Piper Sandler Reiterates Overweight Rating on Trimble Navigation (TRMB)

Piper Sandler analyst Clarke Jeffries reiterated an Overweight rating and $73.00 price target on Trimble Navigation (NASDAQ: TRMB).

The analyst commented, "Early Sunday (9/15), Trimble announced it would divest 100% of the global Telematics business to Platform Science, a venture backed company in the fleet management & logistics space. Expected to close in the first half of 2025, the divestiture is expected to result in +150bps benefit to pro forma 2024 growth, +200bps organic ARR growth, and +100bps of EBIT/EBITDA margin. Selling the Telematics business is yet another wishlist item for investors in Trimble's transformation journey with obvious accretive benefits, however we don't believe anyone expected the announcement so soon. This transaction, on top of other moves taken by TRMB this year, continues to elevate our confidence that ARR growth & operating leverage have upside to our current $73 price-target framework: low-double digit recurring revenue growth and low-30s incremental margins from recurring revenue streams."

For an analyst ratings summary and ratings history on Trimble Navigation click here. For more ratings news on Trimble Navigation click here.

Shares of Trimble Navigation closed at $56.50 yesterday.

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