Linamar’s normalized Q3 earnings per share fell short of estimates, even as sales rose 21% and the company generated strong free cash flow.
Linamar Corporation (TSX: LNR) reported normalized diluted EPS of C$2.59 for the quarter ended September 30, 2026, 3.4% below the C$2.68 estimate. Revenue rose 21.0% year over year to C$3.08 billion, while normalized net earnings increased 2.3% to C$153.5 million. The results were mixed: sales and new business wins grew, but margins faced pressure and some automotive and industrial markets weakened. See the LNR stock page for company and share information.
Recent earnings trend
Linamar Corporation
LNR.TO
LNR.TO
Linamar Corporation
WealthAwesomeMarket cap
$5.06B
P/E
7.6x
Div. yield
0.99%
Div. / share
$0.87
52W high
$110.26
52W low
$74.03
1W change
-4.53%
Beta
1.33
Analyst Price Targets
Based on analyst covering LNR · as of Oct 22, 2026
Wall Street analysts forecast LNR stock price to rise 28.5% over the next 12 months.
Consensus
BullishBased on avg. target vs last close (formal rating unavailable for Canadian listings)
Avg. Target
C$111.00
+28.5% Upside
Previously C$112.67 on Oct 20, 2026
Current Price
C$86.36
Last close
Targets are snapshotted when they change. Unchanged figures keep their original date. Not financial advice.
Wealth Awesome Price Forecast
WA ModelStatistical 90-day price range based on LNR's historical volatility
30-Day Vol
26.8%
Annualized
90-Day Vol
32.0%
Annualized
Trend (90d)
-50.0%
Annualized drift
90d Mean
C$72.24
Expected price
| Horizon | Expected | 68% Range (1σ) |
|---|---|---|
| 30 trading days | C$81.37 | C$74.18 – C$89.25 |
| 60 trading days | C$76.67 | C$67.27 – C$87.38 |
| 90 trading days | C$72.24 | C$61.54 – C$84.79 |
Methodology: Range is calculated using 30-day realized volatility via geometric Brownian motion (log-normal model). 68% band = ±1σ, 95% band = ±2σ. This is a statistical model, not a prediction. Past volatility does not guarantee future results. Not financial advice.
Analyst coverage: 4 analyst(s) cover this name; upcoming EPS consensus is available.
Beat estimates in 2 of the last 4 comparable quarter(s).
| Fiscal period | Report date | Actual EPS | Estimate | Surprise |
|---|---|---|---|---|
| 2026-12-31 | 2027-03-03 | — | 2.2100 | — |
| 2026-09-30 | 2026-11-04 | 2.5900 | 2.6800 | -3.4% |
| 2026-06-30 | 2026-08-12 | 3.0800 | 3.1200 | -1.3% |
| 2026-03-31 | 2026-05-06 | 3.2800 | 2.8100 | +16.7% |
| 2025-12-31 | 2026-03-04 | 2.2800 | 1.9900 | +14.6% |
| 2025-09-30 | 2025-11-12 | 2.5100 | 2.4100 | +4.1% |
Investor takeaway: The EPS miss was modest, but earnings grew much more slowly than sales. Linamar generated C$190.3 million in Q3 free cash flow and reported C$2.1 billion in liquidity, giving it room to invest and return capital to shareholders. Management kept its outlook for record sales and earnings in 2026, while noting tariff pressure and difficult conditions in agriculture and mobility. The company said more than 90% of its sales are tariff-free.
C$2.59 normalized diluted EPS
That was 3.4% below the C$2.68 calendar estimate, but 3.2% higher than the C$2.51 reported a year earlier. Linamar has missed estimates in two of its last four reported quarters. The supplied earnings history shows it beat estimates in the two quarters before those misses.
Bull case
Q3 revenue grew 21.0%, and Linamar reported record new business wins in Canada, the U.S. and China, along with C$190.3 million in free cash flow. Industrial sales rose 22.8%, with normalized operating earnings up 5.8%. Mobility sales increased 20.4%, and the company gained market share in every region. Management maintained its outlook for record sales and earnings in 2026. A renewed normal course issuer bid allows Linamar to buy back up to 3,723,719 shares, subject to TSX rules.
Bear case
Normalized EPS grew more slowly than sales and missed the calendar estimate. Reported operating earnings fell to C$233.4 million from C$250.9 million a year earlier. Normalized Mobility operating earnings edged down to C$164.7 million from C$165.9 million. Earnings-call highlights cited extended customer shutdowns, weaker demand and product mix as pressures on Mobility, while tariffs weighed on Industrial earnings. Management also pointed to weak agricultural markets and expects Q4 headwinds from seasonality and tariffs.
Analysis
For the quarter ended September 30, Linamar reported normalized diluted EPS of C$2.59, 3.4% below the C$2.68 calendar estimate. EPS was 3.2% higher than the C$2.51 reported a year earlier. Revenue rose 21.0% to C$3.08 billion, and normalized net earnings increased 2.3% to C$153.5 million. Reported diluted EPS was C$2.51, down from C$2.82 a year earlier. The supplied earnings history shows Linamar beat estimates in two of the last four quarters. The article provides the recent earnings trend table and chart separately.
Industrial sales rose 22.8% to C$761.3 million, while normalized operating earnings increased 5.8% to C$65.3 million. Mobility sales grew 20.4% to C$2.31 billion, but normalized operating earnings slipped to C$164.7 million from C$165.9 million. Linamar generated C$190.3 million in Q3 free cash flow and reported C$2.1 billion in liquidity. Its quarterly dividend remained C$0.32 per share.
Analysis
Linamar said it recorded its highest-ever new business wins over the past 12 months in Canada, the U.S. and China, and gained market share in every region. More than 90% of its sales are tariff-free, including most U.S.-bound auto parts that comply with USMCA. However, tariffs on some metal derivatives are weighing on certain Industrial products.
The earnings-call highlights point to more near-term pressure. Extended customer shutdowns, weaker global demand and product mix affected Mobility, while agricultural markets remain challenging. Management expects Q4 pressure from Industrial seasonality, tariffs and continued weakness in agriculture. It also said Mobility margins may fall below their normal range. Despite these risks, Linamar maintained its outlook for record sales and earnings in 2026. See the LNR stock page for company details and updates.
Analysis
The supplied analyst data gives an average target of C$111.00, compared with the last close of C$86.36, implying 28.5% upside. The data describes the consensus as bullish based on the average target relative to the last close. A formal rating is unavailable for Canadian listings. Analyst targets are estimates, not guarantees. See the analyst ratings section for details.
Analysis
Wealth Awesome’s statistical 90-day model gives a mean forecast of C$72.24. Its 68% range is C$61.54 to C$84.79, and its 95% range is C$52.44 to C$99.52. The model’s 30-, 60- and 90-day mean forecasts are C$81.37, C$76.67 and C$72.24, respectively. This is a statistical model, not financial advice or a price target. See the price prediction section for details.
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