Mizuho Lifts Stanley Black & Decker (SWK) Price Target to $110 on Improving Peer Valuations

Stanley Black & Decker, Inc. (NYSE:SWK) is included among the 13 Best Long-Term Dividend Stocks to Invest in Right Now.

On February 26, Mizuho analyst Brett Linzey raised the price target on Stanley Black & Decker, Inc. (NYSE:SWK) to $110 from $90. The analyst reiterated an Outperform rating on the shares. The analyst said the stock offers an intriguing risk and reward balance at current levels. The decision was supported by the company’s solid execution and improving valuations across its peer group.

Stanley Black & Decker reported its Q4 2025 results on February 4. Net sales came in at $3.7 billion, down 1% from the prior year. On an organic basis, sales declined 3%, reflecting continued pressure on demand. Margins showed clear improvement during the quarter. Gross margin increased to 33.2%, rising 240 basis points from the same period last year. Adjusted gross margin also moved higher, reaching 33.3%, up 210 basis points.

The company reported EPS of $1.04, while adjusted EPS came in stronger at $1.41. This reflected the impact of ongoing cost control and operational improvements. Cash generation remained a key strength. Operating activities produced $956 million in cash, and free cash flow totaled $883 million. These figures showed the company’s ability to generate solid cash even in a slower sales environment.

During the quarter, Stanley Black & Decker also announced an agreement to sell its Consolidated Aerospace Manufacturing business for $1.8 billion in cash. This move reflects the company’s continued effort to simplify its portfolio and focus on core operations.

SG&A expenses accounted for 21.8% of total sales, improving by 120 basis points from the prior year. Adjusted SG&A expenses declined by 100 basis points to 21.5%. The improvement came from disciplined cost control, which helped offset ongoing investments to support future growth.

Stanley Black & Decker, Inc. (NYSE:SWK) operates globally and supplies hand tools, power tools, outdoor products, and related accessories. The company also provides engineered fastening solutions through its Tools & Outdoor and Engineered Fastening segments.

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