Mettler-Toledo International Inc: MTD: Feedback from the Road

研报英文原文证据摘录

Mettler-Toledo International Inc: MTD: Feedback from the Road

IdeaMtheir +3% cc growth guidance for Q2 (we're at about +1.7% organic). Finally from a

margins impact perspective, MTD is putting in actions to mitigate cost inflation

pressure but noted during our meeting that the company's raw materials prices have

long term contracts, energy costs are a relative small portion of the company's

COGS, and that freight costs have not been impacted so far.

Confidence in 2026 guidance reaffirmed. MTD's stock has pulled back in the

recent week on soft Q2 guidance, which implies a steep ramp in the back-half of

2026 to achieve the company's full year guidance of +4% cc growth (we've since

fielded a number of investor calls where skepticism on the H2 ramp was expressed).

During our meeting, management highlighted reasons underscoring their confidence

in the backhalf ramp:

• Positive internal indicators: Management noted that internal reviews

indicate opportunities in the sales pipeline which they believe will translate

into better growth in the second half of the year. Management noted

positive trends in internal indicators such as customer forecasts, key account

engagement, and recent new product launches as factors underscoring their

confidence in stronger growth in the backhalf.

• Economic indicators: Management cited positive trends in PMI levels which

they believe will drive growth in their Industrials business in the backhalf of

the year. Manufacturing PMI's have been positive in the U.S. to start the year.

Meanwhile, after a slow start to 2026, China's Manufacturing PMI's have

rebounded to above 50 in March and April.

Exhibit 1: ISM U.S. Manufacturing PMI

Source: Institute for Supply Management, Morgan Stanley Research (link)