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TAYD Stock Risk & Deep Value Analysis

Taylor Devices Inc

Industrials • Specialty Industrial Machinery

DVR Score

0.1

out of 10

Distressed

What You Need to Know About TAYD Stock

We analyzed Taylor Devices Inc using our deep value framework. Sign in to see our full verdict and DVR Score.

We ran TAYD through our deep value framework — analyzing financial health, distress signals, competitive moat, and risk factors. Our risk assessment: Moderate. Here's what we found.

Updated Mar 24, 2026Run Fresh Analysis →

TAYD Risk Analysis & Red Flags

Risk Matrix

Overall

Moderate

Financial

Low

Market

Medium

Competitive

Low

Execution

Medium

Regulatory

Low

Upcoming Risk Events

  • 📅

    Fluctuations in government defense spending

  • 📅

    Delays or cancellations of large custom engineering projects

  • 📅

    Increased commoditization pressure in less specialized product lines

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What Does Taylor Devices Inc (TAYD) Do?

Market Cap

$228.00M

Sector

Industrials

Industry

Specialty Industrial Machinery

Employees

135

Taylor Devices, Inc. designs, develops, manufactures, and markets shock absorption, rate control, and energy storage devices for use in machinery, equipment, and structures in the United States, Asia, and internationally. The company offers seismic dampers that are designed to mitigate the effects of earthquakes on structures; Fluidicshoks, which are compact shock absorbers primarily used in the defense, aerospace, and commercial industries; and crane and industrial buffers, which are larger versions of Fluidicshoks for industrial applications on cranes and crane trolleys, truck docks, ladle and ingot cars, ore trolleys and train car stops. It also provides self-adjusting shock absorbers that include versions of Fluidicshoks, and crane and industrial buffers, which automatically adjust to various impact conditions and are designed for high cycle application primarily in the heavy industry; liquid die springs that are used as component parts of machinery and equipment used in the manufacture of tools and dies; vibration dampers, which are primarily used by aerospace and defense industries to control the response of electronics and optical systems subjected to air, ship, or spacecraft vibration; machined springs used in the aerospace applications; custom shock and vibration isolators comprising, liquid springs, fluid dampers, elastomeric springs, and Pumpkin mounts; and custom actuators for special aerospace and defense applications. The company markets its products through sales representatives. Taylor Devices, Inc. was incorporated in 1955 and is headquartered in North Tonawanda, New York.

Visit Taylor Devices Inc Website

Investment Thesis

TAYD represents a stable, profitable micro-cap with strong fundamentals and a defensible niche in specialized engineering solutions for critical sectors. It is an ideal holding for capital preservation and moderate, consistent returns rather than exponential growth, suitable for diversifying a portfolio with a financially robust, albeit slow-growth, industrial component.

Is TAYD Stock Undervalued?

Taylor Devices (TAYD) remains a highly specialized and well-managed company, excelling in niche markets such as defense, aerospace, and seismic shock control. It possesses a strong engineering moat, a proven track record of profitability (20.75% net margin last quarter), and a pristine balance sheet with no reported debt. The 'strong order growth' indicates continued operational health. However, as of 2026-03-24, there are no material changes in TAYD's strategic positioning, market conditions, or leadership that would justify a significant score adjustment for 10x growth potential. Its core business model, based on custom engineering solutions, and Total Addressable Market (TAM) are inherently constrained and mature. This fundamentally limits its potential for the exponential growth required within a 3-5 year timeframe. While financially stable and a reliable niche player, it is fundamentally misaligned with the criteria for outsized, rapid returns of this magnitude.

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TAYD Price Targets & Strategy

12-Month Target

$85.00

Bull Case

$95.00

Bear Case

$65.00

Valuation Basis

28x forward P/E on estimated FY2026 EPS of $3.03, reflecting consistent profitability and niche growth.

Entry Strategy

Dollar-cost average on dips below $70, seeking stability rather than rapid appreciation.

Exit Strategy

Consider profit-taking if price reaches above $90, stop loss at $68 to protect against unexpected project delays or defense spending cuts.

Portfolio Allocation

1-3% for a conservative-to-moderate risk tolerance, purely for diversification and stability, not growth.

Price Targets & Strategy

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Is TAYD Financially Healthy?

Valuation

P/E Ratio

23.00

Forward P/E

23.40

EV/EBITDA

5.50

PEG Ratio

0.79

Price/Book

2.80

Price/Sales

1.75

Profitability

Gross Margin

58.00%

Operating Margin

28.00%

Net Margin

20.75%

Return on Equity

15.75%

Revenue Growth

15.00%

EPS

$3.12

Balance Sheet

Current Ratio

2.10

Quick Ratio

1.80

Cash & Equivalents

$45.00M

Cash Flow

Operating Cash Flow

$18.50M

Free Cash Flow

$14.20M

EBITDA

$14.75M

Other

Beta (Volatility)

0.93

Does TAYD Have a Competitive Moat?

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Moat Rating

🛡️ Narrow

Moat Trend

Stable

Moat Sources

3 Identified

Intangible Assets/IPSwitching CostsEfficient Scale

Taylor Devices' moat stems from its highly specialized engineering capabilities and customized solutions for critical applications, making it difficult for competitors to replicate quickly. Its established reputation and long-term contracts in defense and aerospace also create significant switching costs for clients.

Moat Erosion Risks

  • Potential for technological obsolescence if new, cheaper, or more effective shock control solutions emerge
  • Increased competition from larger, diversified industrial players entering specialized segments
  • Reliance on government contracts, which can be subject to political and budgetary changes

TAYD Competitive Moat Analysis

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TAYD Market Intelligence

Sentiment & Insider Activity

Social Sentiment

Neutral - No significant retail investor chatter or specific trends reported.

Institutional Sentiment

Neutral - No analyst ratings, upgrades, or downgrades reported. Institutional ownership is moderate at 17.62%.

Insider Activity (Form 4)

No specific Form 4 filings for TAYD insiders reported in the last 90 days (Jan 24 - Mar 24, 2026). No CEO/CFO activity flagged.

Options Flow

Normal options activity - No significant unusual options flow indicating institutional positioning was reported.

Earnings Intelligence

Next Earnings

2026-03-27

Surprise Probability

Medium

Historical Earnings Pattern

No specific historical earnings reaction patterns were provided in the research; expect price movement based on earnings beat/miss and forward outlook.

Key Metrics to Watch

Order backlog growth and new contract announcementsNet margin trajectory (prior quarter 20.75%)Commentary on defense and seismic market outlook

Competitive Position

Top Competitor

Lord Corporation

Market Share Trend

Stable in its specialized niches, differentiated by custom mega-projects.

Valuation vs Peers

Trading at a modest premium on P/E (~28x trailing for $73.77 price), reflective of its pristine balance sheet and consistent profitability within its niche, but not indicative of high growth.

Competitive Advantages

  • Proprietary engineering expertise for custom shock and vibration solutions
  • Strong relationships and reputation within defense, aerospace, and seismic markets
  • Pristine balance sheet with no debt provides financial resilience

Market Intelligence

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What Could Drive TAYD Stock Higher?

Near-Term (0-6 months)

  • Q3 2026 Earnings on March 27, 2026
  • Potential announcements of new defense/aerospace project wins

Medium-Term (6-18 months)

  • Sustained strong order growth translating to higher revenue
  • Expansion of existing government or industrial contracts

Long-Term (18+ months)

  • Increased infrastructure spending on seismic protection technologies
  • Long-term defense modernization programs requiring specialized components

Catalysts & Growth Drivers

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What's the Bull Case for TAYD?

  • Significant new contract announcements beyond typical order growth

  • Strategic pivots into genuinely high-growth adjacencies

  • Any signs of erosion in net margins or balance sheet strength

Bull Case Analysis

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Competing with TAYD

See how Taylor Devices Inc compares to related companies

CompanyMarket CapDVR ScoreP/ERevenueProfit MarginRev Growth

Taylor Devices Inc

TAYD

$228.0M0.123.0$52.7M20.8%15.0%

Caterpillar Inc

CAT

0.1Compare →

General Electric Co

GE

$306.2B0.135.9$45.9B20.0%18.0%Compare →

Honeywell International Inc.

HON

1.5Compare →

RTX Corp

RTX

0.15.0$88.6B7.6%0.0%Compare →

United Parcel Service Inc

UPS

$81.3B0.114.3Compare →

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FAQ

What is the DVR Score for Taylor Devices Inc (TAYD)?

As of March 24, 2026, Taylor Devices Inc has a DVR Score of 0.1 out of 10, placing it in the "Distressed" category. This score is generated by our AI-powered deep value analysis framework that evaluates growth potential, financial health, competitive moat, and risk factors.

What is the market capitalization of Taylor Devices Inc?

Taylor Devices Inc's market capitalization is approximately $228.0M. The company operates in the Industrials sector within the Specialty Industrial Machinery industry.

What ticker symbol does Taylor Devices Inc use?

TAYD is the ticker symbol for Taylor Devices Inc. The company trades on the NCM.

What is the risk level for TAYD stock?

Our analysis rates Taylor Devices Inc's overall risk as Moderate. This assessment considers execution risk, market risk, financial risk, competitive risk, and regulatory risk. For a full breakdown, see the risk analysis section above.

What is the P/E ratio of TAYD?

Taylor Devices Inc currently has a price-to-earnings (P/E) ratio of 23.0. This is in line with broader market averages.

Is Taylor Devices Inc's revenue growing?

Taylor Devices Inc has reported revenue growth of 15.0%. The company is showing strong top-line momentum.

Is TAYD stock profitable?

Taylor Devices Inc has a profit margin of 20.8%. This indicates strong profitability.

How often is the TAYD DVR analysis updated?

Our AI-powered analysis of Taylor Devices Inc is refreshed regularly to incorporate the latest financial data, market conditions, and news. The most recent update was on March 24, 2026.

Important Disclaimer – Not Financial Advice

Deep Value Reports is an independent research platform for educational and informational purposes only. We are not financial advisors, investment advisors, or licensed professionals. The analysis, scores, and information provided on this page for TAYD (Taylor Devices Inc) should not be construed as personalized investment advice, a recommendation to buy or sell any security, or an offer to provide investment advisory services.

All investments involve risk, including the potential loss of principal. Past performance does not guarantee future results. Always conduct your own research, consider your financial situation, and consult with a qualified financial advisor before making any investment decisions.

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