Carrier Global’s Mixed Performance and Balanced Outlook Lead to Hold Rating

Mizuho Securities analyst Brett Linzey has maintained their neutral stance on CARR stock, giving a Hold rating yesterday.

Brett Linzey has given his Hold rating due to a combination of factors influencing Carrier Global’s performance. The company’s fourth-quarter adjusted earnings per share exceeded expectations, yet segment operating profits fell slightly short of estimates, indicating mixed results. While there was a notable expansion in operating profit margins, organic sales growth of 6% was slightly below consensus expectations, with HVAC sales showing strong performance but being partially offset by a decline in Refrigeration sales.
Brett Linzey also considered Carrier Global’s future outlook, which includes an adjusted EPS range for 2025 that aligns with market expectations and projected organic sales growth in line with consensus estimates. Although both HVAC and Refrigeration segments are expected to contribute to growth, and operating profit margins are anticipated to expand, the overall guidance brackets the Street’s expectations, suggesting a balanced risk-reward scenario for investors. These factors collectively led to the decision to maintain a Hold rating.