olivLaw · US equity research
Park-Ohio Holdings Corp. PKOH
Metal Forgings & Stampings · SIC 3460 · Vertical: Fabricated metal products (SIC 34xx)
Park-Ohio is an international industrial group combining supply chain management for customers, industrial capital equipment and manufactured components. In 2026 it reported record second-quarter sales and raised its annual outlook, on demand linked to AI data centers, defense and the electrical industry. Its fiscal 2025 net sales of 1,599.1 million USD show that the industrial cycle remains an important exposure.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 05 Nov 2026, Park-Ohio Holdings Corp. (PKOH) stock was 39.61 USD (−8.94% on the day), with market capitalisation 573.1 m USD, P/E 16.1 on diluted EPS of 2.46 USD over the last 12 months, dividend yield 1.26%, beta 1.33, 52-week range 18.74–52.51 USD. Latest reported quarter (Q3 2026): revenue of 458.5 m USD (+15.0% YoY), net income of 13.7 m USD (+158.5% YoY), diluted EPS 0.96 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 29.9
- oversold (≤ 30)
- Bollinger (20, 2)
- 40.45 – 49.66
- below the lower band · %B -0.09 · band width 20.4%
- SMA 50 / 200
- 45.91 / 35.35
- mixed trend
- MACD (12, 26, 9)
- -1.15 / -0.74
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −18.6% | −5.9% | −12.7 pp | — |
| 3 months | −14.8% | −4.6% | −10.2 pp | — |
| 6 months | +28.4% | +0.2% | +28.2 pp | — |
| Year to date | +89.2% | +7.4% | +81.7 pp | — |
| 1 year | +88.0% | +8.2% | +79.8 pp | +7.8% |
| 3 years | +55.6% | +68.4% | −12.8 pp | +30.1% |
| 5 years | +55.4% | +56.5% | −1.2 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 388.4 m | 405.4 m | 400.1 m | 398.6 m | 395.0 m | 421.0 m | 440.1 m | 458.5 m |
| Cost of revenue | 323.9 m | 337.3 m | 331.9 m | 332.0 m | 326.7 m | 348.3 m | 361.2 m | 376.3 m |
| Gross profit | — | 68.1 m | 68.2 m | 66.6 m | — | 72.7 m | 78.9 m | 82.2 m |
| SG&A | 45.1 m | 48.2 m | 46.8 m | 46.5 m | 48.1 m | 51.7 m | 53.1 m | 54.2 m |
| Operating income | 14.4 m | 18.9 m | 20.1 m | 17.3 m | 10.0 m | 19.7 m | 24.5 m | 26.6 m |
| Depreciation & amortisation | 8.4 m | 8.3 m | 8.2 m | 8.3 m | 8.2 m | 8.3 m | 8.4 m | 7.7 m |
| Interest expense | 11.4 m | 11.0 m | 11.2 m | 12.5 m | 12.8 m | 12.3 m | 12.3 m | 12.2 m |
| Pre-tax income | 4.4 m | 9.7 m | 10.7 m | 4.5 m | -1.1 m | 9.5 m | 14.4 m | 16.5 m |
| Income tax | -400.0 k | 1.9 m | 1.8 m | -400.0 k | -500.0 k | 1.6 m | 2.4 m | 3.1 m |
| Net income | 500.0 k | 8.3 m | 9.2 m | 5.3 m | 1.0 m | 8.1 m | 12.1 m | 13.7 m |
| Diluted EPS | 0.04 ≈ | 0.60 | 0.66 | 0.38 | 0.07 ≈ | 0.57 | 0.86 | 0.96 |
| Capex | 9.1 m | 9.5 m | 7.4 m ≈ | 10.7 m ≈ | 12.7 m | 12.5 m | 11.0 m ≈ | 8.4 m ≈ |
| Dividends paid | 1.8 m | 1.8 m | 1.8 m ≈ | 2.4 m ≈ | 1.8 m | 1.8 m | 1.8 m ≈ | 1.8 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 57 percentile of its own 28-quarter history (min 7.2, median 13.5, max 51.8; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.7 bn | 1.6 bn | 1.2 bn | 1.3 bn | 1.5 bn | 1.7 bn | 1.7 bn | 1.6 bn |
| Revenue YoY | +17.4% | −2.4% | −28.8% | +10.8% | +16.9% | +11.2% | −0.2% | −3.4% |
| Net income | 53.6 m | 38.6 m | -4.5 m | -24.8 m | -14.2 m | 7.8 m | 31.8 m | 23.8 m |
| Net income YoY | +87.4% | −28.0% | −111.7% | unavailable | unavailable | unavailable | +307.7% | −25.2% |
| Diluted EPS | 4.28 | 3.12 | -0.37 | -2.02 | -1.16 | 0.62 | 2.40 | 1.70 |
| Diluted EPS YoY | +86.1% | −27.1% | −111.9% | unavailable | unavailable | unavailable | +287.1% | −29.2% |
| net % | 3.2% | 2.4% | -0.4% | -1.9% | -1.0% | 0.5% | 1.9% | 1.5% |
| Free cash flow | 9.7 m | 23.6 m | 49.0 m | -65.6 m | unavailable | unavailable | unavailable | unavailable |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 44.8 m USD
- Financial debt
- 8.3 m USD
- Net debt
- -36.5 m USD
- Equity
- 382.8 m USD
- Total assets
- 1.4 bn USD
- Debt / equity
- 0.02x
- Current ratio
- 2.33x
- ROE
- 6.6%
- ROA
- 1.7%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 1.2 bn | 1.3 bn | 1.5 bn | 1.7 bn | 1.7 bn | 1.6 bn | SEC (XBRL)· 05 Mar 2026verified |
| Cost of revenue | 986.8 m | 1.1 bn | 1.3 bn | 1.4 bn | 1.4 bn | 1.3 bn | SEC (XBRL)· 05 Mar 2026verified |
| Gross profit | 168.6 m | 156.1 m | 210.5 m ≈ | 271.4 m ≈ | 281.4 m ≈ | 271.2 m ≈ | SEC (XBRL)· 05 Mar 2026derived |
| SG&A | 140.2 m | 155.9 m | 162.2 m | 181.5 m | 187.4 m | 189.6 m | SEC (XBRL)· 05 Mar 2026verified |
| Operating income | 18.5 m | 16.3 m | 33.4 m | 84.1 m | 86.6 m | 66.3 m | SEC (XBRL)· 05 Mar 2026verified |
| Depreciation & amortisation | 28.2 m | 30.8 m | 30.2 m | 31.7 m | 33.6 m | 33.0 m | SEC (XBRL)· 05 Mar 2026verified |
| EBITDA | 46.7 m ≈ | 47.1 m ≈ | 63.6 m ≈ | 115.8 m ≈ | 120.2 m ≈ | 99.3 m ≈ | SEC (XBRL)· 05 Mar 2026derived |
| Interest expense | 27.6 m | 27.1 m | 33.8 m | 45.1 m | 47.4 m | 47.5 m | SEC (XBRL)· 05 Mar 2026verified |
| Pre-tax income | -1.8 m | -1.1 m | 10.7 m | 41.5 m | 44.4 m | 23.8 m | SEC (XBRL)· 05 Mar 2026verified |
| Income tax | -1.3 m | -1.0 m | -700.0 k | 8.5 m | 4.9 m | 2.8 m | SEC (XBRL)· 05 Mar 2026verified |
| Net income | -4.5 m | -24.8 m | -14.2 m | 7.8 m | 31.8 m | 23.8 m | SEC (XBRL)· 05 Mar 2026verified |
| Diluted EPS | -0.37 | -2.02 | -1.16 | 0.62 | 2.40 | 1.70 | SEC (XBRL)· 05 Mar 2026verified |
| Weighted average diluted shares | 12.1 m | 12.3 m | 12.2 m | 12.5 m | 13.2 m | 14.0 m | SEC (XBRL)· 05 Mar 2026verified |
| Dividend per share | 0.25 | 0.50 | 0.50 | 0.50 | 0.50 | 0.50 | SEC (XBRL)· 05 Mar 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Revenue − Cost of revenue; Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 55.0 m | 54.1 m | 58.2 m | 54.8 m | 53.1 m | 44.8 m | SEC (XBRL)· 05 Mar 2026verified |
| Receivables | 248.1 m | 223.6 m | 246.3 m | 263.3 m | 249.5 m | 265.0 m | SEC (XBRL)· 05 Mar 2026verified |
| Inventories | 310.9 m | 352.4 m | 406.5 m | 411.1 m | 422.9 m | 420.9 m | SEC (XBRL)· 05 Mar 2026verified |
| Current assets | 706.4 m | 775.5 m | 932.4 m | 824.4 m | 836.0 m | 852.5 m | SEC (XBRL)· 05 Mar 2026verified |
| Goodwill | 106.3 m | 106.0 m | 108.9 m | 110.2 m | 111.7 m | 115.8 m | SEC (XBRL)· 05 Mar 2026verified |
| Intangibles (excl. goodwill) | 86.8 m | 81.7 m | 78.7 m | 73.3 m | 71.9 m | 69.2 m | SEC (XBRL)· 05 Mar 2026verified |
| Total assets | 1.3 bn | 1.4 bn | 1.4 bn | 1.3 bn | 1.4 bn | 1.4 bn | SEC (XBRL)· 05 Mar 2026verified |
| Short-term debt | 11.6 m | 6.3 m | 10.9 m | 9.4 m | 8.4 m | 8.3 m | SEC (XBRL)· 05 Mar 2026verified |
| Long-term debt | 517.8 m | — | — | — | — | — | SEC (XBRL)· 05 Mar 2021verified |
| Current liabilities | 307.1 m | 349.0 m | 448.6 m | 363.6 m | 361.1 m | 366.6 m | SEC (XBRL)· 05 Mar 2026verified |
| Equity | 357.9 m | 324.8 m | 267.9 m | 289.9 m | 337.1 m | 382.8 m | SEC (XBRL)· 05 Mar 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 69.3 m | -43.3 m | — | — | — | — | SEC (XBRL)· 16 Mar 2022verified |
| Capex | 20.3 m | 22.3 m | 26.9 m | 28.2 m | 31.4 m | 40.3 m | SEC (XBRL)· 05 Mar 2026verified |
| Free cash flow | 49.0 m ≈ | -65.6 m ≈ | — | — | — | — | SEC (XBRL)· 16 Mar 2022derived |
| Investing cash flow | -24.9 m | -16.2 m | — | — | — | — | SEC (XBRL)· 16 Mar 2022verified |
| Financing cash flow | -47.3 m | 59.9 m | — | — | — | — | SEC (XBRL)· 16 Mar 2022verified |
| Dividends paid | 3.2 m | 7.0 m | 7.0 m | 7.4 m | 7.2 m | 7.8 m | SEC (XBRL)· 05 Mar 2026verified |
| Share repurchases | 7.5 m | 2.5 m | 0 | 0 | — | — | SEC (XBRL)· 06 Mar 2024verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 61 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 573.1 m USD
Key indicators
Coverage and freshness
Score by group
- Quality60
- Growth19
- Balance sheet63
- Returns18
- Valuation89
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 42.05 – 104.73 USD.
Methods computed but outside the aggregate range: Dividend discount (DDM) (a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate).
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · the input exists, but its latest figure is far older than the latest reported period: not used
- Peers: EV/EBITDA95.38 – 104.73 (Mid 100.30)11 companies used · median multiple 12.3x · quartiles 11.7x – 12.9xACA, ACU, CXT, EML, GFF, HLMN, MAS, MWA, SNA, SSD, VMI
- Peers: P/E42.05 – 74.37 (Mid 50.36)26 companies used · median multiple 20.5x · quartiles 17.1x – 30.2xACA, ACU, BALL, CCK, CR, CXT, EML, GFF, JBI, LCUT, MAS, MTRN, MWA, OFLX, PH, PRLB, RGR, SLGN, SNA, SSD, SWK, TRS, VMI, WTS, XPEL, ZJK
- Dividend discount (DDM)outside the aggregate6.57 – 8.84 (Mid 7.54)a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 61/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 19.6% | 79 (vs peers) | 14% |
| Net margin · Quality | 2.0% | 28 (vs peers) | 9% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | 2.3% | 19 (on a fixed band) | 11% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | -0.5x | 85 (vs peers) | 14% |
| Interest coverage · Balance sheet | 1.6x | 2 (on a fixed band) | 9% |
| Current ratio · Balance sheet | 2.4x | 100 (on a fixed band) | 6% |
| P/E (TTM) · Valuation | 16.1x | 83 (vs peers) | 14% |
| EV/EBITDA · Valuation | 4.6x | 94 (vs peers) | 14% |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | 1.3% | 18 (on a fixed band) | 9% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet63/100 · 3/3 factors with a value
- Growth· partial19/100 · 1/2 factors with a value
- Quality60/100 · 2/3 factors with a value
- Returns· partial18/100 · 1/2 factors with a value
- Valuation89/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Park-Ohio Holdings Corp (PKOH). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 1.6 bn USD in 2025; YoY growth -3.4%; net margin 2.0%; ROE 9.0%; net debt/EBITDA -0.5x.
The estimated value range is 68.72–89.55 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 75.33 USD, the price of 39.61 USD leaves a potential of 90.2% (value / price − 1) and a margin of safety of 47.4% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 61/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth, returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- ROIC: 19.6%
- Net debt / EBITDA: -0.5x
- Current ratio: 2.4x
- P/E (TTM): 16.1x
- EV/EBITDA: 4.6x
- The price is below the estimated value range
What contradicts it
- Net margin: 2.0%
- Revenue CAGR 3Y: 2.3%
- Interest coverage: 1.6x
- Shareholder yield (distributions): 1.3%
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): FCF conversion, EPS CAGR 3Y, FCF yield, Payout ratio (FCF).
Versus the vertical median
Fabricated metal products (SIC 34xx) · same major group (2-digit SIC) · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| PHParker-Hannifin Corporation | 112.5 bn | 30.6 | 25.0% | 16.6% | +8.3% | +4% / +106% |
| AXONAxon Enterprise, Inc. | 31.1 bn | 158.5 | 6.2% | 6.2% | +33.5% | −29% / +66% |
| SNASnap-on Inc | 18.9 bn | 19.1 | 17.0% | 19.2% | unavailable | +8% / +33% |
| BALLBall Corporation | 17.4 bn | 33.7 | 9.6% | 3.5% | +11.6% | +35% / +21% |
| SWKStanley Black & Decker, Inc. | 17.1 bn | 20.6 | 9.4% | 5.5% | unavailable | +61% / +27% |
| MASMasco Corporation | 16.2 bn | 18.2 | — | 12.1% | −3.4% | +29% / +38% |
| CCKCrown Holdings, Inc. | 13.2 bn | 17.0 | 26.7% | 5.8% | +4.8% | +26% / +42% |
| CRCrane Company | 11.4 bn | 34.0 | 16.2% | 12.4% | +8.2% | +8% / +87% |
| SSDSimpson Manufacturing Co., Inc. | 8.1 bn | 21.5 | 18.3% | 15.6% | +4.5% | +19% / +19% |
| VMIValmont Industries, Inc. | 7.6 bn | 15.1 | 30.8% | 12.1% | +0.7% | −4% / +81% |
| ACAArcosa, Inc. | 7.3 bn | 14.9 | 17.9% | 17.9% | +12.2% | +46% / +116% |
| GFFGriffon Corporation | 4.6 bn | 26.1 | 185.4% | 6.5% | −3.9% | +37% / +120% |
| SLGNSilgan Holdings Inc | 4.4 bn | 16.8 | 11.0% | 3.9% | +10.7% | +5% / −0% |
| MWAMueller Water Products, Inc. | 3.8 bn | 17.4 | 21.7% | 15.0% | +8.7% | +2% / +85% |
| MTRNMaterion Corporation | 3.7 bn | 36.3 | 10.5% | 4.6% | +6.0% | +45% / +57% |
| CXTCrane Nxt, Co. | 3.4 bn | 26.3 | 10.5% | 7.1% | +11.4% | +5% / +15% |
| HLMNHillman Solutions Corp. | 1.7 bn | 66.6 | 2.0% | 1.5% | +5.4% | −3% / +17% |
| PRLBProto Labs, Inc. | 1.5 bn | 44.2 | 5.1% | 6.0% | +6.4% | +24% / +74% |
| TRSTrimas Corporation | 1.4 bn | 1.6 | 83.9% | 136.2% | +2.4% | +11% / +48% |
| XPELXpel, Inc. | 1.1 bn | 20.3 | 19.5% | 10.8% | +13.3% | −14% / −12% |
| SMRNuscale Power Corporation | 1.0 bn | — | -13.0% | -6,817.0% | −15.0% | −78% / +58% |
| RGRSturm, Ruger & Company, Inc. | 790.9 m | 49.0 | 5.7% | 2.7% | +1.9% | +64% / +13% |
| JBIJanus International Group, Inc. | 650.8 m | 19.8 | 6.0% | 3.7% | unavailable | −23% / −55% |
| PKOHPark-Ohio Holdings Corp | 573.1 m | 16.1 | 9.0% | 2.0% | −3.4% | +88% / +56% |
| ACUAcme United Corp | 263.9 m | 28.9 | 8.4% | 4.6% | +1.1% | +86% / +91% |
1- and 3-year price returns: for PKOH from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 22.43 Total return -42% · Per year -42% | 39.70 Total return 2% · Per year 2% | 59.86 Total return 53% · Per year 53% |
| 3 years | 20.83 Total return -45% · Per year -18% | 41.57 Total return 9% · Per year 3% | 68.95 Total return 79% · Per year 21% |
| 5 years | 19.34 Total return -47% · Per year -12% | 43.51 Total return 16% · Per year 3% | 79.40 Total return 109% · Per year 16% |
- Exit P/E± 10.39
- Net margin± 7.27
- Annual revenue growth± 6.10
- Annual dilution± 0.61
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 06 Aug 2026; since then the company filed 10-Q (05 Nov 2026), 8-K (04 Nov 2026 · results).
In brief
Park-Ohio is an international industrial group combining supply chain management for customers, industrial capital equipment and manufactured components. In 2026 it reported record second-quarter sales and raised its annual outlook, on demand linked to AI data centers, defense and the electrical industry 3. Its fiscal 2025 net sales of 1,599.1 million USD 1 show that the industrial cycle remains an important exposure.
SWOT
Strengths
- The company offers a broad range of services, from supply management to industrial equipment, which reduces dependence on a single sector 1. Sole-source relationships with long-standing clients support stable revenue 1.
- Results in 2026 show improving gross margin and operating cash flow, which points to greater operating efficiency 3. The Engineered Products backlog gives visibility on future revenue 3.
- The company has been able to raise its annual outlook on demand from sectors such as defense and energy, which shows strategic flexibility 3.
Weaknesses
- Debt is significant, and interest cost rose after the 2025 notes refinancing, which reduces after-tax profit margin 12.
- The Engineered Products segment had a very thin operating margin in fiscal 2025, due to lower sales and asset write-downs 1.
- Exposure to a few large customers and to the automotive industry creates concentration risk, and losing a major client could seriously affect results 1.
Opportunities
- Demand from AI data centers, defense and the electrical industry could support revenue growth in Supply Technologies and Engineered Products 3.
- Growing aftermarket parts and service could bring recurring revenue less dependent on the investment cycle 3.
- A sale or other transaction for Southwest Steel Processing could improve group profitability if the review concludes favorably 3.
Threats
- Tariffs and changes in trade agreements may raise the cost of imported materials and components, which the company cannot always pass on to customers 1.
- A recession in customer industries could reduce orders, and customers may delay or cancel purchases 1.
- Volatile credit markets may limit access to financing and raise the cost of capital, affecting financial flexibility 1.
Risks
- Dependence on a few large customershigh
The largest customers generate a significant share of sales, and losing one of them could affect results 1.
- Exposure to automotive and heavy-duty truckhigh
Lower demand or strikes in these industries could directly affect sales and profitability 1.
- Raw material and energy costsmedium
Higher prices for steel, energy and transport could reduce margins if they cannot be passed on to customers 1.
- Indebtedness and interest costmedium
Gross debt is high, and interest cost could limit financial flexibility if credit conditions worsen 12.
- Outcome of the SSP strategic reviewlow
The review of Southwest Steel Processing has no fixed timetable and no assurance of any transaction, which leaves the portfolio uncertain 3.
Investment thesis
What would need to be true (bull case)
- Demand from AI, defense and the electrical industry could keep supporting sales and margins if the first-half trend holds 3.
- Improving gross margin and operating cash flow show efficiency gains that could strengthen profitability over time 3.
- The Engineered Products backlog gives visibility on future revenue, and good conversion into sales could support growth 3.
What would break the thesis
- Sales fell in fiscal 2025, which shows the group's sensitivity to the industrial cycle and to demand declines in customer industries 1.
- Debt and interest cost remain high, and if credit conditions worsen, financial flexibility could be affected 12.
- If 2026 growth relies largely on a few sectors, a sudden change in demand could quickly reverse results 3.
What to watch
- Rezultatul analizei strategice pentru afacerea Southwest Steel Processing2026
- Outcome of the strategic review for Southwest Steel Processing2026
- Delivery against the raised 2026 outlook for net sales and adjusted EPS2026
- Development of the Engineered Products backlog and its conversion into salesnext 10-K
- Trend in steel, tariff and energy costs and the ability to pass them on to customersQ1 2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 06 Aug 2026; since then the company filed 10-Q (05 Nov 2026), 8-K (04 Nov 2026 · results).
The business
Park-Ohio Holdings Corp. is a diversified international industrial group, incorporated in Ohio in 1998, providing customers with supply chain management outsourcing, capital equipment for production lines and manufactured components 1. It has three reportable segments: Supply Technologies, Assembly Components and Engineered Products, and it employed approximately 6,300 people at 31 December 2025 1. It is headquartered in Cleveland, Ohio and operates approximately 130 manufacturing and logistics sites worldwide 3.
The Supply Technologies model rests on Total Supply Management, through which the company sources and manages more than 280,000 production components for its customers 1. Relationships are typically sole-source, and the average tenure of the top 50 clients exceeds ten years, creating durable operating ties 1. The segment also includes a fastener manufacturing business 1.
On the capital equipment side, the company offers induction heating systems, pipe threading equipment, forging presses and forged and machined products for rail, aerospace and defense 1. Aftermarket parts and field service are an increasingly important part of this business 3.
Segments
Supply Technologies
The segment generated net sales of 747.5 million USD in fiscal 2025 1. In the second quarter of 2026 sales reached a record 209.3 million USD, up 12%, supported by semiconductor, AI data center and aerospace demand 3.
Assembly Components
The segment makes fuel rails, filler pipes and rubber and plastic fuel assemblies aimed at efficiency and lower emissions 1. Sales fell to 380.6 million USD in fiscal 2025 1, but in the second quarter of 2026 they rose 7% on new business and automotive demand 3.
Engineered Products
This segment shows the widest swings. Sales were 471.0 million USD in fiscal 2025 1, and in the second quarter of 2026 they reached a record 129.4 million USD 3. Equipment backlog stood at 252 million USD at 30 June 2026 3, and a review of a possible sale of the Southwest Steel Processing business is ongoing 3.
Market context
The raised 2026 outlook points to net sales of 1.700 to 1.730 billion USD, an increase of 6-8% over 2025, supported by AI-related demand, defense production and electrical industry spending 3. The company notes that these estimates depend on economic conditions, and a change in demand could alter results 3.
Trends
- Electrical infrastructure and data center demandtailwind
The company links recent growth to electrical infrastructure spending and AI data centers, which support sales in Supply Technologies and Engineered Products 3. If this demand persists it could support segment growth, while a pullback in investment would work the other way.
- Cyclicality of customer industriesheadwind
The company states its customer industries are cyclical and demand declines can reduce business volume 1. Sales fell in most segments in fiscal 2025, illustrating this sensitivity 1.
- Dependence on automotivemixed
Automotive and heavy-duty truck customers account for a significant share of sales, which exposes the company to slowdowns and strikes in those sectors 1. Automotive volume growth in 2026 shows the exposure can also work in its favor 3.
- Raw material and energy costsheadwind
Steel prices, tariffs and energy costs can raise production costs, and the company cannot always pass them on to customers 1. If costs stay high, margins could come under pressure.
Competitive position
Supply Technologies faces a limited number of companies in supply management services, while numerous US and foreign companies compete in cold-formed fasteners 1. In industrial equipment, competitors are small and medium-sized manufacturers, while some rivals have greater financial resources 1.
The company says it differentiates through long-term partnerships, reliability, engineering capabilities and timely delivery 1. In Assembly Components there are few domestic suppliers able to meet customer quality standards, which may support its position as customers consolidate supplier bases 1.
- Supply management service providers
Companies that compete with Supply Technologies in managing production parts and materials, without a specific US-listed issuer identified in the source 1.
- Cold-formed fastener manufacturers
Numerous US and foreign companies make cold-formed and cold-extruded products that compete with the fastener business 1.
- Fuel system component producers
Assembly Components competes on quality, delivery and manufacturing flexibility, and few North American producers have comparable capabilities 1.
- Induction heating and forging equipment makers
Small and medium-sized equipment and forging businesses compete with Engineered Products on service, specifications and engineering expertise 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Quarterly report05 Nov 2026
- Current report04 Nov 2026Results of operations · Financial statements and exhibits
- Quarterly report06 Aug 2026
- Current report05 Aug 2026Results of operations · Financial statements and exhibits
- Current report15 May 2026Shareholder vote
- Quarterly report07 May 2026
- Current report06 May 2026Results of operations · Financial statements and exhibits
- Proxy statement02 Apr 2026
- Annual report05 Mar 2026
- Current report04 Mar 2026Results of operations · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Park-Ohio Holdings Corp. · 05 Mar 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Park-Ohio Holdings Corp. · 06 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Park-Ohio Holdings Corp. · 05 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.