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.
Terex (TEX) Hits 52-Week High: What's Driving the Stock?
Read MoreHide Full Article
Shares of Terex Corporation (TEX - Free Report) hit a 52-week high of $43.67 on Sep 15. However, the stock closed the day’s trading a trifle lower at $43.47. The company has gained 37.9% year to date, much higher than the S&P 500’s gain of 11.7% over the same frame.
Terex has a market cap of $3.9 billion. Average volume of shares traded over the last three months is approximately 1.4 million. We note that the company has beaten the Zacks Consensus Estimate in three out of the trailing four quarters, the average positive earnings surprise being 122.8%.
Notably, Terex’s shares have vastly outperformed the industry in the last year. While the stock rallied 80.4%, the industry recorded only 48.2% growth in the same time period.
What's Driving Terex?
Terex’s share price has considerably gained around 14% over the last week. Investors favorably view the company’s plans of disciplined capital-allocation strategy and return of capital to shareholders.
On Sep 6, Terex announced a new share repurchase program of up to $225 million. The company had earlier committed to pursuing a disciplined capital-allocation strategy that included the efficient returns of capital to shareholders through share repurchases of $1-$1.5 billion through 2020.
Notably, Terex will benefit from progress on its transformation program. The Cranes segment returned to profitability in the second quarter, led by benefits from restructuring actions, and the company expects this trend to continue. Its Materials Processing segment is also progressing well.
Further, Terex’s commercial excellence initiative continues to make progress. The company remains focused on enhancing performance management tools and improving process discipline in sales pipeline and account management.
Moreover, positive estimate revisions reflect optimism in the company’s potential as earnings growth is often an indication of robust prospects (and stock price gains) ahead. Estimates for Terex have moved up in the past 60 days, reflecting analysts’ optimistic outlook. The earnings estimate for 2017 has gone up 17%, while that of 2018 has moved up 15%. Further, the company’s positive long-term earnings growth rate of 19.7% holds promise.
Caterpillar has an expected long-term earnings growth rate of 9.5%.
China National Materials has an expected long-term earnings growth rate of 20%.
Komatsu has an expected long-term earnings growth rate of 12.7%.
New Report: An Investor’s Guide to Cybersecurity
Cyberattacks have become more frequent and destructive than ever. In fact, they’re expected to cause $6 trillion per year in damage by 2020.
The cybersecurity industry is expanding quickly in response to these threats. In fact, a projected $170 billion per year will be spent to protect consumer and corporate assets. Zacks has just released Cybersecurity: An Investor’s Guide to Locking Down Profits which reveals 4 promising investment candidates. Download the new report now>>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Terex (TEX) Hits 52-Week High: What's Driving the Stock?
Shares of Terex Corporation (TEX - Free Report) hit a 52-week high of $43.67 on Sep 15. However, the stock closed the day’s trading a trifle lower at $43.47. The company has gained 37.9% year to date, much higher than the S&P 500’s gain of 11.7% over the same frame.
Terex has a market cap of $3.9 billion. Average volume of shares traded over the last three months is approximately 1.4 million. We note that the company has beaten the Zacks Consensus Estimate in three out of the trailing four quarters, the average positive earnings surprise being 122.8%.
Notably, Terex’s shares have vastly outperformed the industry in the last year. While the stock rallied 80.4%, the industry recorded only 48.2% growth in the same time period.
What's Driving Terex?
Terex’s share price has considerably gained around 14% over the last week. Investors favorably view the company’s plans of disciplined capital-allocation strategy and return of capital to shareholders.
On Sep 6, Terex announced a new share repurchase program of up to $225 million. The company had earlier committed to pursuing a disciplined capital-allocation strategy that included the efficient returns of capital to shareholders through share repurchases of $1-$1.5 billion through 2020.
Notably, Terex will benefit from progress on its transformation program. The Cranes segment returned to profitability in the second quarter, led by benefits from restructuring actions, and the company expects this trend to continue. Its Materials Processing segment is also progressing well.
Further, Terex’s commercial excellence initiative continues to make progress. The company remains focused on enhancing performance management tools and improving process discipline in sales pipeline and account management.
Moreover, positive estimate revisions reflect optimism in the company’s potential as earnings growth is often an indication of robust prospects (and stock price gains) ahead. Estimates for Terex have moved up in the past 60 days, reflecting analysts’ optimistic outlook. The earnings estimate for 2017 has gone up 17%, while that of 2018 has moved up 15%. Further, the company’s positive long-term earnings growth rate of 19.7% holds promise.
Terex Corporation Price and Consensus
Terex Corporation Price and Consensus | Terex Corporation Quote
Zacks Rank & Other Key Picks
At present, Terex sports a Zacks Rank #1 (Strong Buy).
Other similarly-ranked companies in the same sector are Caterpillar Inc. (CAT - Free Report) , China National Materials Company Limited and Komatsu Ltd. (KMTUY - Free Report) . You can see the complete list of today’s Zacks #1 Rank stocks here.
Caterpillar has an expected long-term earnings growth rate of 9.5%.
China National Materials has an expected long-term earnings growth rate of 20%.
Komatsu has an expected long-term earnings growth rate of 12.7%.
New Report: An Investor’s Guide to Cybersecurity
Cyberattacks have become more frequent and destructive than ever. In fact, they’re expected to cause $6 trillion per year in damage by 2020.
The cybersecurity industry is expanding quickly in response to these threats. In fact, a projected $170 billion per year will be spent to protect consumer and corporate assets. Zacks has just released Cybersecurity: An Investor’s Guide to Locking Down Profits which reveals 4 promising investment candidates.
Download the new report now>>