Hyster-Yale: Stabilizing Bookings, But Recovery Risks Remain Elevated

Hyster-Yale, Inc. (HY) reported a challenging Q1'26, with revenue down 13%, negative EBITDA, and a $26 million operating loss driven by tariffs and an unfavorable product mix. I rate Hyster shares a Hold due to looming Q2 trough, significant tariff uncertainty, and high leverage requiring a timely recovery for normalization. Bookings and backlog show early signs of stabilization, but translating this into higher shipments and profitability in H2 remains uncertain.