Industrial goods manufacturer
) recently approved an additional share repurchase authorization
of up to $300 million of IDEX's shares. The company will buy back
stocks at regular intervals in the open market or in privately
negotiated transactions. This is a strategic move by the company
to deploy over $1 billion for acquisitions while maintaining its
IDEX Corporation continues to fund organic growth while
pursuing strategic acquisitions, increasing dividends and
remaining active with share repurchases. This additional
authorization allows the company to take advantage of periodic
dislocations in the stock price and help the company to boost its
earnings per share while maintaining its capital deployment
strategy. The capital activities are part of company's strategy
to maximize shareholders value.
IDEX Corporation's solid financials assist the company to fund
its buyback program. The company plans to fund the new repurchase
with its available cash balance. It exited the last quarter of
2013 with cash and cash equivalents of $399.8 million. In the
last reported quarter, IDEX Corporation repurchased 881,000
shares for $53 million in the reported quarter, bringing its
year-to-date tally to 2.5 million shares for $138 million.
IDEX Corporation is a provider of applied solutions that sell
a broad range of pumps, flow meters and other fluidics systems
and components and engineered products to customers in different
markets around the world. The company, along with its
subsidiaries, manufactures and markets its products both in the
United States and internationally.
IDEX Corporation currently has a Zacks Rank #2 (Buy). Stocks
DXP Enterprises, Inc
) from the same industry are also worth considering as they also
carry Zacks Rank #2.
DXP ENTERPRISES (DXPE): Free Stock Analysis
GRAHAM CORP (GHM): Free Stock Analysis Report
IDEX CORP (IEX): Free Stock Analysis Report
XYLEM INC (XYL): Free Stock Analysis Report
To read this article on Zacks.com click here.