Gates Industrial (NYSE:GTES) Issues FY 2026 Earnings Guidance

Gates Industrial (NYSE:GTES) updated its FY 2026 earnings guidance on Friday. The company provided EPS guidance of 1.520-1.680 for the period, compared to the consensus EPS estimate of 1.590. The company issued revenue guidance of $3.5 billion-$3.6 billion, compared to the consensus revenue estimate of $3.6 billion.

Analyst Ratings Changes

Several research firms recently weighed in on GTES. UBS Group restated a “buy” rating and issued a $33.00 price objective on shares of Gates Industrial in a report on Friday, February 13th. Wall Street Zen upgraded Gates Industrial from a “buy” rating to a “strong-buy” rating in a report on Saturday. Morgan Stanley lifted their price objective on Gates Industrial from $25.00 to $27.00 and gave the company an “equal weight” rating in a report on Wednesday, March 11th. Robert W. Baird set a $39.00 price objective on Gates Industrial in a report on Friday, February 13th. Finally, Citigroup lifted their price objective on Gates Industrial from $27.00 to $33.00 and gave the company a “buy” rating in a report on Friday, February 13th. Six analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, Gates Industrial presently has a consensus rating of “Moderate Buy” and an average target price of $30.36.

Gates Industrial Stock Down 5.9%

GTES traded down $1.51 on Friday, hitting $24.10. The company had a trading volume of 4,461,676 shares, compared to its average volume of 1,904,514. The stock has a fifty day moving average price of $24.57 and a 200-day moving average price of $23.75. Gates Industrial has a 12-month low of $19.26 and a 12-month high of $28.47. The company has a debt-to-equity ratio of 0.61, a quick ratio of 2.42 and a current ratio of 3.37. The stock has a market capitalization of $6.14 billion, a price-to-earnings ratio of 24.84 and a beta of 1.28.

Gates Industrial (NYSE:GTES) last posted its earnings results on Friday, May 1st. The company reported $0.35 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.32 by $0.03. Gates Industrial had a return on equity of 10.36% and a net margin of 7.30%.The company had revenue of $851.10 million for the quarter, compared to analyst estimates of $859.72 million. During the same quarter in the previous year, the firm earned $0.36 earnings per share. The firm’s quarterly revenue was up .4% compared to the same quarter last year. Gates Industrial has set its FY 2026 guidance at 1.520-1.680 EPS. Analysts predict that Gates Industrial will post 1.53 EPS for the current fiscal year.

Trending Headlines about Gates Industrial

Here are the key news stories impacting Gates Industrial this week:

• Positive Sentiment: Acquisition announced — Gates agreed to buy The Timken Company’s belts business, expanding its power-transmission footprint and management says the deal should improve adjusted EBITDA margins in the Industrial Motion segment. The strategic fit and expected margin accretion are positive for medium-term profit growth. Timken to Sell Belts Business to Gates
• Positive Sentiment: EPS beat — Gates reported $0.35 EPS for Q1, above the ~$0.32 consensus, showing underlying profitability and providing some support despite revenue pressure. That beat helps justify the multiple while investors assess topline trends. Gates Industrial (GTES) Q1 Earnings Surpass Estimates
• Neutral Sentiment: Guidance roughly in line but cautious on revenue — FY‑2026 EPS was guided to $1.52–$1.68 (near Street expectations) while revenue guidance of $3.5–$3.6B sits slightly below consensus. That keeps the story intact but raises questions about near-term top-line momentum. Gates Industrial Reports First-Quarter 2026 Results
• Neutral Sentiment: Conference call / management commentary — The earnings call transcript provides more context on reasons for core revenue weakness and integration plans for the Timken belts assets; investors should watch execution details. Gates Industrial (GTES) Q1 2026 Earnings Call Transcript
• Negative Sentiment: Top-line softness and core revenue decline — Q1 net sales were $851.1M (up 0.4% YoY) but core revenue fell ~2.9% year-over-year and sales missed analyst estimates (~$859.7M). Sluggish organic growth and the revenue miss likely drove the negative stock reaction. Gates Industrial (GTES) Q1 Earnings: How Key Metrics Compare to Wall Street Estimates

Institutional Investors Weigh In On Gates Industrial

Large investors have recently modified their holdings of the business. Los Angeles Capital Management LLC purchased a new stake in shares of Gates Industrial during the fourth quarter worth about $26,000. Transamerica Financial Advisors LLC grew its stake in shares of Gates Industrial by 51.9% during the fourth quarter. Transamerica Financial Advisors LLC now owns 1,577 shares of the company’s stock worth $34,000 after acquiring an additional 539 shares during the last quarter. Northwestern Mutual Wealth Management Co. grew its stake in shares of Gates Industrial by 273.2% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,911 shares of the company’s stock worth $67,000 after acquiring an additional 2,131 shares during the last quarter. Quadrant Capital Group LLC purchased a new stake in shares of Gates Industrial during the third quarter worth about $73,000. Finally, EverSource Wealth Advisors LLC grew its stake in shares of Gates Industrial by 1,976.9% during the second quarter. EverSource Wealth Advisors LLC now owns 2,970 shares of the company’s stock worth $68,000 after acquiring an additional 2,827 shares during the last quarter. Hedge funds and other institutional investors own 98.50% of the company’s stock.

About Gates Industrial

Gates Industrial Corporation PLC (NYSE: GTES) is a leading global manufacturer of engineered power transmission belts and fluid power products. The company’s portfolio includes synchronous belts, V-belts, hose assemblies, fittings and hydraulic components designed to support a wide range of industrial and automotive applications. Gates Industrial serves sectors such as agriculture, mining, construction, manufacturing, transportation and consumer markets, offering solutions that improve performance, reliability and efficiency in demanding operating environments.

In its power transmission segment, Gates Industrial produces high-strength belts engineered for precise motion control and minimal maintenance.