Terex Corporation’s (TEX - Free Report) third-quarter 2017 adjusted earnings surged a whopping 194% year over year to 50 cents per share. Earnings also beat the Zacks Consensus Estimate of 36 cents per share by a wide margin of 39%. All the three segments increased sales, improved operating margin and grew backlog which led to the overall improved performance in the quarter.
Including one-time items, Terex posted earnings of 63 cents per share in the quarter compared to 31 cents reported in the year-ago quarter.
Revenues in the quarter improved 5% year over year to $1,111 million from $1,056 million recorded in the prior-year quarter. Revenues beat the Zacks Consensus Estimate of $1,034 million.
Cost of goods sold increased 2.3% to $892 million from $873 million in the prior-year quarter. Gross profit surged 19% year over year to $219 million. Gross margin expanded 230 basis points (bps) to 19.7%.
Terex Corporation Price, Consensus and EPS Surprise
The company continues to implement its strategy to focus and simplify the company, and build capabilities in key commercial and operational areas. Its on-going efforts to expand capabilities in sales execution and account management through Commercial Excellence initiative reflects the company’s growing bookings and backlog. Consequently, Terex has, soared 108.8% in the past year, outperforming 67.1% growth recorded by the industry.
Terex currently carries a Zacks Rank #2 (Buy).
Other Stocks to Consider
Other top-ranked stocks worth considering in the same sector are Lakeland Industries, Inc. (LAKE - Free Report) , China National Materials Company Limited and Caterpillar Inc. (CAT - Free Report) . All three stocks flaunt a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Lakeland Industries has an expected long-term earnings growth rate of 10%.
China National Materials has an expected long-term earnings growth rate of 20%.
Caterpillar has an expected long-term earnings growth rate of 9.5%.
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