We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Altra Industrial (AIMC) Completes Acquisition of Stromag
Read MoreHide Full Article
Machinery company Altra Industrial Motion Corporation recently announced that it has successfully closed the acquisition of Stromag business of GKN plc on Dec 30, 2016. The deal was announced on Oct 21.
In the last one month, Altra Industrial Motion’s shares yielded a positive return of 1.4%, outperforming a negative 1.4% return generated by the Zacks categorized Machinery General Industrial industry.
Acquisition Details
As revealed, Stromag is well-known for providing tailored-engineered solutions to its customers in agricultural equipment, construction, marine, metal processing, renewable energy, crane & hoist and general industrial markets. Its product portfolio includes clutches and brakes, flexible couplings, limit switches and friction discs. Stromag’s revenues totaled roughly €131 million in 2015.
Altra Industrial Motion had to assume debt of roughly €14 million as well as shell out approximately €184 million in cash for the Stromag’s assets. The company anticipates the acquired assets to be earnings accretive in 2017.
Zacks Rank & Other Stocks to Consider
With a market capitalization of $974.5 million, Altra Industrial Motion currently sports a Zacks Rank #1 (Strong Buy). We believe that the company’s latest acquisition is consistent with its strategic expansion policy. It is also indicative of its strong balance sheet and healthy cash position.
Over the last 30 days, the Zacks Consensus Estimate for the stock increased 4.8% to $1.74 per share for 2017. The estimates represent year-over-year growth of 17.08%.
Other stocks worth considering in the machinery industry include RBC Bearings Incorporated , Sun Hydraulics Corporation and The Middleby Corporation (MIDD - Free Report) . While both RBC Bearings and Sun Hydraulics sport the same Zacks Rank as Altra Industrial Motion, The Middleby Corporation carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
RBC Bearings Incorporated’s financial performance has been impressive, with an average positive earnings surprise of 1.60% for the last four quarters. Also, earnings estimates for fiscal 2017 remained stable while improved for fiscal 2018, over the last 30 days.
Sun Hydraulics Corporation’s earnings estimates for 2017 have improved over the past 30 days.
The Middleby Corporation’s financial performance has been impressive, with an average positive earnings surprise of 15.93% for the last four quarters.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017?
Who wouldn't? As of early December, the 2016 Top 10 produced 5 double-digit winners including oil and natural gas giant Pioneer Natural Resources which racked up a stellar +50% gain. The new list is painstakingly hand-picked from 4,400 companies covered by the Zacks Rank. Be among the very first to see it>>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Altra Industrial (AIMC) Completes Acquisition of Stromag
Machinery company Altra Industrial Motion Corporation recently announced that it has successfully closed the acquisition of Stromag business of GKN plc on Dec 30, 2016. The deal was announced on Oct 21.
In the last one month, Altra Industrial Motion’s shares yielded a positive return of 1.4%, outperforming a negative 1.4% return generated by the Zacks categorized Machinery General Industrial industry.
Acquisition Details
As revealed, Stromag is well-known for providing tailored-engineered solutions to its customers in agricultural equipment, construction, marine, metal processing, renewable energy, crane & hoist and general industrial markets. Its product portfolio includes clutches and brakes, flexible couplings, limit switches and friction discs. Stromag’s revenues totaled roughly €131 million in 2015.
Altra Industrial Motion had to assume debt of roughly €14 million as well as shell out approximately €184 million in cash for the Stromag’s assets. The company anticipates the acquired assets to be earnings accretive in 2017.
Zacks Rank & Other Stocks to Consider
With a market capitalization of $974.5 million, Altra Industrial Motion currently sports a Zacks Rank #1 (Strong Buy). We believe that the company’s latest acquisition is consistent with its strategic expansion policy. It is also indicative of its strong balance sheet and healthy cash position.
Over the last 30 days, the Zacks Consensus Estimate for the stock increased 4.8% to $1.74 per share for 2017. The estimates represent year-over-year growth of 17.08%.
ALTRA INDUS MOT Price and Consensus
ALTRA INDUS MOT Price and Consensus | ALTRA INDUS MOT Quote
Other stocks worth considering in the machinery industry include RBC Bearings Incorporated , Sun Hydraulics Corporation and The Middleby Corporation (MIDD - Free Report) . While both RBC Bearings and Sun Hydraulics sport the same Zacks Rank as Altra Industrial Motion, The Middleby Corporation carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
RBC Bearings Incorporated’s financial performance has been impressive, with an average positive earnings surprise of 1.60% for the last four quarters. Also, earnings estimates for fiscal 2017 remained stable while improved for fiscal 2018, over the last 30 days.
Sun Hydraulics Corporation’s earnings estimates for 2017 have improved over the past 30 days.
The Middleby Corporation’s financial performance has been impressive, with an average positive earnings surprise of 15.93% for the last four quarters.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017?
Who wouldn't? As of early December, the 2016 Top 10 produced 5 double-digit winners including oil and natural gas giant Pioneer Natural Resources which racked up a stellar +50% gain. The new list is painstakingly hand-picked from 4,400 companies covered by the Zacks Rank. Be among the very first to see it>>