Back to top

Aggressive Growth

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Team Inc. (TISI - Snapshot Report) has a good long term earnings picture and the stock is a Zacks #1 Rank (Strong Buy).

Company Description

Team, Inc. provides specialty maintenance and construction services for maintaining high temperature and high pressure piping systems and vessels that are utilized in heavy industries.

Analysts see Earnings Improving

The Zacks Consensus Estimate for 2012 has been on the move, and moving the direction we like to see. In April of 2011, analysts were expecting earnings of $1.45, but since that time, estimates have moved higher to $1.68. Within the last month, the Zacks Consensus Estimate has moved up $0.07, a further sign of strength.

The story for 2013 is very similar to 2012. In June of 2011, the Zacks Consensus Estimate was $1.71, but has since moved to $1.92. This underscores the idea of consistent earnings growth that Zacks #1 Ranks (Strong Buy) typically exhibit.

Recent Earnings Release

At the beginning of the year, the company reported earnings of $0.53, topping the Zacks Consensus Estimate of $0.49 by $0.04. The 8% earnings beat translated into a 3% move in the stock. Revenue also came in ahead of expectations at $158 million, topping the estimate of 5 analysts by $3 million.

Valuation

TISI trades a premium to the industry in term of price to earnings. For trailing twelve months, the premium is a small 2 point difference, but the forward multiple is a little more "rich" with TISI trading at 17x while the industry average multiple trades at 12x.

Other metrics like price to book and EV/EBITDA show TISI trading very close to industry averages. The difference that encourages us to name TISI a good candidate for aggressive growth investors is the price to sales multiple. Trading at a significant discount to the industry average of 2.1x sales, TISI trades at only 1x sales. Future sales growth should help expand that multiple and should, as a result, increase the price of the stock.

The Chart

TISI is a Zacks #1 Rank (Strong Buy) which seen earnings expectations continue to rise. A look at the price and consensus chart shows that expectations have been moving higher and higher. We anticipate that the stock will do the same with a few more positive earnings surprises.

Citizens Republic Bancorp  
- ticker  
CRBC>
 
<P ALIGN=

Brian Bolan is the Aggressive Growth Stock Strategist for Zacks.com. He is also the Editor in charge of the Zacks Home Run Investor service

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
LAKE SHORE G LSG 0.77 +6.05%
QUESTCOR PHA QCOR 80.07 +2.47%
VIPSHOP HOLD VIPS 156.35 +1.82%
ENLINK MIDST ENLC 36.29 +1.60%
BNC BANCORP BNCN 17.33 +1.58%