CECO Environmental Corp. (CECO) Stock Price & How to Invest

CECO Environmental was incorporated in 1966 and now runs out of Addison, Texas, just outside Dallas. It sells engineered equipment that cleans, moves, separates, quiets and heats industrial process streams: selective catalytic reduction systems and gas turbine inlet and exhaust packages for power plants, cyclones and dust collectors for cement and metals, thermal oxidizers and scrubbers for chemicals, filtration and fluid handling for semiconductors and food processing, and acoustic enclosures where noise limits are part of the permit. The business is reported in two segments, Engineered Systems and Industrial Process Solutions. On June 1, 2026 CECO closed a roughly $2.2 billion combination with Thermon Group, a maker of electric and steam heat tracing, controllers, boilers and thermal fluid heaters, adding a business with roughly $520 million of annual revenue, gross margins near 45 percent and a large recurring maintenance component. CECO shareholders own about 62.5 percent of the combined company. In October 2026 CECO announced it would transfer its primary listing from the Nasdaq Global Select Market to the Texas Stock Exchange, with Nasdaq trading expected to end October 16 and TXSE trading to begin October 19, 2026; the ticker and CUSIP stay the same.

The investment picture is a demand story wrapped around an integration story. Orders reached a record of roughly $1,064 million in 2025, rose about 97 percent in the first quarter of 2026 to roughly $450 million, and then jumped about 191 percent in the second quarter to roughly $799 million, the first quarter to include Thermon. Backlog reached about $1.82 billion at June 30, 2026, up about 164 percent, and second quarter revenue rose about 54 percent to roughly $285 million with adjusted EBITDA up about 73 percent to roughly $40 million and adjusted EPS of $0.47 against a $0.33 estimate. Management points at the same source everyone else in industrial capital equipment is pointing at: natural gas generation being built to feed data centers, AI computing, reshored factories and electrification, with a stated pipeline above $8 billion after the Thermon close. Against that, reported profitability is thin. Trailing twelve month revenue is roughly $903 million against a GAAP net loss of roughly $31 million, about $45.5 million of acquisition and integration expense pushed the second quarter to a GAAP loss of about $35 million, trailing free cash flow is roughly negative $163 million, share count rose by about 22.5 million shares to fund Thermon, and the stock trades well below the highs it set before the deal was announced: at $59.22 on October 16, 2026 it is down about 28 percent over three months and about 1 percent for the year, though up about 16 percent over one year. What the market is paying for is the guided 2026 combined figures and the synergy plan behind them, not the trailing results.

Project revenue is lumpy, and a book to bill above two in one quarter does not repeat forever. The Thermon deal added roughly 22.5 million shares and several hundred million dollars of drawn debt at once, so integration slippage or synergy shortfall shows up directly in per-share results, and the stock already fell hard from its pre-deal highs on dilution concerns. GAAP results are currently negative (a trailing net loss of roughly $31 million) against a roughly $3.5 billion market value, meaning the multiple rests on guided 2026 and 2027 figures rather than delivered ones. The order surge is concentrated in natural gas generation tied to data center construction, a capital cycle that can pause faster than a backlog implies. CECO also has a history of resetting guidance, including a revenue cut in January 2025 that knocked the shares down, and the second quarter 2026 report was pushed from August 6 to August 10 while the company completed reporting work following the Thermon close. Cash flow is the newer pressure point: trailing operating cash flow is slightly negative and free cash flow roughly negative $163 million, and the shares fell about 15 percent in the month to October 16, 2026. The move of the primary listing to the young Texas Stock Exchange is an operational change, but it adds a venue with a short trading history.

7 analysts publish price targets on CECO, averaging $109.00 against a $50.06 price as of November 2026, or +117.7%. The published targets run from $85.00 to $130.00, a moderate spread, and the ratings split 7 buy, 0 hold, 0 sell. Over the last six months there have been 2 raises and 1 cut among the published actions. A price target is what an analyst published on a date, not a prediction, and sell-side ratings skew positive across the whole market.

Read the full CECO forecast and price target for the target table, the recent rating actions by firm, and how the consensus has shifted.

We give no verdict on CECO Environmental Corp.. Both cases are real, which is why the question is contested at all, so here is the strongest version of each.

The case for buying. Natural gas power and the data center buildout. CECO's largest order ever, booked in April 2026, was gas turbine inlet air conditioning and emissions management for a large Texas natural gas plant serving data center expansion. The most optimistic published target, $130.00, assumes this works close to its best case.

The case against. Project revenue is lumpy, and a book to bill above two in one quarter does not repeat forever. The most pessimistic target, $85.00, is roughly what CECO is worth if this bites instead.

Read the full bull and bear case on CECO, including what would have to change to break either one. Walnut is not an investment adviser.

No. CECO Environmental Corp. (CECO) has not split its stock in the last 10 years. That is a statement about the window we check rather than about the company’s entire history, so an older split is possible. It also matters less than it once did: fractional shares mean a high price per share no longer keeps smaller investors out, which removed most of the practical reason to split.

A simple financial snapshot. These are approximations and refresh quarterly; for current figures see CECO Environmental Corp.'s investor relations page or your broker.

• Revenue (TTM): ~$903M; Q2 2026 ~$285M, up ~54%
• FY2026 guidance (with Thermon): Revenue ~$1.300B to ~$1.375B, adjusted EBITDA ~$200M to ~$225M
• Q2 2026 orders and backlog: Orders ~$799M (up ~191%), backlog ~$1.82B (up ~164%)
• Q2 2026 margins and EPS: Adjusted EBITDA margin ~14.1%, adjusted EPS $0.47 vs ~$0.33 estimate
• Net income (TTM): ~-$31M GAAP, after acquisition and integration costs
• Market cap: ~$3.5B near ~$59, 52 week range ~$43 to ~$101
• Earnings multiple: No trailing GAAP P/E (net loss), forward P/E ~19x; no dividend

The trailing numbers and the forward numbers describe two different companies, because Thermon only joined on June 1, 2026 and the 2026 guide carries seven months of it. That gap is why trailing GAAP earnings are negative while the forward multiple of about 19 times 2027 consensus EPS looks like an ordinary growth industrial. Anyone reading CECO on trailing figures alone will misprice it in one direction, and anyone reading it purely on guidance assumes the synergy and conversion plan lands; the third quarter report, expected around October 27, 2026 with consensus near $400 million of revenue and $0.59 of EPS, is the first full quarter with Thermon.

Other names that sit close to CECO: same theme, named as a direct competitor, or held beside it in the same funds. Each entry says which. Worth a look if you are thinking about diversification within a thesis rather than concentration on one ticker.

There are three common ways to get CECO exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it, which spreads the position across many companies. Or build it into a focused thematic portfolio, so CECO sits alongside other stocks that express the same thesis.

Walnut takes the portfolio route. Describe a thesis where CECO fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.

New to this? Start with how to invest in stocks, see how to analyze a stock with AI, or compare the best AI stock analyzers.

CECO is an acquisitive industrial geared to natural gas power and the data center buildout, priced on what the combined company with Thermon can earn rather than on what it earns today.

Whether CECO is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is CECO a buy or a sell?, and where the stock could go from here in the CECO stock forecast.

For income investors, whether CECO pays a dividend and how the payout looks is covered in does CECO pay a dividend? And to weigh CECO against a peer, read the full side-by-side comparisons: CECO vs FTEK and CECO vs DCI.