Kaman Corporation (KAMN - Free Report) currently seems to be a smart choice for investors seeking exposure in the machinery space. Solid fundamentals and positive revision in earnings estimates are reflective of healthy growth potential of the stock.
This Bloomfield, CT-based company currently sports a Zacks Rank #1 (Strong Buy) and has a VGM Score of A. It belongs to the Zacks Manufacturing – General Industrial industry, which comes under the ambit of the Zacks Industrial Products sector.
We believe that the strengthening housing market, infrastructural development, lower taxes with the implementation of the U.S. Tax Cuts and Jobs Act, solid manufacturing activities, and other tailwinds will aid industrial machinery companies. Further, healthy demand in the commercial and military aerospace markets is a boon.
Below we discussed why investing in Kaman will be a smart choice.
Financial Performance & Earnings Estimates: The company delivered impressive results in the first quarter of 2019. Its adjusted earnings of 57 cents per share surpassed the Zacks Consensus Estimate by 54.05%. It is worth mentioning here that the company delivered a positive average earnings surprise of 15% in the last four quarters.
For 2019, Kaman anticipates gaining from healthy business, efforts to invest in growth opportunities and work on reducing debts. Impressive first-quarter performance and growth prospects created positive sentiments for the stock. Earnings estimates for the company have been revised upward in the past 60 days. Currently, the Zacks Consensus Estimate for Kaman’s earnings is pegged at $2.95 for 2019, reflecting growth of 1% from the 60-day-ago figure.
Kaman Corporation Price and Consensus