Monday, February 5, 2018

Crane Seeing A Choppier Recovery

Crane (CR) has always been a little different relative to its multi-industrial peers, so I can't say that I'm all that surprised that this company's recovery has followed a different trajectory. Not that this has done the share price any harm - Crane shares are up about 100% over the past two years, better than Parker-Hannifin (PH), Dover (DOV), Emerson (EMR), and many other peers that have seen sharper boom/bust cycles.

While the recent Crane & Co. ("Crane Currency") acquisition should pay off well over time, the near-term outlook for Crane is relatively tepid, with the company expecting decent (but not market/segment-leading) growth across its businesses in 2018 and not a lot of margin leverage. Some investors may find that Crane shares still make sense on a relative value basis, but I'm not inclined to chase these shares.

Read more here:
Crane Seeing A Choppier Recovery

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