) is set to report its first-quarter 2014 results on Apr 23. The
company delivered a positive surprise of 10% in the last quarter.
Let's see how things are shaping up for this announcement.
Growth Factors in the Past Quarter
The company continued to benefit from management's consistent
focus on strengthening its core businesses, namely, Engineered
Product Division, Industrial Product Division and Flow Control
Division. Recent contract wins were also a positive.
Recently, Flowserve received several key contracts in its core
business from the Germany-based Lichterfelde Cogeneration Power
Plant. Per the contract, Flowserve will be providing diverse
services for the company's major power stations. Apart from
catering to the entire pumping station requirements, the deal
also requires Flowserve to provide diverse support services for
the complete life-cycle of the pumps including installation,
initiation and maintenance.
Prior to this, Flowserve also received a contract to supply
tailor-made water injection and liquid transfer pumps to Sabah
Shell Petroleum Company's Malikai oilfield project.
Morever, in March, the company announced that it has divested
the Naval OY business unit including its all-welded ball valve
product line to Finnish valve manufacturer, Vexve OY. These
valves catered to a niche market that were highly cyclical in
nature and failed to generate the required results for Flowserve.
Post the sell-off, Flowserve intends to concentrate and build up
on its core portfolio comprising flow control equipment, such as
pumps, valves and seals, for critical service applications.
Our proven model does not conclusively show that Flowserve is
likely to beat estimates this quarter. This is because a stock
needs to have both positive
and Zacks Rank #1, 2 or 3 for this to happen. That is not the
case here as you will see below:
Flowserve has a Zacks ESP of 0.00%.
Flowserve's Zacks Rank #3 lowers the predictive power of ESP
because the Zacks Rank #3 when combined with a 0.00% ESP makes
surprise prediction difficult.
Other Stocks to Consider
Here are some other companies you may want to consider as our
model shows they have the right combination of elements to post
an earnings beat this quarter:
Lincoln Electric Holdings Inc.
), with Earnings ESP of +1.11% and a Zacks Rank #1 (Strong
United Rentals, Inc.
), with Earnings ESP of +3.52% and a Zacks #2 Rank (Buy).
), with Earnings ESP of +4.65% and a Zacks Rank #2.
COLFAX CORP (CFX): Free Stock Analysis Report
FLOWSERVE CORP (FLS): Free Stock Analysis
LINCOLN ELECTRC (LECO): Free Stock Analysis
UTD RENTALS INC (URI): Free Stock Analysis
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