×
U.S.makers of bulldozers and other heavy equipment are raising prices, losing sales and in some cases beginning to trim workers in response to the Trump administration’s protracted trade disputes with various countries, according to a new report. Read more...
Terex Corp.’s shares climbed +3% on Monday, after the company reported fourth quarter earnings that edged past Wall Street estimates. The manufacturer of utility trucks and tower cranes raked in earnings of 51 cents per share in the fourth quarter, beating Zacks consensus estimate of 46 cents a share.The earnings per share was also higher from the year-ago quarter's figure, by a solid + 55%. The company’s revenue for the quarter increased +16% year-over-year to touch $1.23 billion – which is higher than analysts’ estimate of $1.2 billion (based on Zacks survey of analysts).
UQM Technologies Inc., a developer of alternative energy technologies, on Tuesday announced its definitive merger with Danfoss Power Solutions, a wholly-owned subsidiary of Denmark-based Danfoss A/S. Under the terms of the deal, Danfoss is all set to acquire all outstanding common shares of UQM for $1.71 per share, valued at approximately $100 million including UQM’s debt in an all-cash deal.This merger would mean that UQM will become part of the Danfoss Power Solutions segment, which is a leading player in hydraulic systems and components for powering off-highway machinery. This all cash deal, according to Danfoss, would be entirely funded by internal cash and represents a premium of ~52.5% over UQM’s closing share price on January 18, and a 71.4% premium to its weighted average trading price over the trailing 60 days. The Boards of Directors of both UQM and Danfoss, as well as other shareholders of UQM, have unanimously approved the acquisition.
Stocks rose on Thursday on the back of a report that said the U.S. could ease tariffs on Chinese goods during their trade negotiations with China.Read More...
Briggs & Stratton has been ordered to pay more than $28.8 million in damages in a patent ruling in favour of Exmark Manufacturing Company Inc., a Nebraska-based subsidiary of The Toro Co. Exmark first filed a lawsuit against Briggs in May 2010, alleging that some mower decks produced by the latter’s subsidiary Briggs & Stratton Power Products Group LLC had infringed upon Exmark’s mower deck patent.The court ordered Briggs to pay $14.4 million in compensatory damages, an additional $14.4 million in enhanced damages, plus "re-judgment interest, post-judgment interest and costs to be determined," according to a Briggs filing with the Securities and Exchange Commission (SEC). The cost/impact of the damages would most probably not appear in Brigg’s financial report for the quarter ending December 30, according to Briggs.
Shares of the specialty trucks and military vehicles manufacturer, Oshkosh Corporation, rose more than 27% in the month of November according to data provided by S&P Global Market Intelligence.Meanwhile, the broader market plummeted. Why the stark performance diversion? Despite being one of the most underappreciated companies in the industrial sector, Oshkosh started November with an earnings release that widely exceeded analyst expectations. The company reported 13% sales growth, 67% earnings growth, and reported new full-fiscal-year guidance which even at its low-end was above consensus.
Shares of the Illinois-based agricultural, construction and forestry machinery manufacturer, Deere & Company (DE), fell by ~5% even before the opening on Wednesday. The stock dropped below its 50-day trend-line once again this week, after the company reported weaker-than-expected earnings and sales for its fiscal fourth quarter. DE reported a net income of $748 million, or $2.30 per share, excluding adjustments, for the fourth-quarter while revenue stood at $8.34 billion (+18%).However, analysts estimated an earnings per share of $2.43 and revenue of $8.594 billion (+21%), meaning Deere widely missed the mark. Hit by the ongoing U.S. - China trade war, Deere's earnings got dented by higher transportation and material costs.
Caterpillar Inc.’s (CAT) shares fell more than 8% on Tuesday, as the mining and construction equipment maker again showed signs of weakness tied to rising steel and input costs -- which ultimately bear connection to U.S. tariffs. Caterpillar has already lost nearly 21% of its market value in October, as analysts were disappointed with earnings and its outlook for the rest of the year.As tariffs boosted metal costs and trade frictions fueled demand concerns, Caterpillar was largely unable to pass these costs on -- eroding profitability. Caterpillar in its recent government filing revealed that the company lost nearly $40 million in third quarter of 2018 owing solely to the recently imposed tariffs.
Caterpillar Inc. surpassed expectations on profit and upped its outlook for the full year, even as it might have to grapple with ‘trade war’ effects. The machine manufacturing behemoth's Q2 2018 earnings of $2.82 per share were more than double compared to the year-ago period. While acknowledging the potential $100-200 million in additional costs due to tariffs on materials, the company still hopes to rake in earnings in the range of $11-12 dollars per share– revising its previous forecasts upwards.The firm is expected to tackle higher costs by raising product prices.