Tue, Aug. 11, 8:58 AM
- Terex (NYSE:TEX) +22.7% premarket in reaction to its merger with Finnish competitor Konecranes (OTC:KNCRF), but most analysts are not impressed, citing a lack of real synergies and potential European antitrust problems.
- BofA analysts think most of the synergies would be within the materials handling and port solutions business because there is very little elsewhere, and find it odd that TEX would merge with a foreign company that is under a CEO transition.
- Morgan Stanley says it is "completely surprised" by the deal, and notes that TEX has yet to name a CEO and the Konecranes CEO lacks experience.
- ISI Evercore upgrades TEX to Buy with a $35 price target, up from $27.
Tue, Aug. 11, 3:26 AM
- Terex (NYSE:TEX) and Finnish competitor Konecranes (OTC:KNCRF) have agreed to an all-share merger, creating a crane and materials-handling supplier with a combined $10B in sales.
- The planned tie-up, which will be located in Finland and called Konecranes Terex, will be owned 60% by the shareholders of Terex and 40% by Konecranes investors.
- Terex climbed 11.7% in after-hours trading on reports of the merger.
- Previously: Bloomberg: Terex in talks to merge with Finnish rival Konecranes (Aug. 10 2015)
Mon, Aug. 10, 5:09 PM
- Terex (NYSE:TEX) +12% AH after Bloomberg reports it is in advanced talks to merge with Finnish crane and construction machinery maker Konecranes (OTC:KNCRF), and an agreement could be announced as early as this week.
- Konecranes, which serves manufacturing and process industries, shipyards, ports and terminals, had revenue of €~2B and net income of €74.4M in 2014.
Wed, Jul. 29, 5:47 PM
Mon, Jul. 27, 12:29 PM
- Goldman Sachs analyst Jerry Revich cuts his view on the machinery sector to Cautious from Neutral given a continued challenging environment, and downgrades Manitowoc (MTW -2.8%), Terex (TEX -3.6%) and Navistar (NAV -1.2%) to Sell from Neutral.
- Revich notes a challenging crane demand outlook due to a challenging outlook for commodity capital expenditure, a slowing infrastructure investment for commodity export regions, and high crane capital stock following a 10-plus year build-out cycle.
- On NAV, the company's debt, pension, warranty and truck trade-ins are "high and rising" amid softening used truck prices and U.S. trucking rates, which could push out its margin recovery story, Revich writes.
- Deere (DE -0.7%) and AGCO (AGCO -0.6%) are upgraded to Neutral from Sell even as the analyst is negative on the end market outlook for agriculture equipment.
Thu, Jul. 23, 7:35 PM
- Caterpillar (NYSE:CAT) fell 3.5% in today's trade after cutting revenue guidance for the year during its Q2 earnings report while noting a "relatively stagnant" global economy.
- With sales running at ~25% below the level of three years ago, analysts in today's earnings call asked CEO Doug Oberhelman if he thought deeper cost cuts are needed; while the CEO promised to slash spending if the global economy gets much worse, he said CAT wants to retain enough capacity so it can be ready to take advantage of an eventual recovery.
- Oberhelman tries to see the bright side of things: Companies continue to reduce spending on equipment, maintenance and even spare parts, so CAT's mining "trucks and ancillary equipment are being used longer and longer and longer," meaning the miners will have to buy new trucks at some point.
- Sales will heavily depend on what happens to the global economy, but CFO Brad Halverson says if CAT's forecast of lower H2 sales proves accurate, it would be the first time since the 1930s the company has suffered three straight years of decline.
- Wells Fargo keeps its Market Perform rating on CAT while saying the demand trends indicated by the company may have a negative implications for Cummins (NYSE:CMI), Terex (NYSE:TEX) and Deere (NYSE:DE).
Fri, Jul. 17, 9:49 AM
Wed, Jun. 17, 3:59 PM
- Terex (TEX -0.1%) is downgraded to Neutral from Accumulate with a $26 price target, lowered from $30, at Global Hunter, which says it is growing more cautious on TEX due to end-market trends.
- While the firm believes TEX's self-help initiatives could help improve the earnings power of the company, with benefits expected to begin in H2 2015 and 2016, it sees the possibility of more negative headlines in the months ahead, after which could bring a better entry point for the stock.
Thu, May 28, 3:58 PM
- United Rentals (URI -9.3%) sinks nearly 10% following earlier comments by CEO Michael Kneeland and other top execs at a KeyBanc conference presentation that May revenue would come in a "little softer" than previously expected.
- When asked about utilization rates so far in May, CFO William Plummer said "May is coming in a little softer than we had in mind at that point [on the last quarter earnings call], and that's certainly something that we're focused on to try to understand what might be driving that."
- Peer Terex (TEX -7.4%) also is sharply lower near the close.
Thu, May 28, 10:19 AM
- Terex (TEX -5.9%) has taken a dip in early trade after its presentation at KeyBanc's Industrial, Automotive and Transportation Conference last night.
- The company highlighted a "challenging environment" and noted "difficult end market demand," especially in Cranes and Materials Processing.
- The stock has fallen over 32% in the past 52 weeks.
Fri, May 15, 1:55 PM
Wed, Apr. 29, 5:36 PM
Tue, Feb. 17, 5:28 PM
Tue, Feb. 17, 4:34 PM
Mon, Feb. 16, 5:35 PM
Wed, Jan. 28, 10:30 AM
Terex Corp is a lifting & material handling solutions company. It is engaged in delivering reliable, customer-driven solutions for commercial applications including construction, infrastructure, quarrying, mining & manufacturing, among others.
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