Gorman-Rupp (NYSE:GRC) Reaches New 1-Year High on Better-Than-Expected Earnings

Key Points

• New 52-week high after stronger-than-expected quarter: Gorman-Rupp's stock rose to $75.03 (last $74.42) after reporting EPS of $0.68 versus consensus $0.49 and revenue of $176.59M versus $170.61M.
• Institutional and analyst support increased: Victory Capital raised its stake by 211.6% to 830,480 shares, several other funds initiated or grew positions, and Weiss Ratings/MarketBeat show a consensus Buy rating.
• Solid fundamentals but relatively rich valuation: the company has ROE of 14.06% and a net margin of 7.77%, a market cap of $1.96B and a PE of 37.02, with a debt-to-equity of 0.69 and a current ratio of 2.37.

Gorman-Rupp Company (The) (NYSE:GRC - Get Free Report)'s share price hit a new 52-week high on Friday following a stronger than expected earnings report. The stock traded as high as $75.03 and last traded at $74.4170, with a volume of 232338 shares changing hands. The stock had previously closed at $66.21.

The industrial products company reported $0.68 EPS for the quarter, topping analysts' consensus estimates of $0.49 by $0.19. The business had revenue of $176.59 million during the quarter, compared to the consensus estimate of $170.61 million. Gorman-Rupp had a return on equity of 14.06% and a net margin of 7.77%.

Wall Street Analyst Weigh In

Separately, Weiss Ratings restated a "buy (b)" rating on shares of Gorman-Rupp in a report on Thursday, January 22nd. One analyst has rated the stock with a Buy rating, According to MarketBeat.com, Gorman-Rupp has a consensus rating of "Buy".

Hedge Funds Weigh In On Gorman-Rupp

Hedge funds have recently made changes to their positions in the business. Victory Capital Management Inc. lifted its holdings in shares of Gorman-Rupp by 211.6% during the 4th quarter. Victory Capital Management Inc. now owns 830,480 shares of the industrial products company's stock valued at $39,655,000 after acquiring an additional 564,000 shares in the last quarter. Amundi acquired a new stake in Gorman-Rupp in the 4th quarter valued at $5,942,000. First Trust Advisors LP purchased a new position in Gorman-Rupp in the fourth quarter valued at about $5,876,000. Allspring Global Investments Holdings LLC purchased a new position in Gorman-Rupp in the third quarter valued at about $4,007,000. Finally, Needham Investment Management LLC lifted its stake in shares of Gorman-Rupp by 30.0% during the fourth quarter. Needham Investment Management LLC now owns 260,000 shares of the industrial products company's stock worth $12,415,000 after purchasing an additional 60,000 shares in the last quarter. Hedge funds and other institutional investors own 59.26% of the company's stock.

Gorman-Rupp Price Performance

The company has a 50-day moving average price of $64.37 and a two-hundred day moving average price of $54.54. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.37 and a quick ratio of 1.39. The company has a market cap of $1.96 billion, a PE ratio of 37.02, a P/E/G ratio of 2.20 and a beta of 1.26.

About Gorman-Rupp

Gorman-Rupp Company is a U.S.-based manufacturer specializing in the design, production and distribution of pumps and pumping systems. Its product lineup includes centrifugal self-priming pumps, submersible pumps, vacuum priming pumps and engineered pumps for applications such as water and wastewater management, sewage handling, dewatering, industrial processing and agricultural irrigation. The company supports both standard pump requirements and custom engineered solutions for original equipment manufacturers (OEMs) and municipal clients.

Headquartered in Mansfield, Ohio, Gorman-Rupp has built a reputation for rugged, reliable equipment and aftermarket support services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.