8-K ·Filed Sep 1, 2026

GGG

GRACO INC
BULLISH
Impact 6/10
Horizonmonths Processed1mo ago SEC0001193125-26-377613
8-K context-dependent: Items 7.01
Actionable Insight ▲ Bullish

The acquisition is a bolt-on that expands Graco's addressable market in precision adhesive dispensing. Monitor the next quarterly report for initial revenue contribution from Valco Melton and any updates on synergy realization. The all-cash deal preserves balance sheet flexibility.

DirectionBullish
Confidencehigh
Horizonmonths
Latest settled — T+20d
GGG ▲ +0.03% at T+20d
LONG call ✓ call won +0.03% · α vs SPY -0.29% · entry $76.82 → $76.84
Next anchor: T+60d in 8w
Entry anchored
Sep 1, 05:00 AM ET
via 1-min bar
T+1d
+0.76%
call +0.76% · α +0.31%
$77.40
settled 4w ago
T+5d
-0.53%
call -0.53% · α -0.61%
$76.41
settled 23d ago
T+20d
+0.03%
call +0.03% · α -0.29%
$76.84
settled 2d ago
T+60d
—
call — · α —
—
in 8w

Price Chart

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Executive Summary

Graco Inc. announced the completion of its previously announced acquisition of Valco Melton for $447 million in cash. The deal, which expands Graco's capabilities in precision adhesive application and quality assurance systems, was funded entirely with cash. Valco Melton generated approximately $145 million in revenue in 2025 and will be integrated into Graco's Industrial segment. The net transaction value represents approximately 14x 2025 adjusted EBITDA and approximately 10x 2026 estimated synergy-adjusted EBITDA, after adjusting for ~$40 million in expected tax benefits.

Key Facts

  • Graco completed the acquisition of Valco Melton for $447 million in cash.
  • Valco Melton generated approximately $145 million in revenue in 2025.
  • The net transaction value is approximately 14x 2025 adjusted EBITDA and 10x 2026 estimated synergy-adjusted EBITDA.
  • The acquisition is expected to provide approximately $40 million in present value of tax benefits.
  • Valco Melton has approximately 650 employees and serves customers in more than 80 countries.
  • The acquisition was previously announced on May 21, 2026.

Financial Impact

$447 million cash acquisition with ~$40 million in expected tax benefits; target generated ~$145 million in 2025 revenue.

revenueebitdadebtcash

Risk Factors

  • Integration risk: combining Valco Melton's operations and culture with Graco's.
  • Execution risk: achieving the projected 10x 2026 synergy-adjusted EBITDA multiple.
  • Potential for higher leverage if Graco takes on debt to replenish cash used for the acquisition.

Market Snapshot

Exchange
NYSE
Sector
Pumps & Pumping Equipment
Analyst Consensus
44% bullish (16 analysts)

Investment Themes

Industrials & Manufacturing

Documents Analyzed

This report is based on 5 SEC documents filed with EDGAR.

DocumentAccession Number
8-K Filing (Primary)0001193125-26-377613
Document: d100947dex991.htm0001193125-26-377613
Document: 0001193125-26-377613-index-headers.html0001193125-26-377613
Document: 0001193125-26-377613-index.html0001193125-26-377613
Document: 0001193125-26-377613.txt0001193125-26-377613
6 reports for GGG
Performance horizon

Track record builds as more directional reports settle.

Filters
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Reports for GGG — sortable, filterable
TypeNow
Sep 14, 2026
18d ago
8-K
NEUTRAL ★ 2/10
$76.54 $76.59▲ +0.07%▼ −0.04%$78.00 (+1.91%)
Sep 1, 2026
4w ago
8-K
BULLISH ★ 6/10
$76.82 $76.41▼ −0.53%▼ −0.61%$78.00 (+1.54%)
Jun 15, 2026
15w ago
8-K
NEUTRAL ★ 2/10
$75.15 $75.51▲ +0.48%▲ +1.86%$78.00 (+3.79%)
May 21, 2026
19w ago
8-K
BULLISH ★ 6/10
$75.29 $75.32▲ +0.04%▼ −1.81%$78.00 (+3.60%)
May 5, 2026
21w ago
8-K
NEUTRAL ★ 3/10
$78.42 $76.97▼ −1.85%▼ −3.83%$78.00 (−0.53%)
Mar 11, 2026
29w ago
DEFA14A
NEUTRAL ★ 3/10
$87.64 $84.41▼ −3.69%▼ −1.50%$78.00 (−11.00%)
Showing 6 of 6

US Market Status

Market Closed — Opens Mon (65h 5m)

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