Would You Still Hold Modine Manufacturing Stock If It Fell Another 30%?

Modine Manufacturing (MOD) stock is down 15.3% in a day. The recent slide reflects renewed concerns around margin pressure from data center expansion costs, but sharp drops like this often raise a tougher question: is the weakness temporary, or a sign of deeper cracks in the story?

Before judging its downturn reslience, let’s look at where Modine Manufacturing stands today.

• Size: Modine Manufacturing is a $7.4 Bil company with $2.7 Bil in revenue currently trading at $139.88.
• Fundamentals: Last 12 month revenue growth of 8.1% and operating margin of 11.7%.
• Liquidity: Has Debt to Equity ratio of 0.08 and Cash to Assets ratio of 0.04
• Valuation: Modine Manufacturing stock is currently trading at P/E multiple of 40.2 and P/EBIT multiple of 27.1
• Has returned (median) 47% within a year following sharp dips since 2010. See MOD Dip Buy Analysis.

These metrics point to a Moderate operational performance, alongside Very High valuation – making the stock Unattractive. For details, see Buy or Sell MOD Stock

That brings us to the key consideration for investors worried about this fall: how resilient is MOD stock if markets turn south? This is where our downturn resilience framework comes in. Suppose MOD stock falls another 20-30% to $98 – can investors comfortably hold on? Turns out, the stock has fared much worse than the S&P 500 index during various economic downturns, based on (a) how much the stock fell and, (b) how quickly it recovered. Below, we dive deeper into each such downturn.

2022 Inflation Shock

• MOD stock fell 57.5% from a high of $18.13 on 1 June 2021 to $7.71 on 27 April 2022 vs. a peak-to-trough decline of 25.4% for the S&P 500.
• However, the stock fully recovered to its pre-Crisis peak by 1 November 2022
• Since then, the stock increased to a high of $165.19 on 11 December 2025 , and currently trades at $139.88

 
2020 Covid Pandemic

• MOD stock fell 67.3% from a high of $9.10 on 5 February 2020 to $2.98 on 3 April 2020 vs. a peak-to-trough decline of 33.9% for the S&P 500.
• However, the stock fully recovered to its pre-Crisis peak by 6 November 2020

 
2018 Correction

• MOD stock fell 73.2% from a high of $25.10 on 26 February 2018 to $6.72 on 20 November 2019 vs. a peak-to-trough decline of 19.8% for the S&P 500.
• However, the stock fully recovered to its pre-Crisis peak by 1 March 2023

 
2008 Global Financial Crisis

• MOD stock fell 97.1% from a high of $28.84 on 4 September 2007 to $0.83 on 12 February 2009 vs. a peak-to-trough decline of 56.8% for the S&P 500.
• However, the stock fully recovered to its pre-Crisis peak by 2 June 2023

 
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