Trimble Inc. TRMB continues to focus on enhancing mapping and routing solutions portfolio which in turn is aiding it to win clients.
A provider of Tier 1 transportation management software, 3Gtms, Inc. is collaborating with Trimble to enhance offerings in the area of transportation.
Notably, Trimble’s commercial routing solutions will be leveraged by 3Gtms for this purpose. Further, the partnership will enable 3Gtms’ customers to utilize Trimble’s commercial data and map-centric technology.
The latest partnership expands the client base of Trimble MAPS (Maps and Applications for Professional Solutions) division which is likely to drive the segment’s top line.
Coming to the price performance, shares of Trimble have gained 32.6% on a year-to-date basis, outperforming the industry’s rally of 23.1%.
Trimble MAPS Gaining Momentum
The company created Trimble MAPS as a separate division earlier this year aimed at aiding commercial vehicles with navigation solutions, innovative routing, visualization and scheduling.
Trimble MAPS is the amalgamation of ALK Technologies’ industry standard mileage, mapping, routing and navigation and TMW Appian Final Mile’s fleet routing, scheduling and optimization solutions.
The company’s tie-up with 3Gtms is expected to aid its momentum across customers. The combination of its map-centric technology with the latter’s transportation management system will help Trimble in serving asset and non-asset-based transportation service organizations better by delivering operational efficiency and overall cost savings in the inbound and outbound logistics of freight.
All these will aid the company in gaining momentum in the growing digital map space which as per a report from Transparency Market Research, is expected to reach $306.15 billion by 2026 at a CAGR of 16.2% between 2018 and 2026.
Trimble Inc. Revenue (TTM)
Trimble Inc. revenue-ttm | Trimble Inc. Quote
Product Portfolio: A Key Catalyst
The company’s portfolio strength remains its key growth driver.
Trimble MAPS’ integrated platform enables the companies to develop end-to-end transportation solutions which will help them in achieving operational efficiency and delivering advanced customer service.
Apart from this, the company’s buyout of Veltec, a fleet management provider, expanded its fleet safety and efficiency solutions portfolio. The buyout has enhanced transportation solutions offerings and global footprint.
We believe an expanding transportation solutions portfolio will expand Trimble’s reach into transportation industry and aid it in transforming the traditional commercial transportation system.
Zacks Rank & Stocks to Consider
Currently, Trimble carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader technology sector are Fitbit, Inc. FIT, Universal Electronics Inc. UEIC and Koninklijke Philips N.V. PHG. All the three stocks carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Long-term earnings growth rate for Fitbit, Universal Electronics and Koninklijke Philips is pegged at 17.47%, 15% and 14.48% respectively.
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