Harsco Procures $100M Swiss Rail Contract - Analyst Blog

By Zacks Equity Research,

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Harsco Corporation ( HSC ) recently secured its second railway track and infrastructure maintenance equipment contract worth $100 million from SBB - the federal railway system of Switzerland. Deliveries are expected to begin in 2016.

Per the contract, Harsco will provide 59 high-speed catenary vehicles to be used for the construction, maintenance and repair of overhead catenary systems across Switzerland.

Harsco Rail track maintenance group provides equipment and services used for maintaining, repairing and constructing railway track. The key competitive factors for the company include quality, technology, customer service and value. The award comes as a follow-on order to Harsco's previously-secured $100 million-plus contract from SBB. The previous contract was for specialty utility track vehicles to support rail operations across the Gotthard and Ceneri region.

Harsco continues to win big-order deals at regular intervals. These back-to-back contract wins are key catalysts for the company and further builds its business relationship with SBB.

These contracts are further expected to strengthen Harsco's rail presence in Europe with vehicles designed and built as per European specifications. New track construction, infrastructure projects and the need for strong technical support provide significant runway for future growth and is likely to augment the company's revenues.

Headquartered in PA, Harsco is a diversified, multinational provider of market-leading industrial services and engineered products. The company serves global infrastructure, metals, minerals, rail, and industrial sectors.

Harsco currently has a Zacks Rank #1 (Strong Buy). Other stocks that look promising and are worth a look include Universal Stainless & Alloy Products Inc ( USAP ) and Grupo Simec S.A.B. de C.V. ( SIM ) carrying a Zacks Rank #1 (Strong Buy), and Olympic Steel Inc. ( ZEUS ), that carries a Zacks Rank #2 (Buy).

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HARSCO CORP (HSC): Free Stock Analysis Report

GRUPO SIMEC SA (SIM): Free Stock Analysis Report

UNVL STAINLESS (USAP): Free Stock Analysis Report

OLYMPIC STEEL (ZEUS): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Business , Stocks
Referenced Stocks: HSC , SIM , USAP , ZEUS

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