Industrial goods manufacturer
) reached a new 52-week high of $57.43 on Dec 13, following the
latest spin-off of its commercial and residential security
businesses on Dec 2. Shares of Ingersoll eventually closed at
$56.82 on Dec 13. Ingersoll earlier reached a 52-week high of
$71.22 on Nov 27.
The company's long-term estimated earnings per share growth
rate is 11.34%. Average volume of shares traded over the last
three months came in at approximately 2,938K.
On Dec 2, Ingersoll completed the spin-off of its commercial
and residential security businesses into a separate standalone
company. Ingersoll will not have any stake in this new company,
which has been listed on New York Stock Exchange as
). Allegion shares were distributed on Dec 1, 2013, with
Ingersoll Rand shareholders receiving one Allegion share for
every three Ingersoll Rand shares held at the close of business
as of the record date of Nov 22, 2013.
The spin-off is expected to unlock value for the company's
shareholders. The changes made will enable Ingersoll to
strengthen its focus on core businesses. The restructuring
initiative is aimed at growth, implementation of business
operating system and reducing complexity and overhead cost to
facilitate long-term growth and improve margin.
Earlier in Oct 18, the company delivered solid third-quarter
2013 results beating the Zacks Consensus Estimate on both
revenues and earnings. Adjusted earnings stood at $1.16, beating
the Zacks Consensus Estimate by 7.4%. Moreover, both revenues and
earnings grew year over year. All the four segments of the
company - Climate Solutions, The Industrial Technologies,
Residential Solutions and The Security Technologies - reported
year-over-year growth in revenues.
Ingersoll has a strong base in major markets including air
conditioning systems and services (Trane), transport
refrigeration (Thermo King), door hardware (Schlage) and
industrial technologies (Club Car). A foothold in these markets
together with its solid foundation of global brands has enabled
the company to outperform even in this competitive environment.
Ingersoll currently has a Zacks Rank #3 (Hold).
Other Stocks to Consider
Other better-ranked stocks in the industry include
). While Xylem has a Zacks Rank #1 (Strong Buy), Flowserve
carries a Zacks Rank #2 (Buy).
FLOWSERVE CORP (FLS): Free Stock Analysis
INGERSOLL RAND (IR): Free Stock Analysis
XYLEM INC (XYL): Free Stock Analysis Report
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