This machinery company currently carries a Zacks Rank #3 (Hold), marking a downward revision from its earlier Zacks Rank #2 (Buy). Its market capitalization is approximately $10.3 billion.
A few growth drivers and certain headwinds, which might influence IDEX, have been discussed below.
Factors Favoring IDEX
Financial Performance & Bottom-Line Outlook: IDEX pulled off a positive average earnings surprise of 5.80% in the last four quarters. This includes impact of 7.63% earnings beat recorded in the third quarter of 2018. Further, in the reported quarter, the company’s earnings grew 30.6% year over year on the back of sales growth and diligent execution of productivity initiatives.
For 2018, IDEX believes that robust sales growth, productivity initiatives and acquired assets will be advantageous. It raised its earnings per share guidance from $5.27-$5.35 to $5.35-$5.37.
In the past 30 days, earnings estimates on the stock for 2018 have been increased by ten brokerage firms and lowered by one. Likewise, estimates for 2019 were increased by seven firms and lowered by one. Currently, the Zacks Consensus Estimate for earnings is pegged at $5.36 for 2018 and $5.77 for 2019, reflecting growth of 0.9% and 0.7% from respective 30-day-ago tallies. Further, bottom-line estimates represent year-over-year growth of 24.4% for 2018 and 7.6% for 2019.
IDEX Corporation Price and Consensus