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.
Badger Meter Hits 52-Week High on Large Metering Projects
Read MoreHide Full Article
Shares of Badger Meter, Inc. (BMI - Free Report) scaled a 52-week high of $50.90 on Oct 9, eventually closing nominally lower at $50.65.
Badger Meter has a market cap of $1.5 billion. Average volume of shares traded over the last three months is approximately 96.1K. We note that the company has beaten the Zacks Consensus Estimate in two out of the trailing four quarters, the average positive earnings surprise being 0.11%.
Notably, the stock has gained 51.6% over the last year, higher than the S&P 500’s gain of 17.6%. Badger Meter has also outperformed the industry’s gain of 27.3% in a year’s time with respect to share price movement.
Further, Badger Meter carries a Zacks Rank #3 (Hold). The company has an impressive Growth Style Score of B. Our Growth Style Score highlights all the vital metrics of a company’s financials to obtain a clearer picture of the quality and sustainability of its growth. Our research shows that stocks with Style Scores of A or B, when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3, offer the best investment opportunities.
What's Driving Badger Meter?
Badger Meter remains focused on numerous large city projects which are still in the bidding process. With these types of projects on the horizon and the consistent strength of its water meters, radios and software, the company anticipates municipal sales growth in the near future. Further, the company remains optimistic about long-awaited rebound in flow instrumentation, particularly in the oil and gas business.
Badger Meter also anticipates that the continued strength of its core water meter business, led by the latest products and recovery in the flow instrumentation business, will stoke growth. Furthermore, it continues to see opportunities in the Middle East for ultrasonic water meters. Additionally, it is well positioned to gain from acceleration in large metering projects.
During second-quarter 2017, Badger Meter acquired D-Flow Technology AB of Luleå, Sweden. The acquisition will help Badger Meter further enhance its successful E-Series Ultrasonic product line, lower production costs and provide a platform for further advancement of ultrasonic capabilities. Further acquisitions will drive the company’s growth.
Notably, the company’s margin performance will be assisted by cost-reduction efforts made last year in the flow instrumentation area. Furthermore, in the municipal water markets, Badger Meter is maintaining strong pricing structure by not participating in low-margin opportunities. Also, its distribution consolidation strategy will drive margin in the near term.
Also, the company’s cost-containment efforts and strong pricing structure continue to enhance competitive advantage, while driving profitable growth and improving returns.
All these measures probably raised investors’ confidence and are anticipated to boost the company’s share price in the days ahead.
In addition, 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 Badger Meter have moved up in the past 90 days, reflecting analysts’ bullish outlook. The earnings estimate for 2017 has gone up 5%, while that of 2018 moved up 6%.
Applied Materials has an expected long-term earnings growth rate of 17.1%.
América Móvil has an expected long-term earnings growth rate of 55.9%.
Canon has an expected long-term earnings growth rate of 3%.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation. See Them Free>>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Badger Meter Hits 52-Week High on Large Metering Projects
Shares of Badger Meter, Inc. (BMI - Free Report) scaled a 52-week high of $50.90 on Oct 9, eventually closing nominally lower at $50.65.
Badger Meter has a market cap of $1.5 billion. Average volume of shares traded over the last three months is approximately 96.1K. We note that the company has beaten the Zacks Consensus Estimate in two out of the trailing four quarters, the average positive earnings surprise being 0.11%.
Notably, the stock has gained 51.6% over the last year, higher than the S&P 500’s gain of 17.6%. Badger Meter has also outperformed the industry’s gain of 27.3% in a year’s time with respect to share price movement.
Further, Badger Meter carries a Zacks Rank #3 (Hold). The company has an impressive Growth Style Score of B. Our Growth Style Score highlights all the vital metrics of a company’s financials to obtain a clearer picture of the quality and sustainability of its growth. Our research shows that stocks with Style Scores of A or B, when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3, offer the best investment opportunities.
What's Driving Badger Meter?
Badger Meter remains focused on numerous large city projects which are still in the bidding process. With these types of projects on the horizon and the consistent strength of its water meters, radios and software, the company anticipates municipal sales growth in the near future. Further, the company remains optimistic about long-awaited rebound in flow instrumentation, particularly in the oil and gas business.
Badger Meter also anticipates that the continued strength of its core water meter business, led by the latest products and recovery in the flow instrumentation business, will stoke growth. Furthermore, it continues to see opportunities in the Middle East for ultrasonic water meters. Additionally, it is well positioned to gain from acceleration in large metering projects.
During second-quarter 2017, Badger Meter acquired D-Flow Technology AB of Luleå, Sweden. The acquisition will help Badger Meter further enhance its successful E-Series Ultrasonic product line, lower production costs and provide a platform for further advancement of ultrasonic capabilities. Further acquisitions will drive the company’s growth.
Notably, the company’s margin performance will be assisted by cost-reduction efforts made last year in the flow instrumentation area. Furthermore, in the municipal water markets, Badger Meter is maintaining strong pricing structure by not participating in low-margin opportunities. Also, its distribution consolidation strategy will drive margin in the near term.
Also, the company’s cost-containment efforts and strong pricing structure continue to enhance competitive advantage, while driving profitable growth and improving returns.
All these measures probably raised investors’ confidence and are anticipated to boost the company’s share price in the days ahead.
In addition, 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 Badger Meter have moved up in the past 90 days, reflecting analysts’ bullish outlook. The earnings estimate for 2017 has gone up 5%, while that of 2018 moved up 6%.
Badger Meter, Inc. Price and Consensus
Badger Meter, Inc. Price and Consensus | Badger Meter, Inc. Quote
Stocks to Consider
Better-ranked stocks in the same sector are Applied Materials, Inc. (AMAT - Free Report) , América Móvil, S.A.B. de C.V. (AMX - Free Report) and Canon Inc. . All three stocks flaunt a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
Applied Materials has an expected long-term earnings growth rate of 17.1%.
América Móvil has an expected long-term earnings growth rate of 55.9%.
Canon has an expected long-term earnings growth rate of 3%.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation. See Them Free>>