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.
Why MRC Global (MRC) is an Attractive Bet for Investors Now
Read MoreHide Full Article
MRC Global Inc. (MRC - Free Report) is well poised for growth, courtesy of strength across its businesses, remunerative contract wins, undertaken projects and a sound capital-deployment strategy.
Image Source: Zacks Investment Research
Currently sporting a Zacks Rank #1 (Strong Buy), MRC Global has a market capitalization of $855.7 million. In the past year, the stock has gained 17.9% compared with the industry’s rise of 9.1%.
Let’s delve into the factors that make investments in MRC Global a smart choice at the moment.
End-Market Strength: MRC Global benefits from its presence in diverse end markets, allowing it to offset risks associated with a single market. In the quarters ahead, strength in end markets like upstream production, gas utilities, midstream pipelines, downstream, industrial and energy transition and others, will likely benefit MRC Global. It expects revenues from its business in the gas utility sector to witness double-digit percentage growth year over year, driven by higher gas distribution system integrity management activities for 2022. Revenues from its business in the downstream, industrial and energy transition sectors are likely to increase in double-digit percentage for the year, supported by a project turnaround activity and new energy transition-related projects. For 2022, MRC predicts revenues of $3.1 billion, suggesting growth of 14.9% from the prior-year reported figure, while adjusted EBITDA is expected to be $230 million.
Lucrative Contract Wins: MRC Global is poised to become more competent on attractive contract wins and projects. Its gas utility sector is likely to benefit from several contracts awarded bythe largest gas utilities in the United States. Also, MRC’s businesses in the industrial, downstream and energy transition sectors are expected to gain from contracts with some of the largest refiners in the United States.
Shareholder-Favorite Activities: MRC Global rewards its shareholders through dividend payments. In 2021 and during the first three months of 2022, MRC paid out dividends worth $24 million and $6 million, respectively. Improved cash positions will help MRCadd shareholder value in the times ahead.
Northbound Estimate Revision: In the past 60 days, the Zacks Consensus Estimate for 2022 earnings has been revised 11.5% upward.
Other Stocks to Consider
Some other-top ranked companies from the industrial products sector are discussed below:
GEF’s earnings estimates have increased 17.8% for fiscal 2022 (ending October 2022) in the past 60 days. Its shares have inched up 5.5% in the past year.
Titan International, Inc. presently has a Zacks Rank of 1. Its earnings surprise in the last four quarters was 56.4%, on average.
In the past 60 days, TWI’s earnings estimates have increased 43.3% for 2022. The stock has surged 78.7% in the past year.
RBC Bearings Incorporated presently has a Zacks Rank#2 (Buy). ROLL’s earnings surprise in the last four quarters was 3.4%, on average.
In the past 60 days, the stock’s earnings estimates have increased 7% for fiscal 2023 (ending March 2023). The stock has inched up 2% in the past year.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Why MRC Global (MRC) is an Attractive Bet for Investors Now
MRC Global Inc. (MRC - Free Report) is well poised for growth, courtesy of strength across its businesses, remunerative contract wins, undertaken projects and a sound capital-deployment strategy.
Image Source: Zacks Investment Research
Currently sporting a Zacks Rank #1 (Strong Buy), MRC Global has a market capitalization of $855.7 million. In the past year, the stock has gained 17.9% compared with the industry’s rise of 9.1%.
Let’s delve into the factors that make investments in MRC Global a smart choice at the moment.
End-Market Strength: MRC Global benefits from its presence in diverse end markets, allowing it to offset risks associated with a single market. In the quarters ahead, strength in end markets like upstream production, gas utilities, midstream pipelines, downstream, industrial and energy transition and others, will likely benefit MRC Global. It expects revenues from its business in the gas utility sector to witness double-digit percentage growth year over year, driven by higher gas distribution system integrity management activities for 2022. Revenues from its business in the downstream, industrial and energy transition sectors are likely to increase in double-digit percentage for the year, supported by a project turnaround activity and new energy transition-related projects. For 2022, MRC predicts revenues of $3.1 billion, suggesting growth of 14.9% from the prior-year reported figure, while adjusted EBITDA is expected to be $230 million.
Lucrative Contract Wins: MRC Global is poised to become more competent on attractive contract wins and projects. Its gas utility sector is likely to benefit from several contracts awarded bythe largest gas utilities in the United States. Also, MRC’s businesses in the industrial, downstream and energy transition sectors are expected to gain from contracts with some of the largest refiners in the United States.
Shareholder-Favorite Activities: MRC Global rewards its shareholders through dividend payments. In 2021 and during the first three months of 2022, MRC paid out dividends worth $24 million and $6 million, respectively. Improved cash positions will help MRCadd shareholder value in the times ahead.
Northbound Estimate Revision: In the past 60 days, the Zacks Consensus Estimate for 2022 earnings has been revised 11.5% upward.
Other Stocks to Consider
Some other-top ranked companies from the industrial products sector are discussed below:
Greif, Inc. (GEF - Free Report) presently sports a Zacks Rank of 1. GEF delivered a trailing four-quarter earnings surprise of 22.9%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
GEF’s earnings estimates have increased 17.8% for fiscal 2022 (ending October 2022) in the past 60 days. Its shares have inched up 5.5% in the past year.
Titan International, Inc. presently has a Zacks Rank of 1. Its earnings surprise in the last four quarters was 56.4%, on average.
In the past 60 days, TWI’s earnings estimates have increased 43.3% for 2022. The stock has surged 78.7% in the past year.
RBC Bearings Incorporated presently has a Zacks Rank#2 (Buy). ROLL’s earnings surprise in the last four quarters was 3.4%, on average.
In the past 60 days, the stock’s earnings estimates have increased 7% for fiscal 2023 (ending March 2023). The stock has inched up 2% in the past year.