Fortive (NYSE:FTV) has recently sustained a 12% decline in its share price over the last week. This comes amid two key announcements: the appointment of Mark D. Okerstrom as Senior Vice President and the affirmation of a regular quarterly dividend of $0.08 per share. These developments, while significant, occurred during a period of substantial market turmoil, primarily due to President Trump's introduction of tariffs that led the Dow Jones to plummet 7.9%, while the S&P 500 dropped 9.1%. This widespread bear market pressure likely played a substantial role in Fortive's recent share performance.
Buy, Hold or Sell Fortive? View our complete analysis and fair value estimate and you decide.
The past five years have seen Fortive's total shareholder return reach 28.28%. During this period, the company embarked on numerous initiatives to enhance its market position and optimize shareholder returns. A significant development was the planned spin-off of the Precision Technologies segment into Ralliant, set to occur in the third quarter of 2025. This move is aimed at unlocking long-term value and focusing resources. Fortive's commitment to innovation also played a crucial role, with the launch of AI-based products supporting market share expansion in sectors like energy storage. Additionally, Fortive executed a share repurchase program, buying back approximately 6.2 million shares for US$465.06 million, which supported EPS growth.
Relative to the market and the US Machinery industry, Fortive faced challenges. Its earnings growth of 11.1% per year over the past five years contrasts with a negative earnings growth (-3.8%) over the past year. In comparison to the last year, Fortive's one-year return underperformed both the US Market and the US Machinery industry. Despite these hurdles, analysts have shown confidence with future predictions, expecting continued earnings growth outpacing the broader market.
Take a closer look at Fortive's potential here in our financial health report.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com