DA Davidson Raises Modine (MOD) PT to $265 Following FQ3 Beat, Exceptional AI Data Center Momentum

Core Viewpoint - Modine Manufacturing Company (NYSE:MOD) is identified as a promising investment opportunity in the AI sector, particularly following positive earnings reports and analyst upgrades. Group 1: Analyst Upgrades - DA Davidson analyst Matt Summerville raised the price target for Modine to $265 from $255, maintaining a Buy rating after a strong FQ3 2026 earnings performance [1] - B. Riley also increased Modine's price target to $250 from $190 while keeping a Buy rating, adjusting estimates post the company's FQ3 earnings report [2] Group 2: Business Performance and Strategy - Modine's data center funnel, win rates, and order bookings are described as exceptional, indicating strong demand and operational efficiency [1] - The company is expected to secure multiple long-term agreements with key hyperscalers, which will help mitigate risks associated with future inbound orders [1] - The expansion of data center capacity and the spin-off of the Performance Technologies segment are transforming Modine into a high-volume, pure-play climate solutions manufacturer with higher-margin products [4] Group 3: Company Overview - Modine Manufacturing Company designs, engineers, tests, manufactures, and sells mission-critical thermal solutions across various countries including the US, Canada, Italy, Hungary, the UK, and China [5]