GGG GRACO INC

BULLISH Impact: 6/10 8-K
Horizon weeks Filed May 21, 2026 Processed 19d 19h ago SEC 0000042888-26-000110
8-K context-dependent: Items 7.01
Latest settled — T+5d
GGG ▲ +0.04% at T+5d
LONG call ✓ call won +0.04% · α vs SPY -1.81% · entry $75.29 → $75.32
Next anchor: T+20d in 12d
Last close $74.16 (close Jun 8) · -1.50% from $75.29 entry
Entry anchored
May 21, 2026
via day open
T+1d
+0.50%
call +0.50% · α +0.06%
$75.67
settled 19d ago
T+5d
+0.04%
call +0.04% · α -1.81%
$75.32
settled 12d ago
T+20d
—
call — · α —
—
in 12d
T+60d
—
call — · α —
—
in 2mo

Price Chart

Loading chart...

Executive Summary

Graco Inc. announced a definitive agreement to acquire Valco Melton, a global provider of adhesive application and quality assurance systems, for $447 million in cash (including ~$40 million in present value of expected tax benefits). Valco Melton generated ~$145 million in revenue in 2025 and the purchase price represents ~14x its 2025 EBITDA. The deal is expected to close in Graco's fiscal Q3 2026.

Actionable Insight

The acquisition is a bolt-on that expands Graco's precision dispensing capabilities into a growing packaging-adjacent market. At 14x EBITDA, the multiple is reasonable for a strategic industrial tuck-in. Monitor Q3 2026 close and any integration commentary on the next earnings call. The deal is all-cash, so near-term leverage will increase modestly.

Key Facts

  • Acquisition price: $447 million in cash, including ~$40 million in present value of expected tax benefits
  • Valco Melton 2025 revenue: ~$145 million
  • Purchase price represents ~14x Valco Melton's full year 2025 EBITDA
  • Valco Melton has ~650 employees and serves customers in more than 80 countries
  • Transaction expected to close in Graco's fiscal third quarter 2026
  • Valco Melton will become part of Graco's Industrial division

Financial Impact

$447 million cash acquisition of a company with ~$145 million annual revenue; ~14x EBITDA multiple

revenueebitdacash

Risk Factors

  • Integration risk — Valco Melton's 650 employees and global operations must be absorbed smoothly
  • Execution risk — expected tax benefits of ~$40 million may not fully materialize
  • Potential for modest leverage increase given all-cash consideration

Market Snapshot

Exchange
NYSE
Sector
Pumps & Pumping Equipment
Analyst Consensus
50% bullish (16 analysts)

Documents Analyzed

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

DocumentAccession Number
8-K Filing (Primary)0000042888-26-000110
Exhibit: exhibit991052120268-k.htm0000042888-26-000110
Document: 0000042888-26-000110-index-headers.html0000042888-26-000110
Document: 0000042888-26-000110-index.html0000042888-26-000110
Document: 0000042888-26-000110.txt0000042888-26-000110
3 reports for GGG
Performance horizon
Filters
Rows
Reports for GGG — sortable, filterable
Type Now
May 21, 2026
19d ago
8-K
BULLISH ★ 6/10
$75.29 $75.32▲ +0.04%▼ −1.81%$74.16 (−1.50%)
May 5, 2026
5w ago
8-K
NEUTRAL ★ 3/10
$78.42 $76.97▼ −1.85%▼ −3.83%$74.16 (−5.43%)
Mar 11, 2026
12w ago
DEFA14A
NEUTRAL ★ 3/10
$87.64 $84.41▼ −3.69%▼ −1.50%$74.16 (−15.38%)
Showing 3 of 3

US Market Status

Market Closed — Opens in 5h 34m

Subscribe to SecBot

Get Real-Time SEC Filing Intelligence

Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.

Try SecBot Free Coming soon: SecBot Pro with alerts, watchlists, and API access