Team Inc. Trims 4Q Guidance - Analyst Blog
22 Maggio 2013 - 7:50PM
Zacks
Specialty industrial services
provider, Team, Inc. (TISI), recently lowered its
earnings guidance for fourth quarter fiscal 2013 ending May 31.
Considering the opening stock price on May 20, the day on which the
company revised its earnings estimate downwards, shares have fallen
around 12.5% to a closing price of $35.00 on May 21.
Apart from providing industrial services, Team Inc. also inspects
and assesses piping systems and vessels used in refining,
petrochemical, power, pipeline and other heavy industries.
Outlook for Fourth Quarter Fiscal 2013
Team Inc. presently expects fourth quarter earnings between 52
cents and 60 cents per share, down from its earlier guidance of 69
cents to 84 cents. Management believes that lower profit margins
would adversely hit the company’s previous earnings guidance. It
currently expects gross margins to be 200 bps lower than its
previous guidance. Management also expects to report slower growth
in revenues due to fewer big turnaround projects.
In addition, management believes that the company would be
adversely hit during the quarter due to cost and utilization
challenges. It further stated that its results would be poorly
affected due to considerable growth in resources, thereby causing
an imbalance between cost and utilization level.
Outlook for Fiscal 2014
The company currently expects its fiscal 2014 revenues to be around
$790 million with earnings of about $2.00 per share. Management
also expects to derive significant advantages from business
expansion, thereby delivering organic growth of 10%.
Moreover, management is confident that it will be able to strike a
balance between its various resources and restore its current
operating and utilization rate to historical rates in the next
fiscal.
Other Stocks
Team Inc. currently carries a Zacks
Rank #4 (Sell). Some other stocks within the sector worth
mentioning are AMN Healthcare Services Inc. (AHS),
Cardtronics Inc. (CATM) and CTPartners
Executive Search Inc. (CTP), each carrying a Zacks Rank #2
(Buy).
AMN HLTHCR SVCS (AHS): Free Stock Analysis Report
CARDTRONICS INC (CATM): Free Stock Analysis Report
CTPARTNERS EXEC (CTP): Free Stock Analysis Report
TEAM INC (TISI): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
Grafico Azioni CTPartners Executive Sea... (CE) (USOTC:CTPR)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni CTPartners Executive Sea... (CE) (USOTC:CTPR)
Storico
Da Giu 2023 a Giu 2024
Notizie in Tempo Reale relative a CTPartners Executive Search Inc (CE) (OTCMarkets): 0 articoli recenti
Più Ctpartners Executive Search Inc. Articoli Notizie