Fri, Nov. 20, 11:30 AM
- Market growth remains challenging whether there is an industrial recession or not, so investors should focus on stocks with strong end markets, particularly Allegion (ALLE +0.3%) and Danaher (DHR +0.5%), Bernstein's Steven Winoker says.
- Other stocks in a lower but still generally favorable tier include General Electric (GE +0.8%), Honeywell (HON +0.9%), Ingersoll-Rand (IR +0.9%) and 3M (MMM +0.7%), as these companies are exposed to favorable end markets but also to meaningfully weak markets, the analyst says.
- Aside from their portfolio transformations, DHR and GE have benefited and should continue to benefit from their above-average growth profiles in the current low-growth environment, Winoker says.
- Energy-heavy Dover (DOV +0.2%), Pentair (PNR +0.4%) and Emerson Electric (EMR +0.2%) remain the most challenged, according to Winoker, while Eaton (ETN +1.1%), Rockwell Automation (ROK +0.5%) and Tyco (TYC -0.2%) have a mix of tailwinds and headwinds, with the former more challenged on hydraulics/trucks and the latter two on energy.
- Winoker sees limited downside for DOV, which is highly linked to crude oil prices but is performing well in the ~80% of its portfolio not linked to oil.
- Earlier: Low expectations are no longer enough for multi-industry stocks, analyst says (Nov. 19)
Thu, Nov. 19, 6:25 PM
- A sluggish U.S. economy is likely to make life tough next year for industry conglomerates such as Danaher (NYSE:DHR), Honeywell (NYSE:HON), Tyco (NYSE:TYC), Emerson Electric (NYSE:EMR) and General Electric (NYSE:GE), says Bernstein's Steven Winoker.
- The analyst notes that Q3 saw 12 of Bernstein's 13 covered companies miss on revenues, 10 either lower FY 2015 EPS guidance or issue below-consensus FY 2016 guidance, and none raise growth guidance, yet 10 stocks outperformed during earnings season.
- The companies "can’t transform their way out of the reality of a low growth world, which became even more challenging this quarter, with an indication of the worst still to come," Winoker writes, expecting guidance conservatism from the group during investor meetings before the end of the year.
- Also: MMM, ROK, IR, ETN, ALE, IEX
Tue, Oct. 27, 10:39 AM
- Net income of $300.9M, or $1.12 per share vs. $298.3M, or $1.10 per share, for the same period last year. Adjusted EPS from continuing operations of $1.21.
- Revenue by segment: Climate +4%; Industrial -2%.
- Adjusted operating margin of 14% vs. 13% (excluding restructuring and acquisition-related inventory step-up costs).
- Q4 guidance: Organic revenues to increase 2-3% compared with the same quarter of 2014. Adjusted EPS from continuing operations of $0.90-$0.95.
- Full-year guidance: Organic revenues to increase 4-5% compared with 2014. Adjusted EPS from continuing operations of $3.69-$3.74 (vs. previous guidance of $3.66-$3.81).
Tue, Oct. 27, 6:40 AM
Mon, Oct. 26, 5:30 PM
- AHGP, AIXG, AKS, AME, AMTD, ARG, ARLP, AVX, AXE, BABA, BAX, BEAV, BMY, BP, BTU, CMCSA, CMI, CNC, CNX, COH, CPLA, CRY, CVLT, CYNO, DD, ERJ, F, FBC, FCH, FDP, FMER, GLW, GPI, GRUB, HCA, HUN, ICLR, IIVI, IMGN, IPGP, IPI, IR, JBLU, LPT, LRN, LXK, MAS, MDC, MDSO, MGLN, MMC, MNI, MRK, MSM, NCI, NVS, ONE, PCAR, PCH, PCRX, PFE, POL, POR, QSR, RAI, RDN, SAVE, SCHN, SEE, SIR, SPG, SPR, ST, SUI, TMUS, TREX, TXT, UPS, UTHR, WAT, WDR, WM, WSO, WYN, YNDX
Thu, Oct. 8, 7:04 AM
Wed, Oct. 7, 6:33 AM
Thu, Sep. 17, 9:08 AM
- End markets continue to be choppy. Taking cost reduction, restructuring actions in soft areas.
- Continuing difficult markets for Industrial across all regions and in Latin America.
- North America HVAC Institutional demand recovery, solid demand in Commercial/Industrial building market and aftermarket.
- HVAC in Europe and Mid-East growing organically, flat to down with currency.
- Residential and Thermo King demand as expected Choppy demand pattern in Asia.
- Slower China and emerging markets in short-cycle businesses compared with prior forecast.
- No change to Q3 EPS forecast $1.15-$1.19. Consensus of $1.16.
- SEC Form 8-K
Fri, Aug. 7, 9:31 AM
Tue, Jul. 28, 8:39 AM
- Net income of $78.9M, or $0.29 per share, vs. $306M, or $1.12 per share, for the same period last year. Adjusted EPS from continuing operations of $1.20.
- Adjusted operating margin of 13% vs. 13.1% (excluding restructuring and acquisition-related inventory step-up costs).
- The company confirmed its expectations of revenues for full-year 2015 in the range of 4%-5% compared with 2014. Full-year adjusted EPS from continuing operations is still expected to be in the range of $3.66-$3.81.
- Q2 results
Tue, Jul. 28, 7:08 AM
Mon, Jul. 27, 5:30 PM
- AGCO, AHGP, AIXG, AKS, ALLY, AMG, ARG, ARLP, ARW, AUDC, AUO, AXE, BP, BTU, CIT, CMI, CNC, CNX, COMM, CPLA, CRY, CVLT, CYNO, DD, DHI, DHX, ECL, F, FBC, FCH, FDP, FMER, FSS, GLW, GPN, GRUB, ICLR, IPGP, IPI, IR, JBLU, JEC, KEM, LH, LPT, LYB, MAS, MMC, MRK, MZOR, NCI, NLSN, NOV, NTLS, OAK, OFC, PCAR, PCH, PCP, PFE, POR, RAI, RDWR, SALT, SIR, SIRI, ST, SVU, TXT, UPS, UTHR, WAT, WDR, WYN
Mon, Jul. 13, 11:59 AM
- Ingersoll-Rand (IR +1.5%) is upgraded to Buy from Hold with a $77 price target at Stifel, which estimates that 35% of IR's total revenue is tied to U.S. non-residential construction that is now in the midst of a three-year up cycle.
- The firm believes IR is poised to see 5% growth in its climate segment in 2016, with 35%-plus long-term incremental margins, given the non-residential tailwind, and sees prospects for double digit EPS growth annually through 2018 core vs. the broad group posting EPS growth in the high single digits.
- Stifel expects a solid Q2 from IR given recent results and encouraging bookings and order rates.
Thu, Jun. 18, 2:49 PM
- The time is right to buy machinery stocks such as Caterpillar (CAT +0.2%) and Deere (DE +0.4%), Oppenheimer analysts say, as high-level macro drivers for the industry have begun to show signs of improvement after a challenging start to 2015.
- The firm believes a potential stabilization in hard commodity prices, a rebound in U.S. economic surprises and a possible trough in the same for China are keys underpinning a more constructive global macro backdrop, and serve as key catalysts for improved industry fundamentals in a heavily overseas reliant industry.
- In addition to CAT and DE, the firm is favorable toward Paccar (PCAR +1.7%), Ingersoll-Rand (IR +0.6%), Stanley Black & Decker (SWK +0.9%), Wabtec (WAB +0.3%), Snap-On (SNA +1.1%) and Oshkosh (OSK -0.6%).
Fri, Jun. 5, 7:31 AM
Fri, May 22, 3:51 PM
- Ingersoll-Rand (IR -0.2%) is upgraded to Buy from Hold with an $86 price target at Argus, which expects IR to benefit from improving economic conditions and strength in U.S. construction markets, as well as recent acquisitions.
- Argus also looks for IR's Climate segment to continue to deliver mid-single-digit growth, driven by strength in the U.S. and Europe.
- The firm says IR management is focused on rewarding shareholders, and believe shares are favorably valued relative to peers based on P/E and price/sales.
Ingersoll-Rand PLC is a diversified company that provides products, services and solutions to enhance the quality and comfort of air in homes and buildings, transport and protect food and perishables, and increase industrial productivity and efficiency.
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