Twin Disc Incorporated Common Stock (TWIN)

FairStock Score: 64/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Twin Disc is a small industrial machinery maker focused on marine and heavy-duty off-highway power transmission equipment, with 1,087 employees and a global footprint. As a Graham-style investor, I start with the record. In fiscal 2026, the year ended 2026-06-30, revenue was $381.3M, net income $27.1M, and diluted EPS $1.86. That compares with fiscal 2025 revenue $340.7M, a net loss of $697,000, and EPS -$0.05, and fiscal 2024 revenue $295.1M, net income $11.0M, EPS $0.79. Sales grew and the company swung to profit, but quarterly results are uneven: fiscal Q3 2026, quarter ended 2026-03-27, revenue $96.7M and net income $3.3M; fiscal Q2 2026, quarter ended 2025-12-26, revenue $90.2M and net income $14.9M; fiscal Q1 2026, quarter ended 2025-09-26, revenue $80.0M and a net loss of $518,000. The moat is not obvious; this is a cyclical specialty supplier with modest scale. Financial health looks reasonable: debt-to-equity 0.23, Altman Z 2.75, Piotroski 6/9, and ROE 13.24%, but ROCE is only 2.46% and free cash flow is $9.2M, a 2.4% FCF yield. On FairStock calculations at the 2026-10-13 close of $26.79, P/E is 14.40, P/B 1.76, Graham Number $25.25, margin of safety -6.10%, and EV/EBITDA 13.76. The computed Lynch category is TURNAROUND—returned to profit after a loss within the last three years. At this price I see fair value, not a bargain; the turnaround is real but durability is unproven.

In plain English: Twin Disc makes heavy-duty transmissions and drives for boats and off-road machines. It returned to a profit in fiscal 2026 after a small loss the year before, and sales rose, but one recent quarter showed a thin profit. At $26.79 a share, the price looks close to fair rather than clearly cheap or expensive.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q4 2026 10-K (period ended 2026-06-30) · fiscal Q3 2026 10-Q (period ended 2026-03-27) · fiscal Q2 2026 10-Q (period ended 2025-12-26) · fiscal Q1 2026 10-Q (period ended 2025-09-26) · FY2026 10-K (period ended 2026-06-30) · FY2025 10-K (period ended 2025-06-30) · FY2024 10-K (period ended 2024-06-30)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer