Wall Street's Perspective on Trimble's Stock: Bullish or Bearish Predominance?
Trimble Inc. (TRMB) Shares Surge, Analysts Remain Cautiously Optimistic
Trimble Inc., a global technology company with a market cap of $19.7 billion, has seen its stock surge over the past 52 weeks, rising 62.5% compared to the S&P 500 Index's 20.1% rally. The company, which serves industries such as architecture, engineering, construction, logistics, and asset management worldwide, has outperformed the Technology Select Sector SPDR Fund's 29.6% return over the same period.
For the current fiscal year, ending in December 2025, analysts expect TRMB's EPS to grow 6.3% year-over-year to $2.35. The latest financial projections for Trimble Inc. for fiscal year 2025 include expected revenue between $3.48 billion and $3.56 billion, with GAAP earnings per share (EPS) forecasted at $1.55 to $1.70, and non-GAAP EPS between $2.90 and $3.06. For Q3 2025 specifically, revenue is expected to be between $850 million and $890 million with non-GAAP EPS of $0.67 to $0.75.
Analysts generally show cautious optimism with the strongest near-term confidence grounded in Trimble’s focus on subscription and software growth, improving margins, and recurring revenue generation, which accounted for roughly 75% of total revenue. The company faces challenges including longer sales cycles among large customers, slower hardware sales, macroeconomic risks like tariffs (offset by surcharges), and the transition from hardware sales to subscription models.
Regarding analyst ratings and stock outlook, price targets for TRMB range roughly from $84 to $96, with an average implied upside of about 7.9%. The consensus analyst rating most likely falls between a "moderate buy" and "buy" based on recent estimates. Trimble’s fair value is estimated near $94.75, indicating roughly a 12% potential upside compared to current trading levels. However, the key risks involve execution on software and recurring revenue growth, the pace of hardware-to-subscription migration, and macroeconomic headwinds.
On Aug. 6, shares of Trimble rose 1.7% after the company reported Q2 2025 adjusted EPS of $0.71 and revenue of $875.7 million, above forecasts. Raymond James recently raised its price target on Trimble to $93, maintaining an "Outperform" rating. As of writing, the stock is trading below the mean price target of $87.58.
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Investors should monitor execution on subscription growth and margin improvement as critical near-term drivers. With a positive financial outlook for 2025, supported by strong recurring revenue streams and strategic divestitures, Trimble's stock continues to be a focus for investors.
References:
- Trimble Q3 Revenue View Rises on Software, Recurring Revenue Growth
- Trimble Raises Annual Revenue Guidance, Lifts Adjusted EPS Outlook
- Trimble Inc. (TRMB) Q2 2022 Earnings Call Transcript
- Trimble Q3 2022 Revenue Guidance Raised on Software, Recurring Revenue Growth
- Trimble Inc. (TRMB) Q2 2022 Results - Earnings Call Transcript
- The strong focus on subscription and software growth, improving margins, and recurring revenue generation by Trimble Inc., which accounted for approximately 75% of total revenue, has sparked an optimistic outlook among analysts.
- Analysts' cautious optimism towards Trimble Inc. is reflected in the price targets for its shares, ranging from $84 to $96, with an average implied upside of around 7.9%.
