Download PDF

1. Company Snapshot

1.a. Company Description

MSA Safety Incorporated develops, manufactures, and supplies safety products that protect people and facility infrastructures in the oil, gas, petrochemical, fire service, construction, industrial manufacturing applications, utilities, military, and mining industries in North America, Latin America, and internationally.The company's core product offerings include permanently installed fixed gas and flame detection instruments, such as permanently installed gas detection monitoring systems, and flame detectors and open-path infrared gas detectors, as well as replacement components and related services to detect the presence or absence of various gases in the air.Its core product offerings also comprise breathing apparatus products, such as self-contained breathing apparatus; hand-held portable gas detection instruments; industrial head protection products; firefighter helmets and protective apparel; and fall protection equipment, including confined space equipment, harnesses, lanyards, and self-retracting lifelines, as well as engineered systems.


In addition, the company offers air-purifying respirators, eye and face protection products, ballistic helmets, and gas masks.It serves distributors and end-users through indirect and direct sales channels.The company offers its product under the V-Gard, Cairns, and Gallet brand names.


MSA Safety Incorporated was founded in 1914 and is based in Cranberry Township, Pennsylvania.

Show Full description

1.b. Last Insights on MSA

MSA Safety Incorporated's recent momentum is driven by increased institutional investment, with firms like Campbell & CO Investment Adviser LLC, Cooke & Bieler LP, and Madison Asset Management acquiring new stakes or boosting existing ones. The company's dividend yield of 1.28% also attracts income investors. Upcoming earnings conference call on February 12, 2026, may provide further insight into the company's growth prospects.

1.c. Company Highlights

2. MSA Safety's 2025 Earnings: A Resilient Performance

MSA Safety's fourth quarter and full-year 2025 earnings report showcased a solid performance, with reported sales growth of 2% in Q4 and 4% for the full year. The company's adjusted earnings per share (EPS) came in at $2.38, beating estimates of $2.26. The full-year adjusted operating margin was 22.1%, down 80 basis points from the previous year. The company's strong free cash flow generation, with $106 million in Q4 and $295 million for the full year, underscored its financial health. MSA Safety returned $61 million to shareholders through dividends and share repurchases.

Publication Date: Feb -16

📋 Highlights
  • Q4 Sales & Earnings Growth:: 2% reported sales growth, $2.38 adjusted EPS, and 22.1% full-year operating margin despite 80 bps decline YoY.
  • Detection Segment Momentum:: Double-digit organic growth in 2025 driven by fixed instruments, with mid-single-digit 2026 revenue growth expected from new product launches.
  • Strong Free Cash Flow:: $106M generated in Q4 2025 and $295M for 2025, supporting $61M shareholder returns via dividends and buybacks.
  • 2026 Growth Outlook:: Mid-single-digit organic growth projected, with detection and fall protection as key drivers, and margin targets to return to 30% incremental levels.
  • Fire Service Recovery:: Q4 2025 headwinds from delayed government funding expected to normalize in H2 2026, with full-year demand cycle returning to normal.

Segment Performance

The detection segment was a standout, with double-digit growth driven by strength in fixed and portable instruments. Industrial PPE saw low single-digit growth. The fire service segment faced headwinds in Q4 2025 due to government funding delays, but these are expected to normalize in the second half of 2026.

Outlook for 2026

MSA Safety projects mid-single-digit full-year organic growth in 2026, driven by ongoing momentum in detection and fall protection. The company expects normal seasonal patterns throughout the year and M&A to contribute approximately 1 percentage point to full-year revenue growth. Analysts estimate next year's revenue growth at 5.2%, slightly above the company's guidance.

Margin Expansion

MSA Safety's margin outlook is positive, with expectations of sequential margin improvement throughout 2026, targeting a return to 30% incremental margin targets. The company expects to see benefits from efficiency and pricing actions, with a combination of both driving growth.

Valuation

With a P/E Ratio of 28.44 and an EV/EBITDA of 17.57, the market appears to be pricing in a certain level of growth. The company's strong balance sheet, with ample liquidity of $1.2 billion, and a solid ROIC of 13.46% and ROE of 21.82%, position it well to support its Accelerate strategy and invest in its business.

Product Innovation

MSA Safety is focused on launching new products informed by customer needs, with a number of launches expected in 2026. The company sees opportunities in emerging areas, such as data centers, where its fixed monitoring solutions can be applied, potentially driving future growth.

3. NewsRoom

Card image cap

Channing Capital Management LLC Lowers Stock Holdings in MSA Safety Incorporporated $MSA

Feb -22

Source: defenseworld.net

Card image cap

Mineros S.A. (MNSAF) Q4 2025 Earnings Call Transcript

Feb -19

Source: seekingalpha.com

Card image cap

MSA Safety Incorporated (MSA) Q4 2025 Earnings Call Transcript

Feb -12

Source: seekingalpha.com

Card image cap

MSA Safety (MSA) Reports Q4 Earnings: What Key Metrics Have to Say

Feb -12

Source: zacks.com

Card image cap

MSA Safety (MSA) Tops Q4 Earnings and Revenue Estimates

Feb -11

Source: zacks.com

Card image cap

MSA Safety Announces Fourth Quarter and Full-Year 2025 Results

Feb -11

Source: prnewswire.com

Card image cap

Madison Asset Initiates MSA Safety Position

Feb -04

Source: fool.com

Card image cap

Y Intercept Hong Kong Ltd Buys Shares of 4,542 MSA Safety Incorporporated $MSA

Feb -03

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.17%)

6. Segments

Firefighter Safety

Expected Growth: 4.5%

MSA Safety's Firefighter Safety segment growth is driven by increasing demand for advanced protective gear, stringent safety regulations, and rising awareness of firefighter health risks. Additionally, product innovation, strategic acquisitions, and expanding presence in emerging markets contribute to the 4.5% growth rate.

Detection

Expected Growth: 3.8%

MSA Safety Incorporated's 3.8% growth is driven by increasing demand for safety products in the oil and gas industry, expansion in emerging markets, and strategic acquisitions. Additionally, the company's focus on innovation and R&D has led to the development of new products, further boosting sales. Cost savings initiatives and operational efficiencies have also contributed to the growth.

Industrial PPE and Other

Expected Growth: 4.2%

MSA Safety's Industrial PPE and Other segment growth of 4.2% is driven by increasing demand for respiratory protection products, particularly in the oil and gas industry. Additionally, the company's expansion into emerging markets and strategic acquisitions have contributed to growth. Furthermore, the rising awareness of workplace safety and regulatory requirements have boosted sales of personal protective equipment.

7. Detailed Products

Hard Hats

Protective headgear designed to prevent head injuries from falling objects, debris, and electrical hazards.

Respiratory Protection

Masks, filters, and breathing apparatus that protect against airborne contaminants, gases, and vapors.

Fall Protection

Harnesses, lanyards, and anchors designed to prevent falls from heights and protect against falling.

Gas Detection

Portable and fixed gas detectors that identify and alert users to hazardous gas levels.

Fire Service Products

Protective gear, helmets, and accessories designed for firefighters and emergency responders.

Thermal Imaging Cameras

Handheld cameras that detect heat signatures, allowing users to visualize temperature differences.

Fixed Gas and Flame Detection

Systems that continuously monitor and alert users to hazardous gas levels and flame presence.

8. MSA Safety Incorporated's Porter Forces

Forces Ranking

Threat Of Substitutes

MSA Safety Incorporated operates in a niche market with high barriers to entry, reducing the threat of substitutes.

Bargaining Power Of Customers

MSA Safety Incorporated has a diverse customer base, reducing the bargaining power of individual customers.

Bargaining Power Of Suppliers

MSA Safety Incorporated has a moderate level of dependence on its suppliers, but has implemented strategies to mitigate this risk.

Threat Of New Entrants

MSA Safety Incorporated operates in a highly regulated industry with high barriers to entry, reducing the threat of new entrants.

Intensity Of Rivalry

MSA Safety Incorporated operates in a highly competitive industry with several established players, leading to a high intensity of rivalry.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 38.73%
Debt Cost 8.99%
Equity Weight 61.27%
Equity Cost 8.99%
WACC 8.99%
Leverage 63.22%

11. Quality Control: MSA Safety Incorporated passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
ADT

A-Score: 6.8/10

Value: 8.0

Growth: 6.6

Quality: 6.4

Yield: 5.0

Momentum: 7.0

Volatility: 7.7

1-Year Total Return ->

View Full Report
Stock-Card
Brady

A-Score: 6.1/10

Value: 3.9

Growth: 6.2

Quality: 7.6

Yield: 3.0

Momentum: 7.0

Volatility: 9.0

1-Year Total Return ->

View Full Report
Stock-Card
MSA Safety

A-Score: 5.7/10

Value: 3.5

Growth: 6.7

Quality: 8.0

Yield: 2.0

Momentum: 5.0

Volatility: 9.0

1-Year Total Return ->

View Full Report
Stock-Card
Masco

A-Score: 5.6/10

Value: 6.8

Growth: 5.8

Quality: 6.2

Yield: 4.0

Momentum: 3.0

Volatility: 7.7

1-Year Total Return ->

View Full Report
Stock-Card
Brinks

A-Score: 5.5/10

Value: 4.7

Growth: 6.6

Quality: 4.3

Yield: 2.0

Momentum: 8.0

Volatility: 7.7

1-Year Total Return ->

View Full Report
Stock-Card
Resideo Technologies

A-Score: 4.8/10

Value: 8.5

Growth: 5.4

Quality: 4.3

Yield: 0.0

Momentum: 7.0

Volatility: 3.3

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

197.06$

Current Price

197.06$

Potential

-0.00%

Expected Cash-Flows