In this article I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from JOY and the news from its closest competitors.
Recent EPS Actuals vs. Estimates
In the last quarter it reported $2.04 EPS, beating analyst estimates of $1.95.
The consensus EPS estimate is $1.89 based on 15 analysts' estimates, up from $1.61 a year ago. Revenue estimates are $1.43B, up from $1.14B a year ago. The median target price by analysts for the stock is $81.50.
Average recommendation: Overweight
Analyst Upgrades and Downgrades
- On May 7, 2012, Barclays reiterated an Overweight rating for the company.
- On March 29, 2012, UBS reiterated a Neutral rating for the company.
- On March 15, 2012, UBS downgraded the company from Buy to Neutral.
- On August 20, 2012, Joy Global announced that its board of directors has declared a quarterly dividend in the amount of $0.175 per share to be paid on September 18, 2012 to shareholders of record on September 4, 2012.
- On May 31, 2012, Joy Global Inc announced that the current softness in the U.S. aftermarket orders is not expected to be completely offset by strength in the international markets, and therefore the aftermarket bookings rate is expected to adversely impact revenues by $100 million for fiscal 2012.
- On May 23, 2012, Joy Global announced that its board of directors has declared a quarterly dividend in the amount of $0.175 per share to be paid on June 18, 2012 to shareholders of record on June 4, 2012.
AGCO Corporation (AGCO), Caterpillar (CAT), CNH Global (CNH), Deere & Company (DE), and Terex (TEX) are considered major competitors for Joy Global and the table below provides the key metrics for these companies and the industry.
The chart below compares the stock price changes as a percentage for the selected companies for the last one year period.
Competitors' Latest Developments
- On August 17, 2012, Agco Corp announced that it has agreed to establish a new joint venture in Algeria for the production of Massey Ferguson branded tractors. Under the shareholders agreement entered into with L`Enteprise Publique Economique de Commercialisation de Materiels Agricoles and L`Enteprise Publique Economique de Production de Tracteurs Agricoles, AGCO will take 49% ownership of Algeria Tractors Company.
- On August 15, 2012, Reuters reported that Caterpillar signed a tentative, 6-year agreement with workers at a plant in Joliet, Illinois, to end a nearly 4-month-long strike.
- On August 15, 2012, Deere & Co announced that for fiscal 2012, net income is anticipated to be about $3.1 billion. According to I/B/E/S Estimates, analysts on an average were expecting the Company to report net income of $3.3 billion for fiscal 2012.
- On August 1, 2012, Caterpillar Inc. announced that Platinum Equity's acquisition of a majority interest in Caterpillar Logistics Services has been completed. Caterpillar will retain a 35% equity stake in the business.
- On August 1, 2012, CNH Global NV announced that it confirms fiscal 2012 guidance and expects revenues up 5%+. The Company reported revenue of $18.059 billion in fiscal 2011.
- On July 26, 2012, AGCO Corporation announced that for fiscal 2012, it expects adjusted earnings per share (EPS) in a range from $5.50-$5.75 and net sales to range from $10.1-$10.3 billion.
- On July 26, 2012, Terex Corp. updated its outlook for fiscal 2012, with expected net sales of $7.5 billion to $7.8 billion. The decrease from the earlier outlook is due mainly to the weakening euro, which assumed a rate of EUR1.24 per dollar in second-half forecasts, which yields a negative $200 million to $250 million impact to net sales outlook.
- On July 25, 2012, Caterpillar Inc. narrowed fiscal 2012 outlook range for sales and revenues, raised outlook for profit. The sales and revenues outlook range for fiscal 2012 is now $68 to $70 billion with profit of about $9.60 per share at the middle of the sales and revenues outlook range.
- On June 5, 2012, Westport Innovations Inc. announced that it has signed agreements with Caterpillar Inc. to co-develop natural gas technology for off-road equipment, including mining trucks and locomotives.
- On May 30, 2012, Caterpillar Inc. and Barloworld Limited announced that Caterpillar Global Mining LLC and Barloworld have signed an agreement for Barloworld to acquire the Bucyrus equipment distribution and support business in South Africa and Botswana.
- On May 30, 2012, CNH Global NV announced that its Board of Directors has received a proposal from Fiat Industrial S.p.A. regarding a combination transaction between Fiat Industrial S.p.A. and CNH. The proposal was set forth in a letter sent by Sergio Marchionne, Chairman of Fiat Industrial S.p.A., to the Board of Directors of CNH. Fiat Industrial S.p.A. currently owns approximately 88% of CNH's shares.
- On May 10, 2012, Reuters reported that Caterpillar Inc. said on May 10, 2012 it will sell a 65% stake in its third-party logistics division to Platinum Equity for $750 million, to focus on its core businesses.
- On May 4, 2012, Terex Corp. And Russian Machines announced that they have completed the formation of a joint venture company for the manufacture of construction and roadbuilding equipment in Russia.
- On April 27, 2012, Terex Corp. announced that for fiscal 2012, it expects approximately $475-$525 million in operating profit and earnings per share of $1.65-$1.85 per share (based on an average share count of approximately 116 million shares and excluding the impact of restructuring and unusual items) on sales of $7.5-$8.0 billion.
- On April 25, 2012, Caterpillar Inc. announced that it has increased the profit guidance for fiscal 2012 while maintaining the sales and revenues outlook in the range of $68 to $72 billion.
- On April 12, 2012, Caterpillar Inc. announced to maintain the quarterly cash dividend of $0.46 per share of common stock, payable May 19, 2012, to stockholders of record at the close of business, April 23, 2012.
- On April 12, 2012, Caterpillar Inc. announced it has reached an agreement with WesTrac Pty Limited, a wholly owned subsidiary of Seven Group Holdings Limited, to acquire from Caterpillar the distribution and support business formerly operated by Bucyrus in Western Australia, Australian Capital Territory and New South Wales.
- On April 11, 2012, Caterpillar Inc. announced that the Board of Directors voted to maintain the quarterly cash dividend of $0.46 per share of common stock, payable May 19, 2012, to stockholders of record at the close of business, April 23, 2012.
- On April 3, 2012, PrimeTass reported that GAZ OAO (GAZ Group) is establishing a joint venture to produce road construction equipment with US equipment manufacturer Terex Corp.
- On March 27, 2012, Terex Corp. announced that it has completed its previously announced financing, with total net proceeds to Terex of approximately $295 million. Details of the public offering are: $300 million aggregate principal amount of 6.50% Senior Unsecured Notes due 2020 at an issue price of 100%.
- On March 22, 2012, Terex Corp. announced that it is seeking approximately $300 million in new financing. The Company intends to offer, subject to market and other conditions, $300 million in senior unsecured notes.
- On March 6, 2012, Caterpillar Inc. announced that by fiscal 2012, it would have sales of $55 billion to $60 billion and profit of $8 to $10 a share. For fiscal 2012, the Company previously issued guidance of sales going up from $60 billion to a range of $68 billion to $72 billion, with kind of a midpoint of around $70 billion.
- On March 1, 2012, Caterpillar Inc. announced that Caterpillar Japan Ltd. (Caterpillar Japan) has acquired Caterpillar Tohoku Ltd. (Cat Tohoku), effective March 1. With the acquisition, Caterpillar Japan is restructuring its distribution network in Japan.
The stock has a market capitalization of $6.13B and is currently trading at $57.91 with a 52 week range of $47.69 - $96.00. The stock's year-to-date performance has been -22.37%. It is currently trading above 20 and 50 SMA, but below 200 SMA.
Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.