(GDI) - Gardner Denver, Inc - beat earnings estimates for the past 12 quarters by an average of 23.9%

Gardner Denver, Inc. (GDI) topped analysts’ earnings expectations for the past 12 quarters by an average margin of 23.9%. In addition to posting solid results for the third quarter and first nine months of the year, GDI upped its 2006 earnings per share guidance. Analysts responded by revising their profit forecasts upward. This Zacks #1 Rank stock has a price-to-book ratio of 2.4, compared to 4.9 for the market. Full Analysis Gardner Denver, Inc. is a leading worldwide manufacturer of reciprocating, rotary and vane compressors, liquid ring pumps and blowers for various industrial and transportation applications, pumps used in the petroleum and industrial markets, and other fluid transfer equipment serving chemical, petroleum, and food industries. GDI has a very strong history of beating analysts’ earnings expectations, having done so for the past 12 quarters by an average margin of 23.9%. Over the past 15 quarters, the company surprised on 14 occasions while meeting once, including double-digit surprises in nine quarters. On Oct 25, GDI posted third-quarter profits of 60 cents per share, topping the Street’s estimate of 55 cents by 9.1%. Compared to earnings of 31.5 cents in the prior-year period, the result marked an impressive 90.5% year-over-year improvement. Revenues came in at $414.0 million, compared to $356.1 million in the third quarter of 2005. Chairman, President and CEO Ross J. Centanni stated, “I am proud of the overall efforts of our employees in achieving another successful quarter. Our results reflect continued strength in our end market segments and my outlook remains positive.” For the first nine months of the year, profits more than doubled to $95.6 million, versus $41.6 million for the same period last year. Revenues soared 42.0% to $1.2 billon from $845.3 million for the first nine months of 2005. GDI upped its 2006 earnings per share guidance to between $2.35 and $2.45. The company’s previous outlook called for profits between $2.20 and $2.40 per share. The company made the revision based on its current economic outlook, existing backlog and expected operational improvements as integration projects are completed. Analysts responded to the company’s bullish guidance by upping their earnings estimates. Consensus estimates for both this year and next are up over the past 90 days. Profit forecasts for this year jumped seven cents to $2.43, while estimates for next year have risen 10 cents to $2.85. Earnings per share are projected to grow 11.0% over the next 3-5 years. GDI is currently trading at a valuation of 16.0x trailing 12-month earnings and at 12.6x current fiscal-year estimated earnings. The market, as represented by the S&P 500, is trading at a valuation of 17.5x trailing 12-month earnings and at 15.8x its current fiscal-year estimated earnings. The company has a price-to-book ratio of 2.4, compared to 4.9 for the market. Content Courtesy: Zacks Investment Research #1 Ranked Stocks Highlight Archive To truly take advantage of the Zacks Rank, you need to first understand how it works. That is why we created the free special report: Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions. | Blog Home| VitalStocks Home