Earnings momentum for
Standex International Corp.
) has been increasing since this provider of industrial equipment
and components reported solid fourth quarter and fiscal year 2012
results, including an earnings surprise of 5.2% in the quarter.
Furthermore, shares for this Zacks #1 Rank (Strong Buy) are nearing
its 52-week high, and it has a price-to-earnings (P/E) ratio of
On August 28, Standex International reported fiscal fourth quarter
2012 earnings per share of $1.02, up 12.1% year over year and 5.2%
above the Zacks Consensus Estimate of 97 cents.
Revenue advanced 5% to $170 million on the back of healthy growth
in the Food Service Equipment, Engraving, Electronics Products and
Hydraulics Products segments. However, the company's fifth segment
- Engineering Technologies - posted weak revenue results.
In fiscal 2012, earnings per share came in at $3.39 versus $2.97 in
fiscal 2011, while revenue settled at $634.6 million compared with
$581.4 million in 2011.
Earnings Estimates Move Higher
Over the last 7 days, one of 3 earnings estimates moved higher for
Standex, raising the Zacks Consensus Estimate for the fiscal year
2013 by 2.7% to $4.12. A similar trend followed for fiscal 2014, as
one of 3 estimates increased and helped the Zacks Consensus
Estimate advance by 3.1% to $4.64. These outlooks represent
year-over-year earnings growth of 21.4% for fiscal 2013 and 12.7%
for fiscal 2014.
A Value Play
In addition to an attractive P/E multiple of 10.8 versus the peer
group average of 12.4, Standex International Corp. is currently
trading at a P/S ratio of 0.9 and at a P/B ratio of 2.3. A P/E
ratio below 15.0, P/B ratio under 3.0 and P/S ratio below 1.0
generally indicate value.
The chart below clearly shows that the stock gained momentum
beginning calendar year 2009 and has reached new highs since then.
Standex International Corp. is headquartered in Salem, New
Hampshire, and was founded in 1955. Operating in the Industrial
Goods sector, the company provides a variety of products and
services to diverse industrial market segments. Currently, the
company has a market capitalization of approximately $552.0
STANDEX INTL CO (SXI): Free Stock Analysis
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