Previous close
$77Low
$90.17Average
$100High
Latest persisted target per named analyst; persisted previous close from FN2's market snapshot as of Oct 23, 2026. Not an FN2 forecast.
Firm-level rating actions
FMP grade actions identify the grading firm, not a named analyst.
| Firm | Rating | Prior rating | Action | Date |
|---|---|---|---|---|
| RBC Capital | Outperform | Outperform | Maintain | Oct 14, 2026 |
| DA Davidson | Neutral | Neutral | Maintain | Jul 27, 2026 |
| Wolfe Research | Peer Perform | Outperform | Downgrade | Jul 9, 2026 |
| Baird | Neutral | Neutral | Maintain | Apr 24, 2026 |
| Jefferies | Buy | Buy | Maintain | Jan 28, 2026 |
| Goldman Sachs | Neutral | Neutral | Maintain | Jul 10, 2023 |
| Seaport Global | Buy | Neutral | Upgrade | Feb 2, 2023 |
| Morgan Stanley | Equal Weight | Equal Weight | Maintain | Jun 9, 2022 |
| William Blair | Outperform | Market Perform | Upgrade | Dec 2, 2021 |
| B. Riley FBR | Neutral | Neutral | Maintain | May 5, 2018 |
| B. Riley Securities | Neutral | Neutral | Maintain | Jan 31, 2018 |
| Deutsche Bank | Buy | Hold | Upgrade | Jan 23, 2018 |
| Wunderlich Securities | Hold | Buy | Downgrade | Feb 1, 2017 |
| Wunderlich | Hold | Buy | Downgrade | Feb 1, 2017 |
| SunTrust Robinson Humphrey | Neutral | Buy | Downgrade | Apr 14, 2016 |
| Sidoti & Co. | Neutral | Buy | Downgrade | Apr 4, 2016 |
| BMO Capital | Market Perform | Market Perform | Maintain | Apr 24, 2015 |
| Oppenheimer | Outperform | Market Perform | Upgrade | Oct 13, 2014 |
| Janney Montgomery Scott | Neutral | Buy | Downgrade | Apr 15, 2013 |
| Janney Capital | Neutral | Buy | Downgrade | Apr 15, 2013 |
Named analyst price targets
Upside is calculated against the persisted previous close $69.28. FMP does not supply a rating on these named-analyst rows.
| Firm | Analyst | 52W target | Price when posted | Upside | Date |
|---|---|---|---|---|---|
| RBC Capital | Deane Dray | $96 | $79.58 | +38.6% | Jul 24, 2026 |
| Robert W. Baird | Analyst unavailable | $94 | $77.75 | +35.7% | Jul 24, 2026 |
| RBC Capital | Deane Dray | $92 | $75.5 | +32.8% | Jul 16, 2026 |
| RBC Capital | Deane Dray | $95 | $81.7 | +37.1% | Apr 24, 2026 |
| Robert W. Baird | Analyst unavailable | $92 | $82.18 | +32.8% | Apr 24, 2026 |
| Seaport Global | Analyst unavailable | $100 | $87.4 | +44.3% | Jan 29, 2026 |
| RBC Capital | Deane Dray | $100 | $87.65 | +44.3% | Jan 28, 2026 |
| Robert W. Baird | Analyst unavailable | $96 | $87.65 | +38.6% | Jan 28, 2026 |
| Robert W. Baird | Michael Halloran | $89 | $81.67 | +28.5% | Oct 24, 2025 |
| D.A. Davidson | Matt Summerville | $85 | $84.17 | +22.7% | Jan 31, 2025 |
| RBC Capital | Deane Dray | $97 | $83.74 | +40.0% | Jan 3, 2025 |
| RBC Capital | Deane Dray | $103 | $79.04 | +48.7% | Jun 27, 2024 |
| RBC Capital | Deane Dray | $110 | $91.19 | +58.8% | Apr 4, 2024 |
| RBC Capital | Analyst unavailable | $77 | $69.48 | +11.1% | Nov 14, 2022 |
| RBC Capital | Analyst unavailable | $79 | $63.27 | +14.0% | Apr 29, 2022 |
Track every rating change on GGG the moment it posts. Free to start.
Start freeCompany context
Snapshot as of publicationGraco Inc., a Minneapolis, Minnesota-based company established in 1926, specializes globally in the engineering, production, and distribution of sophisticated systems and apparatus. These solutions are designed for the precise handling, measurement, regulation, discharge, and application of diverse fluid and powder materials worldwide. Within its Industrial segment, Graco provides specialized proportioning systems for applying polyurethane foam and polyurea coatings. This division also supplies machinery for the precise pumping, metering, mixing, and dispensing of sealants, adhesives, and composite materials. Further offerings include gel-coat equipment, chop and wet-out systems, resin transfer molding solutions, various applicators, and advanced precision dispensing tools. The segment's portfolio also encompasses liquid finishing equipment, paint circulation and supply pumps, sophisticated paint circulating control systems, and plural component coating proportioners.…
Historical context
All GGG earningsIndustrials peers this season
Latest reports in the same sector| Company | Quarter | EPS surprise | Market move | Headline |
|---|---|---|---|---|
| BE Bloom Energy Corporation | FY2026 Q3 · Calendar Q4 2026 | +36.0% | -8.7% | Bloom Energy Raises Outlook as AI Power Demand Drives Expansion |
| SNA Snap-on Incorporated | FY2026 Q3 · Calendar Q4 2026 | -5.9% | -3.4% | Snap-on: C&I strength offsets organic sales pressure in Q3 |
| HON Honeywell International Inc. | FY2026 Q3 · Calendar Q4 2026 | +4.6% | +1.7% | Honeywell Raises 2026 Outlook as Backlog and Forge Support Growth |
| LMT Lockheed Martin Corporation | FY2026 Q3 · Calendar Q4 2026 | +6.0% | +7.0% | Lockheed Martin: backlog and guidance rise, with execution risks |
| NSC Norfolk Southern Corporation | FY2026 Q3 · Calendar Q4 2026 | +4.6% | +3.1% | Norfolk Southern posts strong Q3 as capex outlook rises |
| POOL Pool Corporation | FY2026 Q3 · Calendar Q4 2026 | +1.2% | +14.4% | POOL: Q3 growth held up as freight costs pressured margins |
Latest beats and misses
Who reports nextBeat on EPS
- DECKFY2027 Q2 · October 22, 2026+13.4% EPS-0.2% move
- OMCFY2026 Q3 · October 22, 2026+2.2% EPS+2.6% move
- SSNCFY2026 Q3 · October 22, 2026+0.6% EPS+2.8% move
- BEFY2026 Q3 · October 22, 2026+36.0% EPS-8.7% move
- ROPFY2026 Q3 · October 22, 2026+1.7% EPS+9.7% move
- BPOPFY2026 Q3 · October 22, 2026+5.8% EPS-2.8% move
Missed on EPS
- SNAFY2026 Q3 · October 22, 2026-5.9% EPS-3.4% move
- SPOTFY2026 Q3 · October 22, 2026-11.6% EPS+11.1% move
- VRSNFY2026 Q3 · October 22, 2026-2.0% EPS-0.9% move
- HBANMFY2026 Q3 · October 22, 2026-5.3% EPS+0.5% move
- HBANPFY2026 Q3 · October 22, 2026-5.3% EPS0.0% move
- PCGFY2026 Q3 · October 22, 2026-0.8% EPS-1.3% move
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Sources
- Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
- FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
- Polygon adjusted daily market bars · 2026-10-23T12:20:44.094064+00:00
- Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-23T12:20:44.091249+00:00
Methodology
Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.
Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.
Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.
By FN2 Research · Updated · As of 2026-10-23. For educational purposes only; not investment advice.