Why Terex Stock Is Rocketing Higher Today

Shares of leading specialty equipment and vehicle manufacturer Terex (NYSE: TEX) are up 13% as of 11 a.m. ET on Wednesday after the company delivered fourth-quarter earnings this morning. Sales grew 8%, meeting Wall Street's expectations, while adjusted earnings per share snuck past analysts' consensus. However, the figure that stole the show was Terex's 32% booking growth in Q4. Powered by this booming backlog, management guided adjusted EBITDA to grow by 12% to $965 million in 2026, leaving the stock trading at a discounted EV/EBITDA ratio of just 6.This business momentum paints a pretty bright future for Terex, especially as the integrates its recent Environmental Solutions Group (ESG) acquisition and wraps up its REV Group purchase. The $2 billion ESG deal added garbage collection vehicles, waste compaction equipment, and aftermarket parts, helping to reduce Terex's overall business cyclicality. Meanwhile, the stock-and-cash merger with REV Group further reduces Terex's cyclicality by adding ambulances, fire trucks, and similar specialty vehicles and equipment. Following these deals, Terex will generate roughly 70% of its sales from its emergency vehicles, waste and recycling, and utilities segments, which operate in industries with government-backed or non-discretionary spending. Image source: Getty Images.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool