How Lindsay’s US$80 Million MENA Irrigation Deal Will Impact Lindsay (LNN) Investors

• Lindsay Corporation recently announced it entered a supply agreement worth about US$80 million to provide Zimmatic irrigation systems and FieldNET remote management technology across the Middle East and North Africa, with deliveries underway and most revenue expected in fiscal 2026.
• This sizable contract adds a new international revenue stream at a time when Lindsay’s core business has been under pressure and organic growth has disappointed.
• Next, we’ll examine how this large MENA irrigation contract could reshape Lindsay’s investment narrative, especially its outlook for international growth.

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Lindsay Investment Narrative Recap

To own Lindsay, you need to believe its irrigation and infrastructure businesses can translate modest growth and disciplined capital returns into attractive long term compounding. The new US$80 million MENA contract meaningfully boosts near term international irrigation visibility, which helps offset weakness in core organic demand but does not eliminate the key risk that North American irrigation and farmer spending stay subdued.

The recent US$150 million share repurchase authorization is particularly relevant here, as it shows Lindsay committing more cash to shareholders while its earnings growth has lagged peers and Wall Street still expects flat near term revenue. That backdrop makes the incremental international MENA volume more important to watch as a potential support for earnings and cash returns if domestic irrigation conditions remain soft.

Yet, even with this new MENA contract, investors should still pay close attention to the risk that North American irrigation demand...

Read the full narrative on Lindsay (it's free!)

Lindsay’s narrative projects $751.5 million revenue and $86.5 million earnings by 2028. This requires 3.5% yearly revenue growth and a roughly $10.5 million earnings increase from $76.0 million today.

Uncover how Lindsay's forecasts yield a $127.00 fair value, a 5% upside to its current price.

Exploring Other Perspectives

Two fair value estimates from the Simply Wall St Community span roughly US$127 to US$165 per share, underscoring how far apart individual views can be. You should weigh those against the possibility that soft North American irrigation demand and farmer spending could limit how quickly Lindsay’s recent contract wins translate into stronger overall performance.

Explore 2 other fair value estimates on Lindsay - why the stock might be worth as much as 36% more than the current price!

Build Your Own Lindsay Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Lindsay research is our analysis highlighting 3 key rewards that could impact your investment decision.
• Our free Lindsay research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Lindsay's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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