IDEX (IEX) leadership emphasized the value of its 80/20 operating model, integrated growth strategy, and multi-year pivot toward advantaged markets, Oppenheimer said in a note emailed Wednesday, following investor meetings with company executives.
The brokerage remains bullish on Health & Science Technologies-led outgrowth expected over the near-to-medium term and a mix-accretive top-line rebound in Fluid & Metering Technologies and Fire & Safety/Diversified Products segments, according to the note.
IDEX's growth strategy and its success is most prominent in HST positioning and runway, the note added. For FMT segment, Oppenheimer sees a growth inflection, given favorable short-cycle trends and strong Water platform growth. In FSDP, the company should benefit from ongoing BAND-IT strength and the North American firetruck refresh cycle, the brokerage added.
Oppenheimer expects share repurchases of approximately $75 million each quarter over the near-term, with potential re-acceleration of tuck-in/bolt-on acquisitions during 2027.
The brokerage raised its 2026 and 2027 EPS estimates to $8.85 and $9.95 from $8.82 and $9.85, respectively.
Oppenheimer kept an outperform rating on IDEX and raised its price target to $270 per share from $265.
Price: $226.02, Change: $+0.36, Percent Change: +0.16%