NN Inc. Reports Strong Q1 2026 Sales Growth and Raises Guidance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 04 2026
0mins
Should l Buy NNBR?
Source: seekingalpha
NN Inc. shares surged by 26.87% as the stock crossed above its 5-day SMA, reflecting positive investor sentiment.
The company reported anticipated year-over-year sales growth for Q1 2026, driven by strong performance in the Electric Grid and Data Center markets. NN Inc. raised its full-year sales guidance to between $80 million and $90 million, supported by approximately $43 million in new business awards. The launch of over 60 new programs has created a backlog of orders, further solidifying the company's competitive position.
This strong outlook indicates that NN Inc. is well-positioned for continued growth, with strategic initiatives enhancing its market presence and profitability.
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Analyst Views on NNBR
Wall Street analysts forecast NNBR stock price to rise
3 Analyst Rating
3 Buy
0 Hold
0 Sell
Strong Buy
Current: 1.980
Low
4.00
Averages
5.33
High
6.00
Current: 1.980
Low
4.00
Averages
5.33
High
6.00
About NNBR
NN, Inc. is a diversified industrial company. The Company combines advanced engineering and production capabilities with materials science expertise to design and manufacture high-precision components and assemblies. The Company operates through two segments: Mobile Solutions and Power Solutions. Mobile Solutions segment manufactures components for use in power steering, braking, transmissions, and gasoline fuel system applications, along with components utilized in heating, ventilation and air conditioning and diesel injection and diesel emissions treatment applications. The segment’s technical capabilities can be utilized in various applications, including for use in battery electric, hybrid electric, and internal combustion engine vehicles. Power Solutions segment manufactures a range of products, including electrical contacts, connectors, contact assemblies, and precision stampings for the electrical end market and high precision products for the aerospace and defense end market.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
NN Inc. Reports Q1 2026 Sales Growth and Raises Guidance
- Sales Growth Outlook: NN Inc. anticipates Q1 2026 net sales to grow compared to last year, reflecting strong performance in the Electric Grid and Data Center markets, with full-year new business wins expected between $80 million and $90 million, demonstrating the effectiveness of the company's strategic shift towards high-growth markets.
- New Business Awards: The company secured approximately $43 million in new business awards in Q1, primarily focused on the Electric Grid and Data Center sectors, which not only strengthens its market position but also lays a solid foundation for future sales growth.
- Production Capacity Enhancement: The launch of over 60 new programs has resulted in a backlog of shippable orders exceeding production capacity, which is expected to drive strong net sales growth through 2026 and beyond, further solidifying the company's competitiveness in high-value markets.
- Strategic Restructuring Plan: NN is implementing an intentional sales growth program aimed at improving profit margins and repositioning market exposure, targeting high-value auto parts and Electric Grid and Data Center components, which will help the company achieve higher profits and market share in the future.
See More
NN Inc. Expects Year-over-Year Sales Growth for Q1 2026
- Sales Performance Outlook: NN Inc. anticipates that its preliminary Q1 2026 net sales will show year-over-year growth, exceeding internal forecasts, driven by strong demand from electric grids and data centers, which is expected to yield a peak annual sales award of approximately $43 million.
- Full-Year Guidance Raised: The company has raised its full-year 2026 sales guidance to between $80 million and $90 million, reflecting continued strength into early Q2, indicating robust market demand.
- New Program Launches: Over 60 new programs were launched in Q1, creating a shippable backlog as orders exceeded production capacity, further enhancing the company's competitive position in the market.
- Executive Outlook: CEO Harold Bevis stated that the company is currently ahead of its 2026 and long-term targets and will provide more details in the Q1 2026 earnings release scheduled for May 6, 2026, demonstrating confidence in future growth.
See More
NN, Inc. Acquires Automated Plating Operations to Expand Capabilities
- Acquisition of Plating Operations: NN, Inc. announced the acquisition of large-scale automated plating operations from a global electrical infrastructure solutions provider, which is expected to significantly enhance its processing capabilities for silver-plated busbars and terminals, thereby strengthening its competitive position in the electric grid and data center equipment market.
- Market Expansion Potential: This acquisition will enable NN to broaden its market share in the electrical components sector, particularly in its second-largest end market, unlocking new business opportunities and growth potential.
- Financial Expectations: NN anticipates that the new business will generate $70 million to $80 million in revenue in 2026, a figure already included in the company's prior financial guidance, highlighting the strategic value of the acquisition.
- Capital Expenditure Plans: The capital expenditure associated with this project is expected to reach $20 million to $22 million in 2026, funded through operating cash flow, indicating the company's confidence in future growth.
See More
NN ANNOUNCES ACQUISITION TO BOOST EXPANSION IN ELECTRIC GRID AND DATA CENTER SECTORS
Announcement of Acquisition: A new acquisition has been announced to enhance growth in the electric grid and data center sectors.
Focus on Growth: The acquisition aims to further develop infrastructure and capabilities in these critical areas.
See More
Beware of Cash-Burning Companies Risks
- Matthews Risk: Matthews International (MATW) has seen a 1.9% annual sales decline over the past five years, indicating its products have struggled to connect with the market, while a trailing free cash flow margin of -5.9% raises concerns about the sustainability of shareholder value.
- 3D Systems Financial Trouble: 3D Systems (DDD) has experienced a 7% annual sales decline over the last five years, with a free cash flow margin of -25.3%, suggesting that its investments have not yielded expected returns, and limited cash reserves may force it to seek unfavorable financing terms that could dilute shareholder equity.
- NN Company Growth Stagnation: NN (NNBR) has seen flat sales over the past five years, with a free cash flow margin of -1.7%, raising doubts about the long-term viability of its business model, as management's investments have failed to create value and are eroding capital returns.
- Market Warning Signals: These cash-burning companies face serious financial risks that could lead to shareholder dilution, increased debt, or even bankruptcy, prompting investors to carefully assess their portfolios for exposure to such firms.
See More
NN, Inc. Reports Q4 2025 Earnings with Strategic Growth Focus
- Performance Improvement: NN, Inc. achieved its third consecutive year of improved results in 2025, reporting Q4 net sales of $104.7 million and adjusted EBITDA of $12.9 million, reflecting a 5.9% year-over-year increase, indicating significant profitability enhancement post-transformation.
- Strategic Transformation: CEO Harold Bevis emphasized the completion of most restructuring efforts, including four plant closures and approximately 800 job reductions, aiming to shift sales focus towards higher-value markets, with a projected net sales growth of $445 million to $465 million in 2026.
- New Business Expansion: Since mid-2023, NN has secured over $200 million in new business, with a current pipeline exceeding $800 million, particularly marking its first win in the data center market, showcasing a successful transition into high-precision product offerings.
- Capital Expenditure Plans: The company plans to significantly increase capital expenditures in 2026, expecting to double the amount primarily to support growth in new business, while management anticipates continued expansion in adjusted EBITDA margins due to improved sales mix and effective cost reduction initiatives.
See More
NN Inc. Reports Q1 2026 Sales Growth and Raises Guidance
- Sales Growth Outlook: NN Inc. anticipates Q1 2026 net sales to grow compared to last year, reflecting strong performance in the Electric Grid and Data Center markets, with full-year new business wins expected between $80 million and $90 million, demonstrating the effectiveness of the company's strategic shift towards high-growth markets.
- New Business Awards: The company secured approximately $43 million in new business awards in Q1, primarily focused on the Electric Grid and Data Center sectors, which not only strengthens its market position but also lays a solid foundation for future sales growth.
- Production Capacity Enhancement: The launch of over 60 new programs has resulted in a backlog of shippable orders exceeding production capacity, which is expected to drive strong net sales growth through 2026 and beyond, further solidifying the company's competitiveness in high-value markets.
- Strategic Restructuring Plan: NN is implementing an intentional sales growth program aimed at improving profit margins and repositioning market exposure, targeting high-value auto parts and Electric Grid and Data Center components, which will help the company achieve higher profits and market share in the future.
See More
NN Inc. Expects Year-over-Year Sales Growth for Q1 2026
- Sales Performance Outlook: NN Inc. anticipates that its preliminary Q1 2026 net sales will show year-over-year growth, exceeding internal forecasts, driven by strong demand from electric grids and data centers, which is expected to yield a peak annual sales award of approximately $43 million.
- Full-Year Guidance Raised: The company has raised its full-year 2026 sales guidance to between $80 million and $90 million, reflecting continued strength into early Q2, indicating robust market demand.
- New Program Launches: Over 60 new programs were launched in Q1, creating a shippable backlog as orders exceeded production capacity, further enhancing the company's competitive position in the market.
- Executive Outlook: CEO Harold Bevis stated that the company is currently ahead of its 2026 and long-term targets and will provide more details in the Q1 2026 earnings release scheduled for May 6, 2026, demonstrating confidence in future growth.
See More
NN, Inc. Acquires Automated Plating Operations to Expand Capabilities
- Acquisition of Plating Operations: NN, Inc. announced the acquisition of large-scale automated plating operations from a global electrical infrastructure solutions provider, which is expected to significantly enhance its processing capabilities for silver-plated busbars and terminals, thereby strengthening its competitive position in the electric grid and data center equipment market.
- Market Expansion Potential: This acquisition will enable NN to broaden its market share in the electrical components sector, particularly in its second-largest end market, unlocking new business opportunities and growth potential.
- Financial Expectations: NN anticipates that the new business will generate $70 million to $80 million in revenue in 2026, a figure already included in the company's prior financial guidance, highlighting the strategic value of the acquisition.
- Capital Expenditure Plans: The capital expenditure associated with this project is expected to reach $20 million to $22 million in 2026, funded through operating cash flow, indicating the company's confidence in future growth.
See More
NN ANNOUNCES ACQUISITION TO BOOST EXPANSION IN ELECTRIC GRID AND DATA CENTER SECTORS
Announcement of Acquisition: A new acquisition has been announced to enhance growth in the electric grid and data center sectors.
Focus on Growth: The acquisition aims to further develop infrastructure and capabilities in these critical areas.
See More
Beware of Cash-Burning Companies Risks
- Matthews Risk: Matthews International (MATW) has seen a 1.9% annual sales decline over the past five years, indicating its products have struggled to connect with the market, while a trailing free cash flow margin of -5.9% raises concerns about the sustainability of shareholder value.
- 3D Systems Financial Trouble: 3D Systems (DDD) has experienced a 7% annual sales decline over the last five years, with a free cash flow margin of -25.3%, suggesting that its investments have not yielded expected returns, and limited cash reserves may force it to seek unfavorable financing terms that could dilute shareholder equity.
- NN Company Growth Stagnation: NN (NNBR) has seen flat sales over the past five years, with a free cash flow margin of -1.7%, raising doubts about the long-term viability of its business model, as management's investments have failed to create value and are eroding capital returns.
- Market Warning Signals: These cash-burning companies face serious financial risks that could lead to shareholder dilution, increased debt, or even bankruptcy, prompting investors to carefully assess their portfolios for exposure to such firms.
See More
NN, Inc. Reports Q4 2025 Earnings with Strategic Growth Focus
- Performance Improvement: NN, Inc. achieved its third consecutive year of improved results in 2025, reporting Q4 net sales of $104.7 million and adjusted EBITDA of $12.9 million, reflecting a 5.9% year-over-year increase, indicating significant profitability enhancement post-transformation.
- Strategic Transformation: CEO Harold Bevis emphasized the completion of most restructuring efforts, including four plant closures and approximately 800 job reductions, aiming to shift sales focus towards higher-value markets, with a projected net sales growth of $445 million to $465 million in 2026.
- New Business Expansion: Since mid-2023, NN has secured over $200 million in new business, with a current pipeline exceeding $800 million, particularly marking its first win in the data center market, showcasing a successful transition into high-precision product offerings.
- Capital Expenditure Plans: The company plans to significantly increase capital expenditures in 2026, expecting to double the amount primarily to support growth in new business, while management anticipates continued expansion in adjusted EBITDA margins due to improved sales mix and effective cost reduction initiatives.
See More
