Shares of commercial foodservice equipment manufacturer Manitowoc Company, Inc. (MTW) reached a new 52-week high of $23.04 on Dec 23. Manitowoc has a market cap of $4.8 billion. Average volume of shares traded over the last three months stood at approximately 2.28 million.
Shares of Manitowoc started escalating following its strong third quarter results on Oct 24. Adjusted earnings from continuing operations catapulted an impressive 129% year over year to 39 cents per share helped by sound performance in the Crane segment, successful introduction of new products, as well as Manitowoc’s strategic initiatives. Total revenue was $1014 million in the reported quarter, up 7% year over year driven by increased Crane segment sales.
For full-year 2013, Manitowoc expects sales in Crane segment to rise in mid single-digit growth and Foodservice revenues to increase in modest single digits. The company forecasts high single-digit improvement in operating margins in the Crane segment and mid-teens gains in the Foodservice segment.
Crane demand is expected to increase significantly, aided by a turnaround in the construction sector. The segment will also be benefited by innovation of new products and services. Growing global energy and power generation investment will drive segment growth. The Foodservice segment will be assisted by new manufacturing facilities and new products. The company also remains focused on cost reduction and improving efficiency, which will help boost its earnings.
Currently, Manitowoc carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the retail sector include Kubota Corporation (KUBTY), H&E Equipment Services Inc. (HEES) and Alamo Group, Inc. (ALG). While Kubota carries a Zacks Rank #1 (Strong Buy), Alamo Group and H&E Equipment Services hold a Zacks Rank #2 (Buy).
To read this article on Zacks.com click here.
Get all Zacks Research Reports and be alerted to fast-breaking buy and sell opportunities every trading day.
Be the first to comment