Titan International: Shares Are Cheap, But Risks Persist
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Daniel JonesInvesting Group LeaderFollow5ShareSavePlay(10min)CommentsSummaryTitan International remains rated a 'Hold' due to ongoing industry headwinds despite recent share price decline and improved valuation.The recent revenue uptick was driven by strength in Earthmoving/Construction and Agricultural segments, though the Consumer segment continues to struggle.Management projects Q4 EBITDA of $10 million, implying 2025 EBITDA of $100.8 million, down from $128.1 million last year.Despite attractive valuation multiples, persistent margin compression, weak cash flows, and sector risks warrant a cautious stance on TWI. Maksim Safaniuk/iStock via Getty Images About three months ago, in September, I decided to take a fresh look at Titan International (TWI) to see whether the company deserved an upgrade. Unfortunately, the firm had multiple struggles at the time, including ongoing margin compression and revenue declinesThis article was written byDaniel Jones35.98K FollowersFollowDaniel is an avid and active professional investor. He runs Crude Value Insights, a value-oriented newsletter aimed at analyzing the cash flows and assessing the value of companies in the oil and gas space. His primary focus is on finding businesses that are trading at a significant discount to their intrinsic value by employing a combination of Benjamin Graham's investment philosophy and a contrarian approach to the market and the securities therein. Learn more.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Recommended For You