Is MOD's EPS growth sustainable in 2025?

**Modine Manufacturing's (MOD) EPS growth in 2025 is likely to be sustainable**, considering the following points:

1. **Strategic Expansion**: Modine's expansion into the data center market with the introduction of hybrid cooling solutions and the acquisition of AbsolutAire are strategic moves that align with the growing demand for efficient cooling systems. This expansion is expected to increase revenue streams and contribute to EPS growth.
2. **Financial Health and Liquidity**: The company's strong financial position, as indicated by a current ratio of 1.87, suggests its ability to fund growth initiatives and support new projects. This financial stability is crucial for sustaining EPS growth.
3. **Market Position and Innovation**: Modine's leadership in thermal management technologies and its innovation in expanding CDU capacities position it well to capitalize on market opportunities. The company's focus on engineering cleaner and healthier environments also aligns with growing market trends for sustainable solutions.
4. **Buyback Program and Investor Confidence**: The board's approval of a $100 million share buyback program reflects confidence in the company's undervaluation and potential for future growth. Such initiatives can boost investor confidence and contribute to a positive perception of EPS growth.
5. **Analyst Ratings and Price Targets**: Analysts have maintained a positive outlook on Modine, reaffirming a Buy rating and a $155 price target, which suggests confidence in the company's future prospects, including EPS growth.

In conclusion, Modine's EPS growth in 2025 is supported by strategic expansions, strong financial health, a focus on innovation, a buyback program, and positive analyst ratings, making it sustainable in the current context.