Dover Delivers Strong Q4 Margins & EPS Beat, Stock Climbs On 2025 Optimism

Dover Corporation DOV shares are trading higher on Thursday after the company reported fourth-quarter results.

Revenue stood at $1.93 billion, an increase of 1% year-over-year, missing the consensus of $1.95 billion.

Segment earnings margin expanded 50 bps Y/Y to 22.2%. Total adjusted segment EBITDA margin expanded to 24.2% from 23.5% a year ago.

Margin improved aided by favourable mix from the high margin, high growth platforms, and strict cost containment and productivity actions.

The company expects ongoing productivity and cost containment actions to benefit consolidated margins in 2025.

Booking increased 8% Y/Y to $1.939 billion in the quarter. Adjusted EPS was $2.20, up 1% Y/Y, beating the consensus of $2.08.

Operating cash flow for the year totaled $1.09 billion, and free cash flow was $920.3 million.

2025 Outlook: Dover expects adjusted EPS of $9.30–$9.50 (consensus of $9.31) and organic revenue growth of 3%–5%.

Dover's President and Chief Executive Officer, Richard J. Tobin, said, ”Order trends continued their positive trajectory in the quarter with book-to-bill above one, driven by robust bookings in our secular-growth-exposed markets in single-use biopharma components, thermal connectors, and CO2 systems.”

“We are optimistic about 2025. Underlying demand trends remain solid across the portfolio, as evidenced by our order momentum, and we have significant runway for continued margin improvement through positive mix benefits and numerous cost and performance levers.”

”With this backdrop, we are poised to deliver double-digit EPS growth in 2025 through a combination of accretive top line growth, margin improvement, and value-creating capital allocation.”

Investors can gain exposure to the stock via Siren DIVCON Dividend Defender ETF DFND.

Price Action: DOV shares are up 4.75% at $206.73 at the last check Thursday.

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