This Lift May Be About to Boom; Reiterate OW

Research evidence excerpt

This Lift May Be About to Boom; Reiterate OW

tion, but e = Morgan Stanley Research estimates

rebranding the business as one known for execution and steady predictable Quarterly EPS ($)

2026e 2026e 2027e 2027e

performance Quarter 2025 Prior Current Prior Current

Reiterate Overweight and $84 PT with $112 bull case increasingly feeling more Q1 0.83 - 0.98a - -

Q2 1.49 - 1.30 - -

realistic Q3 1.50 - 1.47 - -

Q4 1.12 - 1.24 - -

We hosted an investor group trip to Terex (TEX) headquarters and met with Simon e = Morgan Stanley Research estimates, a = Actual Company reported data

Meester (CEO), Jennifer Kong-Picarello (CFO), Michael Irving (President, Specialty

Vehicles), Derek Everitt (VP, FP&A), Drew Konop (VP, IR).

More than a portfolio transformation, we think Terex (TEX) is undergoing a

purposeful rebranding with a focus on execution; Reiterate Overweight. Our

meetings with TEX management bolstered our conviction that the Terex of old is no

more and that the business has a number of idiosyncratic and broader industry

tailwinds in the years to come that can drive profitable earnings growth and unlock

further multiple re-rating. Most notably: i) Specialty Vehicles tailwinds remain

robust driven in part by replacement demand; ii) Self-help continues to be a notable

lever that management is keenly focused on to not only drive operational efficiency,

but to help drive market share gains; iii) Portfolio transformation remains a key lever

Morgan Stanley does and seeks to do business with

where management remains confident and focused on creating shareholder value; companies covered in Morgan Stanley Research. As a result,

and iv) Other idiosyncratic tailwinds, not the least of which is in our opinion could investors should be aware that the firm may have a conflict of