Ralliant (NYSE:RAL – Get Free Report) released its quarterly earnings results on Thursday. The company reported $0.68 earnings per share for the quarter, topping analysts’ consensus estimates of $0.63 by $0.05, FiscalAI reports. Ralliant had a positive return on equity of 14.97% and a negative net margin of 56.38%.The company had revenue of $567.80 million during the quarter. Ralliant updated its FY 2026 guidance to 2.760-2.900 EPS and its Q3 2026 guidance to 0.720-0.780 EPS.
Here are the key takeaways from Ralliant’s conference call:
- Q2 results exceeded guidance, with revenue up 13% year over year to $568 million, adjusted EBITDA margin expanding 390 basis points to 19.8%, and adjusted EPS rising 58% to $0.68. Both segments delivered double-digit organic growth.
- Management raised full-year 2026 guidance to revenue of $2.25 billion–$2.30 billion, adjusted EBITDA margins of 20%–21%, and adjusted EPS of $2.76–$2.90; Q3 revenue is expected at $570 million–$590 million with EPS of $0.72–$0.78.
- Demand remains strong in defense, electrification, utilities, and Test & Measurement, supported by book-to-bill above 1.1 in both segments and defense backlog exceeding $1 billion. The company is expanding manufacturing capacity, including for priority missile programs and utility sensors.
- The Enterprise Productivity Program generated $3 million of savings in Q2 and remains on track for $10 million–$12 million of in-year 2026 savings and $50 million–$60 million of annualized savings by 2028. Free cash flow was $99 million in Q2, while the company returned $161 million to shareholders in the first half.
- Management noted limited visibility in short-cycle Test & Measurement markets and expects growth to moderate after the current recovery year. Semiconductor results will also face a larger year-over-year headwind in Q3 from lapping a major 2025 customer project, while corporate costs are expected to rise to $20 million–$23 million per quarter in the second half.
Ralliant Trading Down 1.8%
RAL traded down $1.22 during midday trading on Friday, hitting $65.78. The company’s stock had a trading volume of 2,067,753 shares, compared to its average volume of 1,675,709. Ralliant has a 52-week low of $37.27 and a 52-week high of $75.41. The firm has a 50-day moving average price of $67.20 and a two-hundred day moving average price of $54.34. The company has a current ratio of 1.52, a quick ratio of 1.05 and a debt-to-equity ratio of 0.75. The firm has a market cap of $7.36 billion and a P/E ratio of -6.06.
Ralliant Dividend Announcement
Institutional Investors Weigh In On Ralliant
Several hedge funds have recently modified their holdings of the stock. Dodge & Cox increased its position in Ralliant by 13.3% during the fourth quarter. Dodge & Cox now owns 12,214,679 shares of the company’s stock worth $621,849,000 after purchasing an additional 1,434,376 shares during the last quarter. Viking Global Investors LP acquired a new position in shares of Ralliant in the 2nd quarter valued at $257,200,000. Millennium Management LLC boosted its holdings in shares of Ralliant by 172.4% in the 4th quarter. Millennium Management LLC now owns 4,973,001 shares of the company’s stock valued at $253,175,000 after purchasing an additional 3,147,660 shares during the last quarter. State Street Corp purchased a new stake in shares of Ralliant during the 2nd quarter valued at $213,096,000. Finally, Invesco Ltd. grew its stake in shares of Ralliant by 4.9% during the 4th quarter. Invesco Ltd. now owns 4,059,588 shares of the company’s stock valued at $206,674,000 after buying an additional 187,898 shares during the period.
Key Stories Impacting Ralliant
Here are the key news stories impacting Ralliant this week:
- Positive Sentiment: Quarterly results exceeded expectations: Ralliant reported second-quarter revenue of approximately $568 million, up 13% year over year, and adjusted EPS of $0.68 versus the $0.63 consensus estimate. Adjusted net earnings were $76 million, while net earnings were $57 million. Ralliant Reports Second Quarter 2026 Results and Raises Full Year Guidance
- Positive Sentiment: Full-year and third-quarter outlooks topped consensus: Ralliant guided third-quarter EPS to $0.72-$0.78 and revenue to $570 million-$590 million, above analyst estimates of $0.68 and $556.4 million, respectively. Full-year 2026 adjusted EPS guidance was raised to $2.76-$2.90 from an analyst consensus of $2.65, with revenue expected around $2.25 billion-$2.30 billion. Ralliant forecasts 2026 revenue and productivity savings
- Positive Sentiment: Cost-reduction efforts could support future margins: Ralliant’s enterprise productivity program is targeting $50 million-$60 million in annualized run-rate savings by 2028, providing a potential boost to earnings and cash flow.
- Positive Sentiment: Analysts raised targets: Citigroup increased its target to $82 and initiated a “buy” rating, Truist raised its target to $82 while reaffirming “buy,” and RBC lifted its target to $73 while maintaining a “sector perform” rating. These targets imply meaningful upside from the recent trading level. Benzinga analyst actions
- Neutral Sentiment: Trading volatility increased: RAL experienced a temporary limit-up/limit-down trading pause during the earnings session, signaling elevated short-term volatility rather than a fundamental change in the business.
- Negative Sentiment: Valuation and execution risks remain: Despite the adjusted earnings beat, investors may continue to focus on Ralliant’s reported profitability, integration or productivity-program execution, and the gap between the stock’s recent price and analyst targets.
Wall Street Analysts Forecast Growth
A number of analysts recently commented on the company. Truist Financial reiterated a “buy” rating and set a $82.00 price objective (up from $68.00) on shares of Ralliant in a research report on Friday. BMO Capital Markets began coverage on shares of Ralliant in a research note on Monday, July 20th. They set a “market perform” rating and a $78.00 price target on the stock. TD Cowen lifted their price target on shares of Ralliant from $70.00 to $80.00 and gave the stock a “buy” rating in a report on Friday. Oppenheimer boosted their price objective on shares of Ralliant from $50.00 to $65.00 and gave the company an “outperform” rating in a research report on Wednesday, May 13th. Finally, Royal Bank Of Canada upped their price objective on shares of Ralliant from $71.00 to $73.00 and gave the company a “sector perform” rating in a research note on Friday. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $75.70.
Check Out Our Latest Analysis on Ralliant
About Ralliant
Ralliant, Inc (NYSE: RAL) is a medical technology company focused on enabling point-of-care cell therapy solutions in the field of regenerative medicine. The company develops and markets systems that isolate, concentrate and store adipose-derived stromal vascular fraction (SVF) cells directly from a patient’s own fat tissue, facilitating same-day, autologous treatments without the need for extensive laboratory infrastructure.
The company’s core product portfolio includes proprietary device platforms and single-use processing kits engineered to streamline the workflow for clinicians.
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