Analyst Note| Dawit Woldemariam |
Our $42 fair value estimate remains intact following Terex's third-quarter results. The company reported solid top-line growth of 12.7% year on year, thanks to strong demand across its end markets. In aerial equipment, the story was centered around the replacement cycle. Sales in the segment grew 15.7% year on year to $663 million. Average fleet ages are at elevated levels currently, creating strong demand for Terex's Genie products. The materials processing business saw sales rise 9.4% year on year to $458 million, as demand for aggregates was solid.