Dover (DOV) Stock Forecast & Price Target

Dover's recent financial performance highlights positive growth trends, with bookings in 3Q25 rising 8%, primarily driven by robust demand in sectors such as biopharma and Climate & Sustainability Technologies. The company has also demonstrated an impressive expansion in adjusted segment EBITDA margins, growing by 480 basis points from 2018 to 2024, reflecting a shift towards less cyclical products and a greater focus on Pumps & Process and Clean Energy. Additionally, Dover revised its total revenue growth guidance upward by 200 basis points to a range of 4%-6%, supported by favorable foreign exchange dynamics and strategic acquisitions.

Dover's recent performance indicators reveal concerning trends, with a bookings-to-bill ratio slightly below expectations at 0.98x and organic sales declines in key segments, including a 5.1% drop in Clean Energy and a 7.0% decline in Engineered Products. Additionally, the company's stock is trading at a significant discount of 29% to 31% compared to its peers, with a P/E ratio that falls at the lower end of its relative range. Coupled with anticipated challenges in incremental margins and execution miscues in mergers and acquisitions, these factors contribute to a fundamentally negative outlook on Dover's stock.