Dover Corporation
DOV
$207.07
+0.20%
Dover Corporation is a diversified industrial manufacturer that designs and produces highly engineered components and equipment across five segments: Clean Energy & Fueling, Climate & Sustainability Technologies, Engineered Products, Imaging & Identification, and Pumps & Process Solutions. The company has built a strong market position through decades of strategic acquisitions, creating a portfolio of trusted brands that serve a wide range of end markets, including vehicle repair, aerospace, food and beverage, and energy. Currently, the investor narrative centers on Dover's ability to sustain mid-single-digit organic growth while expanding margins through operational excellence and portfolio optimization, with recent attention on its exposure to clean energy and sustainability trends. The stock has also been supported by consistent dividend payments and a series of analyst reiterations, though it faces cyclical headwinds in certain industrial end markets.…
DOV
Dover Corporation
$207.07
Related headlines
Investment Opinion: Should I buy DOV Today?
We rate Dover as a Buy, given its strong revenue growth, improving margins, and reasonable forward valuation. The average analyst target of $247.56 implies a 17.4% upside, and the consensus is 'Buy', supporting a positive outlook. The thesis is that Dover's diversified portfolio and focus on clean energy will drive sustained mid-single-digit organic growth, leading to earnings growth that justifies the forward PE.
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DOV 12-Month Price Forecast
The AI assessment is bullish with medium confidence, as Dover's growth and valuation metrics are favorable. However, the negative PEG ratio and recent price underperformance warrant caution. If revenue growth continues to accelerate and margins expand, the stock could outperform. Conversely, any signs of deceleration would lead to a downgrade to neutral. Key monitoring points include quarterly earnings, segment performance, and macro indicators.
Wall Street consensus
Most Wall Street analysts maintain a constructive view on Dover Corporation's 12-month outlook, with a consensus price target around $246.72 and implied upside of +19.1% versus the current price.
Average Target
$246.72
0 analysts
Implied Upside
+19.1%
vs. current price
Analyst Count
—
covering this stock
Price Range
$168 - $288
Analyst target range
The target price range spans from a low of $168.00 to a high of $288.00, indicating a wide dispersion of expectations. The high target of $288.00 suggests that some analysts see significant upside potential, possibly driven by accelerated growth in clean energy and sustainability markets, as well as continued margin expansion. The low target of $168.00 implies a downside risk of about 20%, which could be triggered by a cyclical downturn in industrial end markets or execution issues. Recent institutional ratings have been stable, with no major downgrades, and the last action was Morgan Stanley reiterating Equal Weight on June 4, 2026, while Wells Fargo upgraded from Equal Weight to Overweight on March 17, 2026, indicating a slightly positive tilt in sentiment.
Bulls vs Bears: DOV Investment Factors
Dover presents a balanced risk-reward profile with strong revenue growth, solid margins, and a reasonable forward valuation, supported by a Buy consensus and significant analyst upside. However, recent price underperformance, cyclical exposure, and a negative PEG ratio highlight risks. The bull case is currently stronger, driven by accelerating growth and margin expansion, but the key tension is whether the company can sustain its 10% revenue growth and improve margins to justify the forward PE. If growth decelerates, the stock could face de-rating, while continued execution could lead to re-rating toward the high target.
Bullish
- Strong Revenue Acceleration: Q1 2026 revenue grew 10.05% YoY to $2.05B, up from $1.87B in Q1 2025, marking a steady acceleration over recent quarters. This broad-based growth is led by Clean Energy & Fueling ($554.8M) and Pumps & Process Solutions ($537.8M), indicating strong demand across key segments.
- Attractive Forward Valuation: With a forward PE of 18.12x versus trailing PE of 24.50x, the market expects significant earnings growth. This forward multiple is reasonable for a diversified industrial with a 10% revenue growth rate, suggesting the stock is not overvalued if growth materializes.
- Solid Profitability and Margins: Operating margin improved to 16.97% (TTM) and net margin is 13.52%, reflecting efficient cost management. Gross margin of 39.77% is stable, and Q1 2026 operating income rose to $305.9M, up from $296.3M in Q1 2025, showing operational leverage.
- Analyst Upside and Buy Consensus: The average analyst target of $247.56 implies a 17.4% upside from the current price of $210.84, with a high target of $288.00. The consensus recommendation is 'Buy' (mean 1.61), and recent actions include a Wells Fargo upgrade to Overweight, indicating positive sentiment.
Bearish
- Recent Price Weakness and Underperformance: The stock has declined 5.73% over the past 6 months and 4.09% over 3 months, underperforming the S&P 500 by 17.02% and 8.28% respectively. This relative weakness suggests fading momentum and potential investor concerns about near-term growth.
- High Valuation Relative to Growth: Despite a forward PE of 18.12x, the PEG ratio is negative (-0.41) due to expected earnings decline in the near term, indicating the stock may be expensive relative to its growth prospects. The trailing PE of 24.50x is above the market average, leaving limited margin of safety.
- Cyclical End-Market Exposure: Dover's segments serve cyclical industries like energy, aerospace, and vehicle repair, which are sensitive to economic downturns. A slowdown in industrial production could pressure revenue and margins, as seen in the 15.58% max drawdown over the past year.
- Potential Earnings Deceleration: Analyst estimates for EPS show a range of $14.07 to $14.58, but the PEG ratio is negative, implying expected earnings growth is negative. If revenue growth slows below the current 10% pace, the forward PE could expand, making the stock vulnerable to de-rating.
DOV Technical Analysis
Dover's stock is in a broad uptrend over the past year, with a 1-year price change of +20.96%, though it has pulled back from its 52-week high of $237.54. The current price of $210.84 sits at approximately 63% of the 52-week range (calculated as (210.84 - 158.97) / (237.54 - 158.97) = 65.5%), indicating it is closer to the high end but has retreated from peak levels. This positioning suggests the market still holds a constructive view, but the recent decline from the high may signal profit-taking or a consolidation phase after a strong run.
Beta
1.16
1.16x market volatility
Max Drawdown
-15.6%
Largest decline past year
52-Week Range
$159-$238
Price range past year
Annual Return
+15.4%
Cumulative gain past year
| Period | DOV Return | S&P 500 |
|---|---|---|
| 1m | -2.4% | +2.9% |
| 3m | -1.8% | +5.0% |
| 6m | -10.6% | +13.9% |
| 1y | +15.4% | +20.4% |
| ytd | +5.8% | +13.8% |
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DOV Fundamental Analysis
Dover's revenue trajectory remains positive, with the most recent quarter (Q1 2026) showing revenue of $2.05 billion, up 10.05% year-over-year. This growth is a continuation of a multi-quarter trend, with revenue rising from $1.87 billion in Q1 2025 to $2.05 billion in Q1 2026, representing a steady acceleration. The growth is broad-based, with the Clean Energy & Fueling segment leading at $554.8 million, followed by Pumps & Process Solutions at $537.8 million, while the Engineered Products segment is the smallest at $266.6 million, indicating a mix of cyclical and secular drivers.
Quarterly Revenue
$2.1B
2026-03
Revenue YoY Growth
+10.1%
YoY Comparison
Gross Margin
38.9%
Latest Quarter
Free Cash Flow
$1.1B
Last 12 Months
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
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Valuation Analysis: Is DOV Overvalued?
Given Dover's positive net income, the primary valuation metric is the price-to-earnings (PE) ratio. The trailing PE is 24.50x, while the forward PE is 18.12x, implying the market expects significant earnings growth. This gap of 6.4x suggests that analysts anticipate a substantial improvement in profitability, likely driven by margin expansion and revenue growth. The forward PE is more relevant for assessing future value, and it indicates that the stock is not excessively expensive if the growth materializes.
PE
24.5x
Latest Quarter
vs. Historical
High-End
5-Year PE Range 15x~29x
vs. Industry Avg
N/A
Industry PE ~N/A*
EV/EBITDA
15.5x
Enterprise Value Multiple
Investment Risk Disclosure
Financial risks include a moderate debt-to-equity ratio of 0.51, which is manageable but could constrain flexibility if interest rates rise. The company's net margin of 13.52% is healthy, but any margin compression from input costs or pricing pressure could impact earnings. Free cash flow of $1.14B is strong, but the payout ratio of 25.9% suggests a commitment to dividends that could limit reinvestment. Revenue concentration in cyclical segments like energy and aerospace adds earnings volatility, as seen in the 15.58% max drawdown over the past year.