After a slow start to the year, Rofin-Sinar
What analysts say:
- Buy, sell, or waffle? A full dozen analysts follow Rofin-Sinar, with buy ratings outnumbering holds 10 to 2.
- Revenue. On average, they're looking for 9% sales growth to $126.5 million.
- Earnings. Profits are predicted to rise 10% to $0.96 per share.
What management says:
With three quarters down, and just one left to go (going, gone!), CEO Gunther Braun pronounced himself "very proud" of Rofin-Sinar's performance back in August. The company posted "record highs in order entry, sales, backlog and net income," and Braun promised that the advent of a new "high-power fiber laser for material processing applications," introduced in June, "should help us grow our business in the long run."
What management does:
So far this year, Rofin-Sinar has found its greatest success in seeking such growth in Europe, where sales are up 28% year over year. In contrast, sales in the Americas have fallen 14%. Profit margins, while also on the decline, remain far above what Coherent
3/06 |
6/06 |
9/06 |
12/06 |
3/07 |
6/07 |
|
---|---|---|---|---|---|---|
Gross |
42.6% |
43.1% |
42.4% |
41.9% |
41.7% |
41.7% |
Operating |
17.8% |
18.2% |
17.6% |
17.1% |
16.8% |
16.8% |
Net |
11.4% |
12% |
11.8% |
11.4% |
11.3% |
11.3% |
One Fool says:
For a stock that has performed incredibly well over the past several years, Rofin-Sinar has gotten precious little virtual ink on these pages in recent months. I aim to remedy that. Rest assured that after Rofin-Sinar reports tomorrow, I'll have a report out on it in short order. A company that Fool co-founder Tom Gardner praises for its "focused, forthright management team," "broad business base," and "strong operating cash flow sufficient to fund its growth, pay down debt, and fund strategic acquisitions" deserves no less.