Across the recent three months, 4 analysts have shared their insights on ESAB ESAB, expressing a variety of opinions spanning from bullish to bearish.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 1 | 1 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 1 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 1 | 1 | 0 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $99.75, a high estimate of $106.00, and a low estimate of $93.00. This upward trend is evident, with the current average reflecting a 8.13% increase from the previous average price target of $92.25.
Exploring Analyst Ratings: An In-Depth Overview
In examining recent analyst actions, we gain insights into how financial experts perceive ESAB. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| David Raso | Evercore ISI Group | Raises | In-Line | $93.00 | $77.00 |
| Nathan Jones | Stifel | Raises | Buy | $106.00 | $105.00 |
| Nathan Jones | Stifel | Raises | Buy | $105.00 | $104.00 |
| Mircea Dobre | Baird | Raises | Outperform | $95.00 | $83.00 |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to ESAB. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of ESAB compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for ESAB's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of ESAB's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on ESAB analyst ratings.
Discovering ESAB: A Closer Look
ESAB, spun off from Colfax in 2022, is a leading manufacturer of equipment and consumables used in welding, cutting, and joining applications. Alongside competitors Lincoln Electric and ITW's Miller brand, ESAB is one of the top three players in the welding space. ESAB generated roughly $2.6 billion in revenue and $329 million in GAAP operating income in 2022.
Key Indicators: ESAB's Financial Health
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Growth: ESAB's remarkable performance in 3 months is evident. As of 30 September, 2023, the company achieved an impressive revenue growth rate of 9.79%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Industrials sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: ESAB's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 8.45%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): ESAB's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 3.83%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): ESAB's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 1.51%, the company may encounter challenges in delivering satisfactory returns from its assets.
Debt Management: ESAB's debt-to-equity ratio stands notably higher than the industry average, reaching 0.79. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
Analyst Ratings: What Are They?
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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