GET DAILY SIGNALSHyster-Yale (HY) Posts -15.5% Revenue Drop in Q3 Despite Strong Bookings
Key Takeaways
- Hyster-Yale reported third-quarter 2026 revenue of $827.4 million, down 15.5% year over year and below consensus estimates of $926.5 million.
- Adjusted (non-GAAP) earnings per share came in at a loss of $0.77, compared with a consensus estimate of a $0.40 loss.
- Operating margin declined to negative 1.1% from positive 0.2% in the prior-year quarter, reflecting lower shipment volumes and cost pressures.
- Lift truck unit bookings rose 45% year over year to $550 million, while backlog held steady at roughly $1.6 billion.
- Management guided to positive adjusted net income in the fourth quarter, citing an expected pickup in production and shipments.
Earnings Context and Why It Matters
Hyster-Yale, Inc. is a leading designer and manufacturer of lift trucks, attachments, and related material-handling equipment sold under the Hyster and Yale brand names. Its results serve as a bellwether for industrial demand, since orders for forklifts and warehousing equipment tend to track activity in manufacturing, logistics, and e-commerce. After a prolonged cyclical downturn in 2025, investors have been watching closely for evidence that deferred fleet-replacement demand is converting into new orders. The third quarter therefore carried weight beyond headline numbers: it tested whether recent booking momentum could translate into shipments and earnings, and whether cost-cutting programs could offset tariff and inflation pressures. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Reported Results
For the third quarter of 2026, Hyster-Yale reported revenue of $827.4 million, a 15.5% decline from the prior-year period and about 10.7% below the consensus estimate of $926.5 million. Adjusted earnings per share (EPS), a non-GAAP measure that excludes certain one-time items, came in at a loss of $0.77, far below the consensus expectation of a $0.40 loss. Operating margin fell to negative 1.1%, down from positive 0.2% a year earlier, while free cash flow margin held roughly flat at 3.2%.
Beneath the weaker profit figures, demand showed meaningful improvement. Lift truck unit bookings increased 45% year over year to $550 million, marking a fourth consecutive quarter of elevated order levels compared with the cyclical low in mid-2025. Backlog remained steady at approximately $1.6 billion as production approximated shipments during the quarter. Management attributed the gap between strong orders and softer revenue to customer delivery schedules and sourcing transitions that delayed the conversion of bookings into shipments.
Market Reaction and Investor Sentiment
The stock's initial reaction to the report was muted, with shares edging lower by roughly 1.4% to around $26.75 immediately after the release. The restrained move suggests that investors had already priced in a difficult quarter, given the company's guidance and the broader tariff environment. Sentiment appeared to hinge less on the headline EPS miss and more on the forward-looking signals: a 45% jump in bookings and management's expectation of a return to positive adjusted net income in the fourth quarter. Still, the widening adjusted loss and the gap between orders and actual shipments left the market cautious about how quickly the recovery will reach the bottom line.
Forward Outlook and Key Factors to Monitor
Management's fourth-quarter outlook points to a meaningful sequential improvement. The company expects higher production and shipment volumes to drive revenue growth and improve manufacturing absorption, with gross margin benefiting from pricing, sourcing, and cost-reduction actions. Those gains are expected to be partially offset by elevated tariff-related costs on steel, components, and other imported materials, as well as competitive pricing in South America and Europe.
Investors should monitor whether booking strength converts into actual shipments, since delivery schedules and tariff-mitigation sourcing transitions have repeatedly delayed that conversion. The company's new standard and value truck offerings in the 1–3.5 ton, 4–9 ton, and Big Truck product lines are intended to broaden its addressable market and support share gains.
Cost discipline also remains central. Management expects 2026 capital expenditures of $50 million to $60 million and plans to limit 2027 spending to $40 million to $50 million to preserve cash amid a slower-than-anticipated recovery. Progress on the 2025 restructuring program, which targets $40 million to $45 million in benefits, and on manufacturing footprint optimization will be key to restoring profitability. Tariff policy shifts, particularly Section 232 and Section 301 measures, and any changes to product-specific exclusions expiring in November 2026, could materially influence margins in the quarters ahead. From what I see, these elements will determine how quickly profitability returns.
Using Tickeron’s AI Screener for Deeper Analysis
In my own research process, Tickeron’s AI Screener has become a go-to resource for quickly filtering stocks by fundamentals, technical patterns, and industry trends. It helps surface comparable names and spot relative performance without hours of manual work. I find it especially useful when evaluating names like Hyster-Yale against peers in the industrial sector, allowing me to build more focused watchlists and test ideas against broader market data.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
HY in upward trend: price may jump up because it broke its lower Bollinger Band on October 15, 2026
HY may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 31 of 39 cases where HY's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 79%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where HY's RSI Indicator exited the oversold zone, 16 of 24 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 67%.
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 43 of 64 cases where HY's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 67%.
The Momentum Indicator moved above the 0 level on November 02, 2026. You may want to consider a long position or call options on HY as a result. In 58 of 91 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 64%.
The Moving Average Convergence Divergence (MACD) for HY just turned positive on November 02, 2026. Looking at past instances where HY's MACD turned positive, the stock continued to rise in 30 of 46 cases over the following month. The odds of a continued upward trend are 65%.
Following a +3.06% 3-day Advance, the price is estimated to grow further. Considering data from situations where HY advanced for three days, in 210 of 296 cases, the price rose further within the following month. The odds of a continued upward trend are 71%.
Bearish Trend Analysis
Following a 3-day decline, the stock is projected to fall further. Considering past instances where HY declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 76%.
The Aroon Indicator for HY entered a downward trend on October 28, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Seasonality Score of 50 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is 73 (best 1 - 100 worst), indicating slightly worse than average price growth. HY’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 89 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.380) is normal, around the industry mean (2.406). P/E Ratio (-4.562) is within average values for comparable stocks, (3.598). HY's Projected Growth (PEG Ratio) (9.230) is very high in comparison to the industry average of (1.745). HY has a moderately high Dividend Yield (0.049) as compared to the industry average of (0.016). P/S Ratio (0.170) is also within normal values, averaging (1.169).
The Tickeron SMR rating for this company is 96 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is 98 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. HY’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 80, placing this stock worse than average.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Advertisement
General Information
a manufacturer of lift trucks
Industry TrucksConstructionFarmMachinery
Advertisement