IDEX (IEX) Stock Forecast & Price Target

IDEX Corporation generated $3.5 billion in revenue in 2025, indicating strong financial performance across its diverse segments, particularly in fluid and metering technologies and health and science technologies. The company's core sales are expected to rise by 1.5%-2% in 2026, supported by a robust order growth of 7%, driven by demand in key sectors such as datacenters, municipal water, and semiconductor-MRO. Furthermore, management's strategic portfolio management efforts, including the expansion of the Material Science Solutions platform, may enhance the long-term growth outlook, potentially increasing the base growth rate from low-single-digit to mid-single-digit percentages.

IDEX's financial metrics reveal a concerning outlook, particularly with organic sales and order trends remaining mixed across its three segments, leading to a downward revision in core revenue growth forecasts for 2026. Despite a slight improvement in gross debt/EBITDA and net debt/EBITDA ratios, the potential for prolonged organic revenue declines and operating margin pressures poses significant risks, projecting only ~$7.61 in cash EPS for 2026. Furthermore, the company's exposure to cyclical markets amplifies vulnerabilities, as a slower economic recovery or recession could further exacerbate financial challenges, particularly in the absence of larger orders and resulting delays in projects.