Shares of Unisys Corporation (UIS - Analyst Report) hit a 52-week high of $30.71 during the trading session on Dec 9. However, the stock closed the session at $30.16, which reflects a solid year-to-date return of 67.9%. The average trading volume aggregated 360,879 shares.
Despite its strong price appreciation, this Zacks Rank #3 (Hold) stock still has enough fundamentals that may further drive the stock upward. Longer term, the company is excited about the growth prospects of its newer technology offerings, such as Unisys Stealth suite of cybersecurity products and investments in the solution areas.
Unisys has been restructuring its business to improve profitability. This restructuring strategy includes slashing jobs to reduce costs, selling non-core businesses and revamping its sales strategy, while also investing on some higher-growth areas such as outsourcing. The company is currently concentrating on business opportunities in fewer, more profitable markets in the information technology (IT) marketplace.
Unisys is currently focusing more to build specialized industry skills and resources required to win industry-specific project opportunities. The company is investing heavily on developing a team dedicated to pursuing growth opportunities for application-managed services both for existing and new clients.
Additionally, in order to increase market awareness of its offerings and drive growth, Unisys is also increasing its marketing and sales initiatives. Unisys remains bullish about achieving strong long-term growth from its Technology segment with new product offerings.
Over the last 30 days, the earnings estimates did not have any upward or downward revisions for 2013 and 2014. Although there is a lacuna of estimate revisions, we envision an uptrend for the stock backed by its strong growth potential.
Other Stocks to Consider
Other stocks that look promising and are worth a look now include Amdocs Limited (D, CoStar Group Inc (CSGP - Snapshot Report) and Infosys Ltd (INFY - Analyst Report). All these stocks carry a Zacks Rank #2 (Buy).