A small player in the cyclical machine tool industry, Hurco (HURC) has not enjoyed the same rebound or love that other short-cycle names like Kennametal (KMT), Lincoln Electric (LECO), or Parker-Hannifin (PH) have seen, with the shares lagging the overall industrial sector by about 400bp over the past year and far wider gaps to those aforementioned three short-cycle industrials.
While Hurco is a tiny company with an uncovered stock, and the machine tool industry is facing some longer-term threats, I continue to believe that that performance gap is too wide. With the company seeing some stronger orders and the global economy likely to continue to normalize as vaccination rates increase, I believe Hurco is still positioned for a rebound year in 2021 and growth into 2022.
To read more, follow the link:
Hurco Seeing A Quicker Pace Of Recovery, And Still Undervalued
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