Ricardo Pillai
Sun, April 26, 2026 astatine 2:40 PM CDT 3 min read
Is LNN a bully banal to buy? We came crossed a bearish thesis connected Lindsay Corporation connected r/ValueInvesting by roysten_m. In this article, we volition summarize the bears’ thesis connected LNN. Lindsay Corporation's stock was trading astatine $108.18 arsenic of April 20th. LNN’s trailing and guardant P/E were 19.78 and 22.22 respectively according to Yahoo Finance.
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Lindsay Corporation, unneurotic with its subsidiaries, provides h2o absorption and roadworthy infrastructure products and services successful the United States and internationally. LNN reported a terrible Q2 2026 net miss, sending the banal tumbling astir 10% toward 52-week lows. The institution posted EPS of $1.15, falling good abbreviated of the $1.70 statement estimate, portion gross came successful astatine $157.72 cardinal versus the expected $173.11 million. Operating margins collapsed to 8.3% from 17.2% a twelvemonth ago, reflecting rising costs and declining efficiency.
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The home irrigation conception faced sharply weakened demand, and infrastructure gross plummeted 58% owed to the lack of large Road Zipper projects, exacerbating the downturn. These headwinds bespeak that Lindsay is struggling to negociate cyclical cultivation pressures alongside higher operational expenses.
The banal has breached beneath its 50-day moving mean connected dense volume, erasing months of gains and signaling technical weakness. Analysts are present framing the company’s outlook arsenic a cardinal reset, with small visibility connected near-term maturation catalysts. Given the operation of shrinking margins, missed guidance, and vulnerability to volatile extremity markets, Lindsay presently appears much similar a worth trap than a compelling maturation opportunity. Investors whitethorn look further downside if the institution cannot stabilize request oregon offset operational pressures, making the banal a cautious oregon bearish play successful the adjacent term.
Previously, we covered a bullish thesis connected Deere & Company (DE) by Best Anchor Stocks successful May 2025, which highlighted beardown quarterly results with double-digit beats connected gross and EPS, robust 18% operating margins, borderline resilience adjacent a rhythm trough, assertive buybacks, and expanding ag tech and SaaS capabilities. DE’s banal terms has appreciated by astir 17.03% since our coverage. roysten_m shares a contrarian presumption but emphasizes Lindsay Corporation’s (LNN) Q2 net miss, collapsing margins, and cyclical headwinds, presenting a bearish lawsuit successful opposition to DE’s maturation and profitability story.

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