Apogee Enterprises (APOG) Stock Forecast & Price Target

Apogee Enterprises Inc. has revised its revenue guidance upward, anticipating consolidated revenue to reach between $1.40 billion and $1.44 billion, an increase from the previous range of $1.37 billion to $1.43 billion. The company has reported an 8% year-over-year increase in services revenue, driven by heightened activity levels, indicating strong demand within their operational segments. Although there was a slight decline in EBITDA margin due to higher tariff expenses, this was partially mitigated by a more favorable mix and activity, suggesting a positive trajectory moving forward as the company prepares for an improved second half of the fiscal year.

Apogee Enterprises is facing a challenging financial environment, characterized by a decline in organic volume and unfavorable operational margins that have resulted in a significant drop in EBITDA margin from 23.3% in the prior year to 18.3%. The company's earnings per share (EPS) remain in line with revised guidance; however, estimates for fiscal year 2027 have been modestly reduced due to overall market conditions that suggest ongoing weakness. Additionally, the prevailing trends indicate that the dilutive impact on margins from unfavorable currency (UW) continues to hinder the company’s financial performance.