Flowserve Cut to Hold by TD Cowen, Price Target Slashed to $70
FLS•TD Cowen downgraded Flowserve to Hold from Buy, cut its price target to $70 from $85, and warned that Iran conflict disruptions may force a guidance reset. Analysts cite a recurring $25 million Q2 headwind and doubt mid-single-digit order growth in 2026, signaling possible reductions to revenue forecasts.
1. TD Cowen Downgrades Flowserve to Hold
TD Cowen downgraded Flowserve to Hold from Buy and cut its price target to $70 from $85, citing a need to recalibrate near-term outlook after operational disruptions linked to the Iran conflict.
2. Middle East Disruptions Create Financial Headwinds
Recurring operational constraints in the Middle East are expected to create a roughly $25 million headwind in the second quarter, mirroring the impact seen earlier this year and raising concerns over revenue performance.
3. Guidance Reset and Order Growth Risks
Analysts question the feasibility of mid-single-digit order growth in 2026 and warn that failure to meet these targets may prompt formal guidance reductions, though long-term infrastructure demand remains supportive.
