TacticScaleWhat Terex Does & How It Makes Money (TEX)
Updated October 2026 · reflects Terex's latest reported financials
Maker of aerial work platforms, crushers, and refuse trucks. Terex sells equipment through three segments: Materials Processing, Aerials, and Environmental Solutions.
How Terex makes money
Terex sells equipment through three segments: Materials Processing, Aerials, and Environmental Solutions. It also earns revenue from replacement parts and waste hauler software.
What Terex does
Terex Corporation, founded in 1933 and based in Norwalk, Connecticut, makes industrial equipment in three segments. Materials Processing (MP) makes crushers, screens, washing systems, material handlers, pick and carry cranes, concrete mixer trucks and pavers, conveyors, and wood, biomass, and recycling equipment. Its brands include Powerscreen, Fuchs, Finlay, Franna, ZenRobotics, and Cedarapids. These machines are used in construction, quarrying, mining, recycling, and landscaping. The Aerials segment, known mainly for the Genie brand, makes scissor lifts, articulating and telescopic booms, portable lifts, and telehandlers for building construction, maintenance, and infrastructure work. Environmental Solutions (ES) makes refuse collection bodies under Heil and other brands, cart lifters, compactors, and balers. It also makes utility equipment such as digger derricks and insulated aerial devices, and sells waste hauler software.
Products & services
- Genie aerial work platforms and telehandlers
- Powerscreen crushers and screens
- Fuchs material handlers
- Heil refuse collection bodies
- Franna pick and carry cranes
- Utility digger derricks and insulated aerial devices
What is Terex worth?
On an owner-earnings DCF, Terex's most-likely value is about $59 versus a recent price near $51 (17% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$32) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
⚠ High leverage — net debt is 5.8× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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