Raven Retains Outperform Rating - Analyst Blog
2011年7月11日 - 8:15PM
Zacks
Raven Industries
Inc. (RAVN) retains a Zacks Outperform rating. The company
is a manufacturer of a variety of products for customers in the
industrial, construction and military/aerospace markets. Raven
recently announced its fiscal 2012 first quarter results,
delivering an EPS of 86 cents versus 72 cents in year-earlier
quarter; quite easily outperforming the Zacks Estimate of 74
cents.
Total revenue increased 19% year
over year to $101.5 million, striding ahead of the Zacks Estimate
of $96.0 million. The improvement was largely driven by the Applied
technology and Aerostar segment which reported a double-digit
growth in sales.
During the first quarter of fiscal
2012, Raven’s sales across all the segments witnessed a
double-digit growth. The improvement in sales was driven by a surge
in sales in the international markets, particularly in South
America and the erstwhile Soviet Republics, and energy markets, and
higher sales of parachutes and protective wear, bed controls and
avionics.
During the quarter, the board of
directors approved a 12.5% increase in regular quarterly dividend
to 18 cents per share. This is the twenty-fifth consecutive
increase in annual cash dividend. The company last increased its
dividend on May 20, 2010, from 14 cents to 16 cents per share. Even
during the last quarter Raven paid a special dividend of $1.25 per
share in addition to the regular quarterly dividend of 16 cents per
share. The company returned approximately $34 million in cash to
shareholders through these two dividends.
Raven continues to believe that
farm income will drive its performance in fiscal 2012, with farmers
turning more and more to the company’s cost-effective products. The
company also plans to bring two new blown-film extruders in line
during fiscal 2012. The company is committed to achieving a 12%
-15% improvement in net income and double its investments in plant
and equipment to $30 million.
Recently, Raven partnered with
NovAtel Inc. to integrate NovAtel’s industry leading Global
Navigation Satellite System (GNSS) positioning technology with its
comprehensive line of precision agriculture products. This
partnership will not only drive new growth opportunities for both
companies but also benefit customers by increasing efficiency in
their agricultural operations.
Raven’s business strategy is to
boost the company’s earnings and achieve sustainable growth in the
long term. With this end in view, the company is now targeting
precision agriculture, engineered films and situational
surveillance markets where there is ample scope of gaining market
share with new products and higher production capacity.
Raven with its ground -breaking
ideas has helped define the concept of precision agriculture and
continues to spearhead efforts to improve the position of farmers
around the world. We currently have a Zacks #2 Rank (short-term
‘Buy’ recommendation) on the stock.
South Dakota-based Raven Industries
Inc. is an industrial manufacturer providing a variety of products
for the agricultural, industrial, construction and
military/aerospace markets. The company operates through four
business segments: Engineered Films, Electronic Systems, Applied
Technology and Aerostar. Graco Inc (GGG) and
Spartech Corp. (SEH) are the two close competitors
of Raven.
GRACO INC (GGG): Free Stock Analysis Report
SPARTECH CORP (SEH): Free Stock Analysis Report
Zacks Investment Research
Spartech (NYSE:SEH)
過去 株価チャート
から 6 2024 まで 7 2024
Spartech (NYSE:SEH)
過去 株価チャート
から 7 2023 まで 7 2024