Latest news with #Gorman-Rupp
Yahoo
03-06-2025
- Business
- Yahoo
3 Cash-Producing Stocks with Mounting Challenges
A company that generates cash isn't automatically a winner. Some businesses stockpile cash but fail to reinvest wisely, limiting their ability to expand. Not all companies are created equal, and StockStory is here to surface the ones with real upside. That said, here are three cash-producing companies to steer clear of and a few better alternatives. Trailing 12-Month Free Cash Flow Margin: 10% Powering fluid dynamics since 1934, Gorman-Rupp (NYSE:GRC) has evolved from its Ohio origins into a global manufacturer and seller of pumps and pump systems. Why Does GRC Worry Us? Sales trends were unexciting over the last two years as its 7.1% annual growth was below the typical industrials company Estimated sales growth of 3.8% for the next 12 months implies demand will slow from its two-year trend Free cash flow margin shrank by 4.2 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive At $36.58 per share, Gorman-Rupp trades at 17.1x forward P/E. Read our free research report to see why you should think twice about including GRC in your portfolio, it's free. Trailing 12-Month Free Cash Flow Margin: 7.4% Serving approximately 66,000 clients across 22 states with a focus on "dual eligible" Medicare and Medicaid beneficiaries, Addus HomeCare (NASDAQ:ADUS) provides in-home personal care, hospice, and home health services to elderly, chronically ill, and disabled individuals. Why Are We Wary of ADUS? Revenue base of $1.21 billion puts it at a disadvantage compared to larger competitors exhibiting economies of scale Free cash flow margin has shown no improvement over the last five years Addus HomeCare's stock price of $111.20 implies a valuation ratio of 18x forward P/E. Check out our free in-depth research report to learn more about why ADUS doesn't pass our bar. Trailing 12-Month Free Cash Flow Margin: 10% With roots dating back to 1904 and embedded in virtually every stage of scientific research and production, Avantor (NYSE:AVTR) provides mission-critical products, materials, and services to customers in biopharma, healthcare, education, and advanced technology industries. Why Are We Hesitant About AVTR? Organic sales performance over the past two years indicates the company may need to make strategic adjustments or rely on M&A to catalyze faster growth Demand will likely be weak over the next 12 months as Wall Street expects flat revenue Inability to adjust its cost structure while its revenue declined over the last two years led to a 3 percentage point drop in the company's adjusted operating margin Avantor is trading at $12.96 per share, or 11.8x forward P/E. To fully understand why you should be careful with AVTR, check out our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
14-05-2025
- Business
- Yahoo
Looking for a Growth Stock? 3 Reasons Why Gorman-Rupp (GRC) is a Solid Choice
Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. But finding a growth stock that can live up to its true potential can be a tough task. In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end. However, it's pretty easy to find cutting-edge growth stocks with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects. Gorman-Rupp (GRC) is on the list of such stocks currently recommended by our proprietary system. In addition to a favorable Growth Score, it carries a top Zacks Rank. Research shows that stocks carrying the best growth features consistently beat the market. And returns are even better for stocks that possess the combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy). While there are numerous reasons why the stock of this pump maker is a great growth pick right now, we have highlighted three of the most important factors below: Arguably nothing is more important than earnings growth, as surging profit levels is what most investors are after. And for growth investors, double-digit earnings growth is definitely preferable, and often an indication of strong prospects (and stock price gains) for the company under consideration. While the historical EPS growth rate for Gorman-Rupp is 8.7%, investors should actually focus on the projected growth. The company's EPS is expected to grow 13.7% this year, crushing the industry average, which calls for EPS growth of 6.3%. While cash is the lifeblood of any business, higher-than-average cash flow growth is more important and beneficial for growth-oriented companies than for mature companies. That's because, growth in cash flow enables these companies to expand their businesses without depending on expensive outside funds. Right now, year-over-year cash flow growth for Gorman-Rupp is 19.3%, which is higher than many of its peers. In fact, the rate compares to the industry average of 1.6%. While investors should actually consider the current cash flow growth, it's worth taking a look at the historical rate too for putting the current reading into proper perspective. The company's annualized cash flow growth rate has been 10.6% over the past 3-5 years versus the industry average of 8.4%. Superiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements. The current-year earnings estimates for Gorman-Rupp have been revising upward. The Zacks Consensus Estimate for the current year has surged 0.5% over the past month. Gorman-Rupp has not only earned a Growth Score of B based on a number of factors, including the ones discussed above, but it also carries a Zacks Rank #2 because of the positive earnings estimate revisions. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. This combination indicates that Gorman-Rupp is a potential outperformer and a solid choice for growth investors. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Gorman-Rupp Company (The) (GRC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
14-05-2025
- Business
- Yahoo
Is Fanuc (FANUY) Stock Outpacing Its Industrial Products Peers This Year?
Investors interested in Industrial Products stocks should always be looking to find the best-performing companies in the group. Fanuc Corp. (FANUY) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? By taking a look at the stock's year-to-date performance in comparison to its Industrial Products peers, we might be able to answer that question. Fanuc Corp. is a member of the Industrial Products sector. This group includes 190 individual stocks and currently holds a Zacks Sector Rank of #9. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Fanuc Corp. is currently sporting a Zacks Rank of #2 (Buy). The Zacks Consensus Estimate for FANUY's full-year earnings has moved 1.4% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive. Based on the latest available data, FANUY has gained about 0.9% so far this year. In comparison, Industrial Products companies have returned an average of -1.7%. This shows that Fanuc Corp. is outperforming its peers so far this year. Gorman-Rupp (GRC) is another Industrial Products stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 2.1%. For Gorman-Rupp, the consensus EPS estimate for the current year has increased 0.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy). Looking more specifically, Fanuc Corp. belongs to the Industrial Automation and Robotics industry, which includes 2 individual stocks and currently sits at #2 in the Zacks Industry Rank. On average, this group has lost an average of 63.9% so far this year, meaning that FANUY is performing better in terms of year-to-date returns. Gorman-Rupp, however, belongs to the Manufacturing - General Industrial industry. Currently, this 38-stock industry is ranked #138. The industry has moved -0.3% so far this year. Investors with an interest in Industrial Products stocks should continue to track Fanuc Corp. and Gorman-Rupp. These stocks will be looking to continue their solid performance. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Fanuc Corp. (FANUY) : Free Stock Analysis Report Gorman-Rupp Company (The) (GRC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
30-04-2025
- Business
- Yahoo
What To Expect From SPX Technologies's (SPXC) Q1 Earnings
Industrial conglomerate SPX Technologies (NYSE:SPXC) will be reporting results tomorrow afternoon. Here's what to expect. SPX Technologies met analysts' revenue expectations last quarter, reporting revenues of $533.7 million, up 13.7% year on year. It was a very strong quarter for the company, with a solid beat of analysts' EBITDA and organic revenue estimates. Is SPX Technologies a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting SPX Technologies's revenue to grow 3.2% year on year to $480.3 million, slowing from the 16.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.17 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. SPX Technologies has missed Wall Street's revenue estimates four times over the last two years. Looking at SPX Technologies's peers in the gas and liquid handling segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Gorman-Rupp delivered year-on-year revenue growth of 2.9%, missing analysts' expectations by 0.5%, and Graco reported revenues up 7.3%, in line with consensus estimates. Gorman-Rupp traded up 6.1% following the results while Graco was also up 2.1%. Read our full analysis of Gorman-Rupp's results here and Graco's results here. Debates around the economy's health and the impact of potential tariffs and corporate tax cuts have caused much uncertainty in 2025. While some of the gas and liquid handling stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.8% on average over the last month. SPX Technologies's stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $166.33 (compared to the current share price of $132.90). When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we've found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback. Sign in to access your portfolio
Yahoo
30-04-2025
- Business
- Yahoo
Standex Earnings: What To Look For From SXI
Industrial manufacturer Standex (NYSE:SXI) will be reporting earnings tomorrow after market close. Here's what you need to know. Standex beat analysts' revenue expectations by 0.5% last quarter, reporting revenues of $189.8 million, up 6.4% year on year. It was a satisfactory quarter for the company, with a solid beat of analysts' EPS estimates but a miss of analysts' EBITDA estimates. Is Standex a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Standex's revenue to grow 15.2% year on year to $204.2 million, a reversal from the 3.8% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.92 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Standex has missed Wall Street's revenue estimates four times over the last two years. Looking at Standex's peers in the gas and liquid handling segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Gorman-Rupp delivered year-on-year revenue growth of 2.9%, missing analysts' expectations by 0.5%, and Graco reported revenues up 7.3%, in line with consensus estimates. Gorman-Rupp traded up 6.1% following the results while Graco was also up 2.1%. Read our full analysis of Gorman-Rupp's results here and Graco's results here. Investors in the gas and liquid handling segment have had fairly steady hands going into earnings, with share prices down 1.6% on average over the last month. Standex is down 11.5% during the same time and is heading into earnings with an average analyst price target of $202.40 (compared to the current share price of $142.36). When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we've found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback. Sign in to access your portfolio
