Latest news with #ScottRowe
Yahoo
2 days ago
- Business
- Yahoo
Why Flowserve Corporation (FLS) Crashed On Wednesday
We recently published a list of . In this article, we are going to take a look at where Flowserve Corporation (NYSE:FLS) stands against other worst-performing stocks on Wednesday. Flowserve dropped its share prices by 6.16 percent on Wednesday to end at $47.41 apiece following plans to merge with Chart Industries, Inc. (NYSE: GTLS) for a transaction value of $19 billion. Under the agreement, Chart shareholders will receive 3.165 shares of Flowserve Corporation (NYSE:FLS) common stock for each share of Chart common stock owned. A group of industrial workers in coveralls operating a large scale pump system in a factory. Following the closing of the transaction, Chart shareholders will own approximately 53.5 percent and Flowserve Corporation (NYSE:FLS) shareholders will own approximately 46.5 percent of the merger company, on a fully diluted basis. 'The merger will create a differentiated leader with the scale and resilience to meet the significant demand for comprehensive industrial process technologies and services,' said Flowserve Corporation (NYSE:FLS) President and CEO Scott Rowe. 'Chart's and Flowserve's highly complementary businesses will strengthen our ability to meet our customers' needs, empower innovation and drive long-term, sustainable growth,' he added. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
4 days ago
- Business
- Yahoo
Chart + Flowserve Just Dropped a $19B Bombshell--Industrial Tech May Never Look the Same
Chart Industries (NYSE:GTLS) and Flowserve (NYSE:FLS) are joining forces in a headline-making $19 billion all-stock merger that could create one of the most dominant players in global industrial process technologies. Announced this week, the deal brings together two highly complementary businesses with a combined installed base of over 5.5 million assets across more than 50 countries. Chart shareholders will receive 3.165 shares of Flowserve for every GTLS share, giving them a 53.5% stake in the new entity. The combined company expects to generate $8.8 billion in revenue, with nearly half of that coming from high-margin aftermarket services. Warning! GuruFocus has detected 4 Warning Signs with GTLS. But this merger isn't just about scaleit's about a full-stack transformation. From cryogenic compression to digital flow management, the new firm wants to offer cradle-to-grave solutions for sectors like LNG, carbon capture, data centers, and even space. It's aiming for $300 million in cost synergies within three years, plus new cross-selling revenue opportunities that could lift topline growth by another 2%. With recurring revenue already at 42% of the total mix, management sees a path to more predictable cash flows and durable margins. Jill Evanko (Chart) will become Board Chair, while Scott Rowe (Flowserve) steps in as CEO. And the numbers? On a trailing 12-month basis, the combined entity pulled in $1.8 billion in cash flow. Management expects the deal to be accretive to adjusted EPS in year one, while maintaining a 2.0x net debt-to-EBITDA ratiosupporting steady dividends and balance sheet strength. If the deal clears shareholder and regulatory hurdles, the new firm will launch under a fresh brand name in late 2025, with headquarters in Dallas and major offices in Atlanta and Houston. For investors betting on long-term infrastructure and energy tech, this could be one to watch. This article first appeared on GuruFocus. 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
Business Wire
4 days ago
- Business
- Business Wire
Chart Industries and Flowserve Corporation to Combine in All-Stock Merger of Equals, Creating a Differentiated Leader in Industrial Process Technologies
ATLANTA & DALLAS--(BUSINESS WIRE)--Chart Industries, Inc. (NYSE: GTLS) and Flowserve Corporation (NYSE: FLS) today announced that they have entered into a definitive agreement to combine in an all-stock merger of equals, creating a differentiated leader in industrial process technologies. The combined company is expected to have an enterprise value of approximately $19 billion based on the exchange ratio and the closing share prices for Chart and Flowserve as of June 3, 2025. Additional information can be found at a new joint website dedicated to the merger. With an installed base of more than 5.5 million assets in more than 50 countries, the combined company will address the full customer lifecycle from process design through aftermarket support. The combined company generated net revenue of approximately $8.8 billion on a combined LTM basis as of the end of Q1 2025, drawn from diverse, high-growth, attractive end markets, including approximately $3.7 billion 1 in aftermarket services revenue, representing approximately 42% of combined revenue. Under the agreement, which has been unanimously approved by the board of directors of each company, at the closing of the transaction Chart shareholders will receive 3.165 shares of Flowserve common stock for each share of Chart common stock owned. Following the close of the transaction, Chart shareholders will own approximately 53.5% and Flowserve shareholders will own approximately 46.5% of the combined company, on a fully diluted basis. 'Combining Chart and Flowserve creates a comprehensive solutions platform, with the financial strength and resilience to continue driving growth and long-term value,' said Jill Evanko, President and CEO of Chart. 'Together we will provide a complete system of capabilities from front-end engineering design to mission critical equipment through aftermarket and servicing, delivering high-quality, value-added solutions to an expanded, global customer base. With robust cash flow, meaningful synergies, and greater aftermarket growth opportunities, the combined company will be ideally positioned to deliver superior and lasting value to its shareholders.' 'The merger will create a differentiated leader with the scale and resilience to meet the significant demand for comprehensive industrial process technologies and services,' said Scott Rowe, President and CEO of Flowserve. 'Chart's and Flowserve's highly complementary businesses will strengthen our ability to meet our customers' needs, empower innovation and drive long-term, sustainable growth. The combined company will operate across diversified end markets with further exposure to premium, high-growth areas and a substantial aftermarket franchise – resulting in increased commercial opportunities. I am confident that together, we will capitalize on long-term value creation for our customers, partners, shareholders and combined global team.' Strategic and Financial Benefits Comprehensive suite of world-class, differentiated solutions. The combination brings together Chart's leading expertise in process technologies across compression, thermal, cryogenic and specialty solutions and Flowserve's leading capabilities in flow management. Combining digital platforms that underpin this full suite of solutions will enable further opportunities to differentiate solutions, offering a comprehensive digital overlay, including monitoring and predictive capabilities. Diversified and attractive end markets. The combined company will have leading capabilities across General Industrial, Industrial Gases, Data Centers, Space, Transportation, Nutrition, Carbon Capture, Energy, Power Generation, Nuclear, Chemical, Liquid Natural Gas, Water, and Mining and Minerals. The combined company will be more predictable and resilient. Expanded aftermarket franchise. The combined company will have significant recurring revenue streams, with a global installed base of more than 5.5 million assets and 42% of total combined revenue from aftermarket and service. Chart and Flowserve expect to grow the aftermarket businesses by offering enhanced services and solutions to customers through an expanded global installed base and broad geographic reach. Upside from significant cost and commercial synergies. The combination is expected to generate approximately $300 million of annual cost synergies within three years following the transaction close, primarily from materials and procurement savings, roofline consolidation, organizational efficiencies, and elimination of duplicate public company costs. The companies also expect to deliver commercial revenue synergies over time representing at least an incremental 2% growth on the combined company's revenue. Committed to investment grade balance sheet with strong cash flow profile. The combination is expected to be meaningfully accretive to the combined company's Adjusted EPS in the first year following closing. The combined company is expected to have a leverage ratio of 2.0x net debt to adjusted EBITDA at close. On a combined basis, Chart and Flowserve generated $1.8 billion of cash flow 2,3 over the 12 months ended March 31, 2025. This strong financial profile will support a balanced capital allocation strategy, deleveraging, prioritizing growth investments, and capital returns. The combined company expects to pay a quarterly dividend consistent with Flowserve's historical per share payout levels and expects to generate additional interest expense savings. Upon closing, the combined company's Board will comprise 12 directors, six of whom will be from Chart and six from Flowserve. Ms. Evanko will serve as the Chair of the combined company's Board of Directors, Mr. Rowe will serve as Chief Executive Officer of the combined company, and John Garrison will serve as Lead Independent Director of the combined company's Board. Following the closing of the transaction, the combined company will have its headquarters in Dallas, TX and expects to maintain a presence in Atlanta and Houston, supported by a global footprint across more than 50 countries. The combined company will assume a new name and brand following close. The transaction is expected to close in the fourth quarter of 2025, subject to approval of shareholders of both Chart and Flowserve, the receipt of regulatory approvals, and the satisfaction of other customary closing conditions. Conference Call and Additional Materials A joint conference call and webcast will be held today at 8:00 a.m. ET (7:00 a.m. CT) to discuss the combination. A live webcast of the conference call and associated presentation materials will be available on the investor relations section of each company's website at and as well as at Advisors Wells Fargo is serving as financial advisor and Winston & Strawn LLP is serving as legal advisor to Chart. Collected Strategies is serving as Chart's strategic communications advisor. Guggenheim Securities LLC is serving as financial advisor and Cravath, Swaine & Moore LLP is serving as legal advisor to Flowserve. Joele Frank, Wilkinson Brimmer Katcher is serving as strategic communications advisor. Veriten is serving as an independent strategic advisor to Flowserve. About Chart Industries, Inc. Chart Industries, Inc. is a global leader in the design, engineering, and manufacturing of process technologies and equipment for gas and liquid molecule handling for the Nexus of Clean™ - clean power, clean water, clean food, and clean industrials, regardless of molecule. The company's unique product and solution portfolio across stationary and rotating equipment is used in every phase of the liquid gas supply chain, including engineering, service and repair from installation to preventive maintenance and digital monitoring. Chart is a leading provider of technology, equipment and services related to liquefied natural gas, hydrogen, biogas and CO2 capture amongst other applications. Chart is committed to excellence in environmental, social and corporate governance issues both for its company as well as its customers. With 64 global manufacturing locations and over 50 service centers from the United States to Asia, Australia, India, Europe and South America, the company maintains accountability and transparency to its team members, suppliers, customers and communities. To learn more, visit About Flowserve Corporation Flowserve Corporation is one of the world's leading providers of fluid motion and control products and services. Operating in more than 50 countries, the company produces engineered and industrial pumps, seals and valves as well as a range of related flow management services. More information about Flowserve can be obtained by visiting the company's Web site at Important Information about the Transaction and Where to Find It This communication may be deemed to be solicitation material in respect of the proposed merger transaction between Chart Industries, Inc. ('Chart') and Flowserve Corporation ('Flowserve'). In connection therewith, the parties intend to file relevant materials with the SEC, including a registration statement on Form S-4 to be filed by Flowserve in connection with the proposed issuance of shares of Flowserve's common stock and preferred stock pursuant to the proposed merger transaction, which will include a document that serves as a prospectus of Flowserve with respect to such shares and a joint proxy statement of Chart and Flowserve (the 'joint proxy statement/prospectus') and, after the registration statement is declared effective, will be mailed to Chart and Flowserve stockholders seeking their approval of their respective transaction-related proposals. However, such documents are not currently available. BEFORE MAKING ANY VOTING OR ANY INVESTMENT DECISION, INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS REGARDING THE PROPOSED TRANSACTION AND ANY OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION AND THE PARTIES TO THE PROPOSED TRANSACTION. Investors and security holders may obtain free copies of the registration statement and the joint proxy statement/prospectus, any amendments or supplements thereto and other documents containing important information about each of Chart and Flowserve, once such documents are filed with the SEC, through the website maintained by the SEC at Copies of documents filed with the SEC by Chart will be available free of charge on Chart's website at Copies of documents filed with the SEC by Flowserve will be available free of charge on Flowserve's website at Participants in the Solicitation Chart, Flowserve and their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from Chart's stockholders and Flowserve's shareholders in respect of the proposed transaction. Information regarding Chart's directors and executive officers, including a description of their direct interests, by security holdings or otherwise, is contained in Chart's Form 10-K for the year ended December 31, 2024, filed on February 28, 2025, and its proxy statement filed on April 8, 2025, which are filed with the SEC. Information regarding Flowserve's directors and executive officers, including a description of their direct interests, by security holdings or otherwise, is contained in Flowserve's Form 10-K for the year ended December 31, 2024, filed with the SEC on February 26, 2025, Proxy Statement on Schedule 14A for its 2025 Annual Meeting of Shareholders, filed with the SEC on April 2, 2025. To the extent holdings of Chart's or Flowserve's securities by their respective directors or executives officers have changed since the amounts set forth in their respective 2025 proxy statements, such changes have been or will be reflected on Initial Statements of Beneficial Ownership of Securities on Form 3, Statements of Changes in Beneficial Ownership on Form 4 or Annual Statements of Changes in Beneficial Ownership of Securities on Form 5 subsequently filed with the SEC. Additional information regarding the interests of such participants in the solicitation of proxies in respect of the proposed merger transaction will be included in the registration statement on Form S-4 and the joint proxy statement/prospectus and other relevant materials to be filed with the SEC when they become available. These documents (when available) can be obtained free of charge from the sources indicated above. No Offer or Solicitation This communication shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended. Forward Looking Statements Certain statements made in this communication are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements about the benefits of the proposed merger transaction between Chart and Flowserve including future financial and operating results, statements related to the expected timing of the completion of the transaction, the combined company's plans, objectives, expectations and intentions, and other statements that are not historical facts. Forward-looking statements may be identified by terminology such as 'may,' 'will,' 'should,' 'could,' 'expects,' 'anticipates,' 'believes,' 'projects,' 'forecasts,' 'outlook,' 'guidance,' 'continue,' 'target,' 'estimates,' 'potential,' 'intends,' 'plans,' or the negative of such terms or comparable terminology. Forward-looking statements by their nature address matters that are, to different degrees, uncertain, such as statements about the consummation of the potential merger transaction, including the expected time period to consummate the potential merger transaction, and the anticipated benefits (including synergies) of the potential merger transaction. All such forward-looking statements are based upon current plans, estimates, expectations and ambitions that are subject to risks, uncertainties and assumptions, many of which are beyond the control of Chart and Flowserve, that could cause actual results to differ materially from those expressed in such forward-looking statements. Key factors that could cause actual results to differ materially include, but are not limited to: the risk that regulatory approvals are not obtained or are obtained subject to conditions, limitations or restrictions that are not anticipated by Chart and Flowserve; the failure to receive, on a timely basis or otherwise, the required transaction-related approvals of Chart's stockholders and Flowserve's shareholders; potential delays in consummating the proposed merger transaction, including as a result of failure to receive any regulatory approvals (or any conditions, limitations or restrictions placed on such approvals); the ability to integrate the operations of Chart and Flowserve in a successful manner and in the expected time period; the possibility that any of the anticipated benefits and projected synergies of the proposed merger transaction will not be realized or will not be realized within the expected time period; the possibility that competing offers or acquisition proposals may be made; the occurrence of any event, change or other circumstance that could give rise to the termination of the merger agreement, including in circumstances which would require Chart or Flowserve to pay a termination fee; risks that the anticipated tax treatment of the proposed merger transaction is not obtained; unforeseen or unknown liabilities; customer, stockholder, regulatory and other stakeholder approvals and support; unexpected future capital expenditures; the combined company's ability to pay a quarterly dividend as expected; potential litigation relating to the proposed merger transaction that could be instituted against Chart, Flowserve or their respective directors; the possibility that the transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events; the effect of the announcement, pendency or completion of the proposed merger transaction on the parties' business relationships and business generally; risks that the proposed merger transaction disrupts current plans and operations of Chart or Flowserve and potential difficulties in employee retention as a result of the proposed merger transaction, as well as the risk of disruption of management and ongoing business operations during the pendency of, or following, the proposed merger transaction; uncertainties as to whether the proposed merger transaction will be consummated on the anticipated timing or at all or, if consummated, will achieve its anticipated economic benefits, including as a result of risks associated with third party contracts containing material consent, anti-assignment, transfer or other provisions that may be related to the proposed merger transaction which are not waived or otherwise satisfactorily resolved; changes in commodity prices; negative effects of this announcement, and the pendency or completion of the proposed merger transaction on the market price of Chart's or Flowserve's common stock and/or operating results; rating agency actions and the ability to access short- and long-term debt markets on a timely and affordable basis; various events that could disrupt operations, including severe weather, cybersecurity attacks, as well as security threats and governmental response to them, and technological changes; labor disputes; changes in labor costs and labor difficulties; the effects of industry, market, economic, political or regulatory conditions outside of Chart's or Flowserve's control; legislative, regulatory and economic developments targeting public companies in the industrial sector; global supply chain disruptions and the current inflationary environment; the substantial dependence of Chart's and Flowserve's sales on the success of the energy, chemical, power generation and general industries; economic, political and other risks associated with the international operations of Chart and Flowserve; potential adverse effects resulting from the implementation of tariffs and related retaliatory actions and changes to or uncertainties related to tariffs and trade agreements; and the risks described in Item 1A 'Risk Factors' of Chart's and Flowserve's most recent Annual Reports on Form 10-K and in subsequent filings with the SEC. Other unpredictable or factors not discussed in this communication could also have material adverse effects on forward-looking statements. All forward-looking statements included in this communication are based on information available to Chart and Flowserve on the date hereof and Chart and Flowserve undertake no obligation to update or revise any forward-looking statement. Non-GAAP Measures Certain financial measures included herein, including EBITDA, Adjusted EBITDA, Adjusted EPS, Net Debt and estimates of cost and revenue synergies, among others, are not made in accordance with U.S. GAAP, and use of such terms varies from others in the same industry. Non-GAAP financial measures should not be considered as alternatives to net income (loss), net income margin or any other performance measures derived in accordance with U.S. GAAP as measures of operating performance or cash flows as measures of liquidity. Non-GAAP financial measures have important limitations as analytical tools, and you should not consider them in isolation or as substitutes for results as reported under U.S. GAAP. Projected GAAP financial measures and reconciliations of projected non-GAAP financial measures are not provided herein because such GAAP financial measures are not available on a forward-looking basis and such reconciliations could not be derived without unreasonable effort.
Yahoo
13-05-2025
- Business
- Yahoo
FLS Q1 Earnings Call: Pricing Actions and Supply Chain Initiatives Drive Outperformance Amid Tariff Uncertainty
Flow control equipment manufacturer Flowserve (NYSE:FLS) reported Q1 CY2025 results beating Wall Street's revenue expectations , with sales up 5.2% year on year to $1.14 billion. Its non-GAAP profit of $0.72 per share was 19.6% above analysts' consensus estimates. Is now the time to buy FLS? Find out in our full research report (it's free). Revenue: $1.14 billion vs analyst estimates of $1.1 billion (5.2% year-on-year growth, 3.6% beat) Adjusted EPS: $0.72 vs analyst estimates of $0.60 (19.6% beat) Adjusted EBITDA: $171.5 million vs analyst estimates of $144.8 million (15% margin, 18.4% beat) Management reiterated its full-year Adjusted EPS guidance of $3.20 at the midpoint Operating Margin: 11.5%, up from 10.4% in the same quarter last year Free Cash Flow was -$61.67 million, down from $48.65 million in the same quarter last year Backlog: $2.9 billion at quarter end, up 11.1% year on year Market Capitalization: $6.64 billion Flowserve's first quarter results were shaped by robust aftermarket demand and strong execution across its business systems. CEO Scott Rowe credited the company's performance to high service levels in its aftermarket division, which secured a major nuclear power plant upgrade, and to operational improvements from the 80-20 complexity reduction program. CFO Amy Schwetz noted that early-year price increases and disciplined cost control further supported margin expansion, while the integration of recent acquisitions, such as MOGAS, contributed positively to earnings. Management's forward-looking guidance remains cautious, with attention to the evolving tariff environment and macroeconomic uncertainties. Rowe explained that Flowserve's global manufacturing footprint and ability to shift sourcing are central to mitigating tariff impacts, but he acknowledged that sustained uncertainty or further trade policy changes could pressure future bookings. Schwetz reiterated guidance for margin expansion, attributing confidence to operational levers and ongoing benefits from the Flowserve Business System, while emphasizing the company's readiness to respond quickly if conditions deteriorate. Flowserve's first quarter was influenced by high aftermarket activity, strong nuclear sector orders, and progress in operational initiatives. Management highlighted several factors impacting both the quarter's performance and the company's outlook amid a shifting trade landscape. Aftermarket and Nuclear Orders: Aftermarket bookings reached nearly $690 million, including a significant nuclear power plant upgrade order, marking the fourth consecutive quarter above $600 million. Nuclear-related activity exceeded $100 million for the third straight quarter, supporting the backlog and visibility into future revenue. Pricing Actions and Tariff Response: The company implemented two price increases—one annual and one targeted in March—to offset new tariff impacts. Management emphasized proactive engagement with customers and the use of change orders to reprice projects in the backlog where possible. Supply Chain Adaptability: Flowserve's global manufacturing and sourcing flexibility was cited as a competitive advantage. The company is actively relocating production and sourcing to regions with lower tariff exposure, aiming to mitigate a potential $90–$100 million annualized gross tariff impact. Operational Excellence Programs: The ongoing 80-20 complexity reduction and Flowserve Business System initiatives have improved productivity and margins. Management reported that SKU rationalization reduced complexity at key sites, with expectations for further benefits by midyear. MOGAS Acquisition Integration: The integration of MOGAS, specializing in severe service valves, is ahead of schedule. Despite lighter project bookings, the aftermarket business remains strong, and cost synergies are materializing, contributing to gross margin improvements. Looking ahead, Flowserve's performance will depend on its ability to navigate tariffs, maintain momentum in aftermarket and nuclear markets, and continue operational improvements. Tariff Mitigation Efforts: Management aims to offset increased costs through pricing, supply chain adjustments, and leveraging trade agreements. The timing of these actions versus tariff implementation remains a risk to margin performance in the second half of the year. Aftermarket and Nuclear Visibility: Continued strength in aftermarket services and nuclear sector orders provides near-term revenue certainty, especially given multi-quarter visibility on large nuclear projects. Operational Initiatives: Expansion of the 80-20 program and the Flowserve Business System is expected to drive further gross margin gains and working capital efficiencies, supporting the company's goal of 100 basis points of operating margin expansion for the year. Andy Kaplowitz (Citigroup): Asked about the sustainability of high aftermarket bookings; management responded that while recent nuclear orders may not repeat, the elevated run rate and project funnel support continued strength unless macro conditions worsen. Mike Halloran (Baird): Inquired about Flowserve's manufacturing footprint and pricing power; Rowe described regional manufacturing as a competitive advantage and outlined aggressive price actions to stay ahead of cost pressures. Deane Dray (RBC Capital Markets): Sought clarification on pricing dynamics between aftermarket and original equipment; management said aftermarket pricing is stickier due to lead times and urgency, while project repricing is enabled through updated contract terms. Nathan Jones (Stifel): Questioned visibility into the project pipeline and timing of tariff impacts; Rowe explained that large projects provide year-ahead visibility, with nuclear projects tracked two years out, and Schwetz noted that margin pressure from tariffs is expected to intensify in the second half. Joe Giordano (TD Cowen): Asked about clean energy project funding and macro assumptions in guidance; management said decarbonization remains active, with guidance based on current tariff and demand signals, and built-in contingencies for demand softness if conditions weaken. In the coming quarters, the StockStory team will watch (1) the effectiveness of Flowserve's tariff mitigation strategies and whether pricing actions hold amid potential customer resistance, (2) the pace of margin expansion and working capital improvement from operational programs, and (3) ongoing momentum in aftermarket and nuclear bookings, which underpin revenue visibility. Progress on MOGAS integration and additional supply chain adjustments will also be key markers. Flowserve currently trades at a forward P/E ratio of 15.8×. In the wake of earnings, is it a buy or sell? See for yourself in our free research report. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. 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-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today. 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
09-05-2025
- Business
- Yahoo
Q1 Earnings Review: Gas and Liquid Handling Stocks Led by Flowserve (NYSE:FLS)
Looking back on gas and liquid handling stocks' Q1 earnings, we examine this quarter's best and worst performers, including Flowserve (NYSE:FLS) and its peers. Gas and liquid handling companies possess the technical know-how and specialized equipment to handle valuable (and sometimes dangerous) substances. Lately, water conservation and carbon capture–which requires hydrogen and other gasses as well as specialized infrastructure–have been trending up, creating new demand for products such as filters, pumps, and valves. On the other hand, gas and liquid handling companies are at the whim of economic cycles. Consumer spending and interest rates, for example, can greatly impact the industrial production that drives demand for these companies' offerings. The 11 gas and liquid handling stocks we track reported a strong Q1. As a group, revenues beat analysts' consensus estimates by 0.9% while next quarter's revenue guidance was in line. Thankfully, share prices of the companies have been resilient as they are up 9.1% on average since the latest earnings results. Manufacturing the largest pump ever built for nuclear power generation, Flowserve (NYSE:FLS) manufactures and sells flow control equipment for various industries. Flowserve reported revenues of $1.14 billion, up 5.2% year on year. This print exceeded analysts' expectations by 3.6%. Overall, it was an exceptional quarter for the company with an impressive beat of analysts' EBITDA estimates. 'Our first quarter results were a strong start to the year, with robust bookings growth, margin expansion, and earnings acceleration all driven by healthy end markets and improved execution. These results demonstrate the strength of our diversified portfolio and the exceptional performance of our associates around the world operating under the Flowserve Business System,' said Scott Rowe, Flowserve's President and Chief Executive Officer. Interestingly, the stock is up 6.7% since reporting and currently trades at $47.91. Is now the time to buy Flowserve? Access our full analysis of the earnings results here, it's free. Founded on the principle of treating others as one wants to be treated, Helios (NYSE:HLIO) designs, manufactures, and sells motion and electronic control components for various sectors. Helios reported revenues of $195.5 million, down 7.8% year on year, outperforming analysts' expectations by 3.8%. The business had an exceptional quarter with a solid beat of analysts' organic revenue and EBITDA estimates. Helios pulled off the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 15.6% since reporting. It currently trades at $31.34. Is now the time to buy Helios? Access our full analysis of the earnings results here, it's free. Started with the invention of the steam drill, Ingersoll Rand (NYSE:IR) provides mission-critical air, gas, liquid, and solid flow creation solutions. Ingersoll Rand reported revenues of $1.72 billion, up 2.8% year on year, in line with analysts' expectations. It was a slower quarter as it posted full-year EBITDA guidance missing analysts' expectations. Interestingly, the stock is up 4% since the results and currently trades at $79.23. Read our full analysis of Ingersoll Rand's results here. Playing a crucial role in the development of the first transatlantic television transmission in 1956, ITT (NYSE:ITT) provides motion and fluid handling equipment for various industries ITT reported revenues of $913 million, flat year on year. This number surpassed analysts' expectations by 0.6%. Aside from that, it was a mixed quarter as it also logged a decent beat of analysts' EBITDA estimates but full-year EPS guidance meeting analysts' expectations. The stock is up 4.6% since reporting and currently trades at $143.44. Read our full, actionable report on ITT here, it's free. Founded in 1926, Graco (NYSE:GGG) is an industrial company specializing in the development and manufacturing of fluid-handling systems and products. Graco reported revenues of $528.3 million, up 7.3% year on year. This result met analysts' expectations. Taking a step back, it was a satisfactory quarter as it also recorded a decent beat of analysts' EPS estimates but a miss of analysts' Process revenue estimates. The stock is up 6.2% since reporting and currently trades at $83.76. Read our full, actionable report on Graco here, it's free. In response to the Fed's rate hikes in 2022 and 2023, inflation has been gradually trending down from its post-pandemic peak, trending closer to the Fed's 2% target. Despite higher borrowing costs, the economy has avoided flashing recessionary signals. This is the much-desired soft landing that many investors hoped for. The recent rate cuts (0.5% in September and 0.25% in November 2024) have bolstered the stock market, making 2024 a strong year for equities. Donald Trump's presidential win in November sparked additional market gains, sending indices to record highs in the days following his victory. However, debates continue over possible tariffs and corporate tax adjustments, raising questions about economic stability in 2025. Want to invest in winners with rock-solid fundamentals? Check out our Top 6 Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Join Paid Stock Investor Research Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here. 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
