Analyst: Company's outlook good
By PAT PANKRATZ
Herald Times Reporter
MANITOWOC - Two Rivers investment analyst George Reis Tuesday said Manitowoc Company year-end figures point toward a positive future for the company.
Reis said the 2002 earnings per share estimate of $2.40 to $2.60, well above the $1.99 recorded last year, is a good indicator of the direction in which the company may be headed.
Reis added the record $106.6 million in cash from operations, a 69 percent increase, and an increase in operating margins indicates the company is handling its assets in a positive manner.
"There's earning money and there's having something to show for it," Reis said. "In areas like foodservice, they've been able to increase their margins despite a reduction in sales. They're obviously becoming more efficient."
Company President and CEO Terry Growcock tempered optimism in pointing out that crane sales, a large segment of the business, were down in the fourth quarter if acquisition of French tower crane producer Potain were taken out of the equation.
"That integration of Potain will have an impact for a while," Reis said. "It's a long process."
The Manitowoc Company's marine segment was described in a Tuesday morning conference call with investors as "exciting." Reis said it's the first time in the many years he's followed the company that the segment has been described in such glowing terms.
Reis was encouraged by the company's optimism in the face of an uncertain economy.
"They're making the projections and extending optimism despite some things beyond their control," he said. "They're saying they can increase their numbers without benefit of coming out of recession. The little extra bonus is if we have a recovery, it will only help further."
Manitowoc Company stock, which closed at $31.71 Tuesday, is currently near its 52-week high.
"Short-term it bears watching, like any stock," Reis said. "Long-term I see it as a positive investment
This years scedule D is suppose to be easier than last -- ha ha. Anyway, you will be taxed based on your length of holding. Those "other" percentages are applied to each investment based on your length of holding. It is not a trickle down formula and therefore do not effect the "end result". Be happy all of your MTW will probably be taxed at the 8% rate. Also, come on Burger how can you be a strong seller of MTW?
Kent,, I've got that schedule "D" in hand & I see what your saying on line 31. To figure out my Capital Gains I must do the whole form. I've noticed that there are other lines asking me to multiply times 10%,,times 20% & times 28%. All of these are used to compile the "END Results".. You just saying the "Capital Gains" are @ 8% may be partially correct... Thanks for your Feed-back.
First, I am not a tax expert, just an ordinary person trying to understand the tax laws. Also, I am only refering to Federal income tax. However, there is a new Federal tax rate of 8% this year for investments held over 5 years -- line 31 Schedule D. I still maintiain that an investor is better off taking long term capital gains, especially with the 8% rule, than taking a dividend and paying at the ordinary rate. Nevertheless, every investors needs are different. God Bless, P.S. I am sure your tax "expert" knows about the 8% rule this year. If not give 'em hell Burgers -- Sorry just couldn't help myself!
Ok, I see that now.
Can't speak for Burgersboat, but I think the annual dividend is unfair to the buy and hold types. Would like to see some data regarding the amount of people who buy the stock now just in time for the dividend.
Thanks for the article. If any of you utilize fundamentals in your stock analysis then consider the following. The industry PE average is around 22. IF MTW earns 2.50 this would equal 55.00. Historically, MTW PE is around 18 which equals 45.00. MTW management is offering positive forward looking earning. This is indeed rare in todays environment where many companies cannot or will not commit to ANY projections. As a long time holder of MTW (even longer than Burger) I beleive that 2002 will be a good year for all MTW investors. I think that 45.00 is not out of the question. Good luck to all and God Bless America!!
Ok, Ok Your right Dominic,,,,MTW is the way to go.!!!
I did some research & found that some of the officers are buying shares @ what we have to pay for them. So I'm wrong there.
And we are doing great in 1 area for sure & it's only going to get better. It's the Marine area !!!!
One question; isn't the steel industry in a dire state ???
How many steel industries are still around ??
Cranes & ships are made from steel.
(A ship can carry a boat,but a boat can't carry a ship).
Terry (growcock),, there's 1 guy that's really "busting his butt" for the company, (i stand corrected on this guy,(he does know what the "pointed" end is), Tom Byrne !!!
If the rest of you don't know,but this is an apology 4 bad mouthing some of the people @ MTW.
BUT-----What about that "Yearly Dividend" thing ??? I still think it SUCKS !!!!
And that grove "style" crane. Come on guys/ladies,,there's a market out there & after those idiots in Afganistan are just memories, We have to rebuild that country.
And finally that yearly dividend-----SUCKS (I know I said that already)
Dom. I still am going to sell more shares,I've got too much invested in just this company !!! I hope your "basis" is better than mine. I'm @ .03/share