TechnipFMC plc has hit a new 52-week high, raising questions about its future performance and potential for continued growth
Houston: Shares of TechnipFMC (FTI) have been on a roll lately, climbing 2.3% in the last month. They recently hit a new 52-week high at $33.45. Since the start of the year, the stock has jumped 9.5%, outpacing the Zacks Oils-Energy sector, which only saw a 6.2% increase, and the Oil and Gas – Field Services industry, which dropped by 5.1%.
So, what’s fueling this surge? Well, TechnipFMC has a solid track record of beating earnings expectations. They haven’t missed a single earnings estimate in the last four quarters. In their latest earnings report on October 24, 2024, they posted earnings of $0.64 per share, beating the consensus estimate of $0.39, and also exceeded revenue expectations by 0.3%.
Looking ahead, analysts expect TechnipFMC to earn $2.01 per share this fiscal year, with revenues hitting $9.01 billion. For the next year, projections are even better, with earnings expected to rise to $2.50 per share and revenues to $9.83 billion, marking year-over-year increases of 24.73% and 9.18%, respectively.
Now, even though the stock is at a 52-week high, it’s important to consider its valuation metrics. TechnipFMC has a Value Score of B, with Growth and Momentum Scores of B and D, respectively, giving it a combined VGM Score of B. The stock currently trades at 15.8 times the current fiscal year EPS estimates, slightly above the industry average of 15.6 times.
When it comes to cash flow, TechnipFMC trades at 23.8 times, compared to the peer group’s average of 7 times. This doesn’t quite put it at the top of the value rankings, but it’s still noteworthy. The stock also holds a Zacks Rank of #2 (Buy), thanks to rising earnings estimates, which is a good sign for potential investors.
Overall, it looks like TechnipFMC shares could have some promising potential in the coming weeks and months. If you’re looking for stocks to watch, this one might be worth keeping an eye on.
