Seeking Alpha: Hurco Delivers Once Again

Companies leveraged to metalworking have seen pretty mixed performance in both their reported financials and stock performance this year. Hardinge (NASDAQ:HDNG) and Kennametal (NYSE:KMT) are both down double-digits on a year-to-date basis (about 22% and 15%, respectively), while MSC Industrial (NYSE:MSM) (a distributor, not a manufacturer) is up more than 12% and Hurco (NASDAQ:HURC) is up close to 50%.

I continue to be bullish on Hurco. The company's announcement in mid-July of a patent on combination 3D-printing and CNC machining certainly got some attention, but the basic underlying business at Hurco is progressing well and I believe that is the more important factor. I do have some concerns about the sustainability of order growth and gross margins, but these shares continue to look undervalued to me.

Read the full article here:
Hurco Delivers Once Again

Seeking Alpha: Hurco Virtually Unknown And Meaningfully Undervalued

Typically when a writer talks about a company being "under-followed" it means that there are no analysts from big name firms following the stock, or that what coverage there is from small retail-oriented shops. In the case of Hurco (HURC), though, there is no coverage.

None.

While this is indeed a small company with a very small float, it doesn't deserve to be completely ignored. Hurco is a small player in the global machine tool industry, but its high-spec tools address a legitimate market opportunity. What's more, the company's margins and returns on capital stack up quite well against some of the giants of the sector. While there is a frustrating cyclicality to this industry, Hurco shares look 30% to 50% undervalued on the basis of a long-term free cash flow model.

Please read more here:
Hurco Virtually Unknown And Meaningfully Undervalued