- FBR & Co hosted Joy Global (JOY +0.9%) CFO Jim Sullivan last week for insightful NDR meetings, where investors received feedback about the company's strategy in the following areas:
- New growth initiatives - direct service, hard rock & industrial minerals, new product development, and China & high-growth markets.
- Ongoing optimization plan - capacity has been guided to be reduced to supporting a revenue base of $4B-$4.5B.
- Cash generation - management plans to work down inventory over the balance of this year and also into 2017 and 2018.
- U.S. coal commentary - in the very near term, FBR believes Joy's exposure to restructurings in the coal industry will be modest.
- Industry trends - the company estimates that it has been increasing share on the back of its consumables strategy.
- Last month, FBR maintained its Market Perform (Hold) rating on the stock, while lifting its price target to $14.
- FBR Capital Markets is ranked #15,413 out of 35,105 insiders on TipRanks.
- Now read Joy Global: Down, But Not Out