Lodge Hill Capital Fully Exits Terex Stake
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Should l Buy TEX?
Source: Fool
- Stake Change: Lodge Hill Capital disclosed on February 17, 2026, that it fully liquidated its position in Terex, selling 529,450 shares valued at approximately $27.16 million, indicating a cautious outlook on the company's future performance.
- Market Performance: Despite Terex's stock rising 67% over the past year to $67.76 per share, significantly outperforming the S&P 500's 17% increase, Lodge Hill's exit may reflect concerns over market volatility, particularly as the company undergoes a structural transformation.
- Financial Overview: Terex reported total sales of $5.4 billion for fiscal year 2025, with adjusted EPS of $4.93 and free cash flow of $325 million, representing a 147% conversion rate, showcasing strong financial health, yet future profitability remains uncertain.
- Strategic Risks: As the REV merger progresses, Terex's earnings structure is being reshaped; although management anticipates sales of $7.5 billion to $8.1 billion in 2026, integration risks, tariff exposure, and industrial cycle fluctuations could impact the company's long-term performance.
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Analyst Views on TEX
Wall Street analysts forecast TEX stock price to fall
5 Analyst Rating
2 Buy
2 Hold
1 Sell
Hold
Current: 66.540
Low
56.00
Averages
62.70
High
72.00
Current: 66.540
Low
56.00
Averages
62.70
High
72.00
About TEX
Terex Corporation is a global industrial equipment manufacturer of materials processing machinery, waste and recycling solutions, mobile elevating work platforms, and equipment for the electric utility industry. Its segments include Materials Processing (MP), Aerial Work Platforms (AWP) and Environmental Solutions Group (ESG). MP designs, manufactures, services and markets materials processing and specialty equipment, including crushers, washing systems, screens, trommels, apron feeders, material handlers, and includes Franna pick and carry cranes business. AWP designs, manufactures, services and markets aerial work platform equipment, utility equipment and telehandlers and their related components and replacement parts. ESG designs, manufactures, services and markets waste and recycling equipment and solutions, including refuse collection bodies, hydraulic cart lifters, automated carry cans, compaction, balers and recycling equipment, and cameras with integrated smart technology.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Lodge Hill Capital Fully Exits Terex Stake
- Stake Change: Lodge Hill Capital disclosed on February 17, 2026, that it fully liquidated its position in Terex, selling 529,450 shares valued at approximately $27.16 million, indicating a cautious outlook on the company's future performance.
- Market Performance: Despite Terex's stock rising 67% over the past year to $67.76 per share, significantly outperforming the S&P 500's 17% increase, Lodge Hill's exit may reflect concerns over market volatility, particularly as the company undergoes a structural transformation.
- Financial Overview: Terex reported total sales of $5.4 billion for fiscal year 2025, with adjusted EPS of $4.93 and free cash flow of $325 million, representing a 147% conversion rate, showcasing strong financial health, yet future profitability remains uncertain.
- Strategic Risks: As the REV merger progresses, Terex's earnings structure is being reshaped; although management anticipates sales of $7.5 billion to $8.1 billion in 2026, integration risks, tariff exposure, and industrial cycle fluctuations could impact the company's long-term performance.
See More
Lodge Hill Capital Fully Exits Terex Position
- Position Change: Lodge Hill Capital sold 529,450 shares of Terex in Q4, resulting in a $27.16 million decrease in the position's quarter-end value, indicating a waning confidence in the stock.
- Asset Management Ratio: Previously, Terex accounted for approximately 4.85% of the fund's assets under management, and the complete exit suggests a reevaluation of risk and return within the fund's investment strategy.
- Financial Performance: Terex reported full-year 2025 sales of $5.4 billion with adjusted EPS of $4.93, demonstrating strong market demand, although the fund's exit may impact short-term stock performance.
- Market Outlook: While Terex is undergoing a structural shift with management projecting 2026 sales of $7.5 billion to $8.1 billion, the fund's exit may reflect concerns over cyclical risks in the industry.
See More
Terex Corporation Q4 2025 Earnings Call Insights
- Merger Milestone: The merger with REV Group is viewed as a defining milestone in Terex's transformation, with REV generating approximately $2.5 billion in revenue and $230 million in adjusted EBITDA in the last fiscal year, enhancing Terex's leadership in specialty equipment manufacturing.
- Synergy Expectations: Management anticipates realizing half of the $75 million run-rate synergies within the next 12 months, with full realization expected by 2028, which will significantly improve operational efficiency and profitability.
- Strong Financial Performance: Total net sales for Q4 2025 reached $1.3 billion, a 6% year-over-year increase, with an operating margin of 9.3%, up 150 basis points from the previous year, reflecting robust performance across all business segments and sustained growth potential.
- Optimistic 2026 Outlook: The company expects sales to grow approximately 5% in 2026, reaching between $7.5 billion and $8.1 billion, with EBITDA projected to increase by about $100 million to between $930 million and $1 billion, indicating strong market demand and solid profitability.
See More
Terex Shares Surge 17% After Strong Quarterly Results and Positive 2026 Guidance
- Quarterly Sales Growth: Terex reported fourth-quarter net sales of $1.318 billion, up from $1.241 billion a year earlier and exceeding the consensus estimate of $1.3 billion, indicating strong demand and execution in the heavy equipment market.
- Profitability Improvement: Adjusted earnings per share rose to $1.12, significantly up from $0.77 a year ago and surpassing Wall Street's expectation of $1.11, reflecting the company's success in cost control and efficiency enhancements.
- Strong Orders: Fourth-quarter bookings climbed 32% year-over-year to $1.9 billion, with a book-to-bill ratio of 145%, indicating robust growth potential and market confidence for the company in the coming years.
- Optimistic 2026 Outlook: Terex expects 2026 sales between $7.5 billion and $8.1 billion, with EBITDA projected at $930 million to $1 billion, showcasing significant profit growth and market expansion following the REV merger.
See More
Diodes Reports Strong Quarterly Earnings, Shares Surge
- Earnings Beat: Diodes reported an adjusted EPS of 34 cents, surpassing market expectations of 32 cents, indicating strong profitability that boosts investor confidence.
- Sales Growth: The company's quarterly sales reached $391.578 million, exceeding the anticipated $385.560 million, suggesting sustained demand for its products that could drive future revenue growth.
- Stock Surge: Diodes shares jumped 31.8% to $81.32 on Wednesday, reflecting a positive market reaction to its earnings report, which may attract more investor interest.
- Market Performance: U.S. stocks were slightly higher, with the Dow Jones gaining around 0.1% on Wednesday, indicating cautious optimism about the economic outlook that could provide a favorable environment for other companies.
See More
Terex Reports Strong Q4 Earnings, Shares Surge 13%
- Earnings Growth: Terex's Q4 sales increased by 8%, meeting market expectations, while adjusted earnings per share surpassed analysts' consensus, reflecting the company's strong financial performance.
- Booking Surge: The company experienced a remarkable 32% growth in bookings during Q4, providing robust support for future performance, with management guiding for a 12% increase in adjusted EBITDA to $965 million by 2026.
- Acquisition Integration: Terex successfully integrated its $2 billion Environmental Solutions Group (ESG) acquisition, adding garbage collection vehicles and waste compaction equipment, which helps reduce overall business cyclicality.
- Strategic Transformation: As Terex plans to divest its cyclical aerials and cranes business, it is expected that 70% of future sales will come from emergency vehicles and utility equipment in non-discretionary industries, enhancing revenue stability.
See More
Lodge Hill Capital Fully Exits Terex Stake
- Stake Change: Lodge Hill Capital disclosed on February 17, 2026, that it fully liquidated its position in Terex, selling 529,450 shares valued at approximately $27.16 million, indicating a cautious outlook on the company's future performance.
- Market Performance: Despite Terex's stock rising 67% over the past year to $67.76 per share, significantly outperforming the S&P 500's 17% increase, Lodge Hill's exit may reflect concerns over market volatility, particularly as the company undergoes a structural transformation.
- Financial Overview: Terex reported total sales of $5.4 billion for fiscal year 2025, with adjusted EPS of $4.93 and free cash flow of $325 million, representing a 147% conversion rate, showcasing strong financial health, yet future profitability remains uncertain.
- Strategic Risks: As the REV merger progresses, Terex's earnings structure is being reshaped; although management anticipates sales of $7.5 billion to $8.1 billion in 2026, integration risks, tariff exposure, and industrial cycle fluctuations could impact the company's long-term performance.
See More
Lodge Hill Capital Fully Exits Terex Position
- Position Change: Lodge Hill Capital sold 529,450 shares of Terex in Q4, resulting in a $27.16 million decrease in the position's quarter-end value, indicating a waning confidence in the stock.
- Asset Management Ratio: Previously, Terex accounted for approximately 4.85% of the fund's assets under management, and the complete exit suggests a reevaluation of risk and return within the fund's investment strategy.
- Financial Performance: Terex reported full-year 2025 sales of $5.4 billion with adjusted EPS of $4.93, demonstrating strong market demand, although the fund's exit may impact short-term stock performance.
- Market Outlook: While Terex is undergoing a structural shift with management projecting 2026 sales of $7.5 billion to $8.1 billion, the fund's exit may reflect concerns over cyclical risks in the industry.
See More
Terex Corporation Q4 2025 Earnings Call Insights
- Merger Milestone: The merger with REV Group is viewed as a defining milestone in Terex's transformation, with REV generating approximately $2.5 billion in revenue and $230 million in adjusted EBITDA in the last fiscal year, enhancing Terex's leadership in specialty equipment manufacturing.
- Synergy Expectations: Management anticipates realizing half of the $75 million run-rate synergies within the next 12 months, with full realization expected by 2028, which will significantly improve operational efficiency and profitability.
- Strong Financial Performance: Total net sales for Q4 2025 reached $1.3 billion, a 6% year-over-year increase, with an operating margin of 9.3%, up 150 basis points from the previous year, reflecting robust performance across all business segments and sustained growth potential.
- Optimistic 2026 Outlook: The company expects sales to grow approximately 5% in 2026, reaching between $7.5 billion and $8.1 billion, with EBITDA projected to increase by about $100 million to between $930 million and $1 billion, indicating strong market demand and solid profitability.
See More
Terex Shares Surge 17% After Strong Quarterly Results and Positive 2026 Guidance
- Quarterly Sales Growth: Terex reported fourth-quarter net sales of $1.318 billion, up from $1.241 billion a year earlier and exceeding the consensus estimate of $1.3 billion, indicating strong demand and execution in the heavy equipment market.
- Profitability Improvement: Adjusted earnings per share rose to $1.12, significantly up from $0.77 a year ago and surpassing Wall Street's expectation of $1.11, reflecting the company's success in cost control and efficiency enhancements.
- Strong Orders: Fourth-quarter bookings climbed 32% year-over-year to $1.9 billion, with a book-to-bill ratio of 145%, indicating robust growth potential and market confidence for the company in the coming years.
- Optimistic 2026 Outlook: Terex expects 2026 sales between $7.5 billion and $8.1 billion, with EBITDA projected at $930 million to $1 billion, showcasing significant profit growth and market expansion following the REV merger.
See More
Diodes Reports Strong Quarterly Earnings, Shares Surge
- Earnings Beat: Diodes reported an adjusted EPS of 34 cents, surpassing market expectations of 32 cents, indicating strong profitability that boosts investor confidence.
- Sales Growth: The company's quarterly sales reached $391.578 million, exceeding the anticipated $385.560 million, suggesting sustained demand for its products that could drive future revenue growth.
- Stock Surge: Diodes shares jumped 31.8% to $81.32 on Wednesday, reflecting a positive market reaction to its earnings report, which may attract more investor interest.
- Market Performance: U.S. stocks were slightly higher, with the Dow Jones gaining around 0.1% on Wednesday, indicating cautious optimism about the economic outlook that could provide a favorable environment for other companies.
See More
Terex Reports Strong Q4 Earnings, Shares Surge 13%
- Earnings Growth: Terex's Q4 sales increased by 8%, meeting market expectations, while adjusted earnings per share surpassed analysts' consensus, reflecting the company's strong financial performance.
- Booking Surge: The company experienced a remarkable 32% growth in bookings during Q4, providing robust support for future performance, with management guiding for a 12% increase in adjusted EBITDA to $965 million by 2026.
- Acquisition Integration: Terex successfully integrated its $2 billion Environmental Solutions Group (ESG) acquisition, adding garbage collection vehicles and waste compaction equipment, which helps reduce overall business cyclicality.
- Strategic Transformation: As Terex plans to divest its cyclical aerials and cranes business, it is expected that 70% of future sales will come from emergency vehicles and utility equipment in non-discretionary industries, enhancing revenue stability.
See More
