Oppenheimer Downgrades Transcat Inc. (TRNS) to Perform

Oppenheimer analyst Martin Yang downgraded Transcat Inc. (NASDAQ: TRNS) from Outperform to Perform.

The analyst comments "Transcat F3Q25 results fell short of expectations. Revenue/adj. EBITDA/adj. EPS of $66.8M/$7.9M/$0.45 compared to consensus estimates of $70.3M/$9.5M/$0.45. Organic service revenue declined 3.8%, well short of its LT growth guidance (HSD to LDD). Management noted holiday timing in December and related customer behavior was more disruptive than expected. Transcat reduced its FY25 organic service growth outlook to LSD-to-MSD. Gross margin compressed in both the Service and Distribution segments. The company has delivered three consecutive quarters of lower-than-expected organic service growth and its first quarter of organic service revenue decline. We step to the sidelines until we build more confidence in TRNS' ability to deliver stable mid-to-long-term growth. We downgrade to Perform and remove our $130 PT."

For an analyst ratings summary and ratings history on Transcat Inc. click here. For more ratings news on Transcat Inc. click here.

Shares of Transcat Inc. closed at $86.53 yesterday.

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