ATU Posts Solid Q2 Results on Cost Traction; Guidance Raised At Low End
Analysts at KeyBanc Capital Markets maintain their "buy" rating on Actuant Corporation (NYSE: ATU).
Actuant has reported its Q210 operating EPS ahead of the estimates and the consensus. According to KeyBanc Capital Markets, “Sequential improvement in the Industrial segment outpaced our expectations and commentary from our field checks, and Engineered Solutions posted a solid quarter. Energy was a negative offset as project and maintenance deferrals persisted. The Company continues to make solid progress on its restructuring actions, which is evident in improving margins. ATU shares have outperformed since early February and this quarter's results are solid confirmation of improving trends across most of its businesses and favorable internal execution. While positive confirmation, we do not expect a material reaction (positive or negative) to this morning's news flow.”
“Management raised its FY10 outlook to a range of $0.87-$0.97 (from $0.82-$0.97 and vs. our $0.92 estimate and consensus of $0.90) on revenues of $1.225 billion-$1.25 billion (vs. our $1.23 billion estimate and previous guidance of $1.2 billion-$1.25 billion),” the analysts mention.
