Thursday, November 19, 2015

Analyst Feltl Estimates Titan Machinery Will Earn $20 Million in FY2017. $0.94 EPS

This May Explain the Laughable $260 Million Market Capitalization

(note FY2017 ends January 31,2017)

The only analyst covering Titan Machinery with a STRONG BUY is Feltl & Co. a local Minnesota firm in the back yard of Titan Machinery that has a 12 month price target of $20.50. Minnesota is also the location of Titan's investment banker,  Cherry Tree & Associates, which is owned by Titan Director Tony Christiansen who is the brother of Titan co founder Peter Christensen who recently elected to resign as a director of the company and stepped down as president. (He will continue to earn $500,000 a year for next several  years as an outside consultant to the firm as part of his severance agreement.)


In May when Titan Machinery pre announced 1st quarter financials for the period ending April 30,2015 the company held a conference call. Five analysts were on the call participating in the Q&A except for the firm Feltl.   The following morning Feltl issued a research summary with FY2016 Estimated EPS of $0.36.

In October, Feltl changed their FY 2016 Estimated EPS to $0.26 but more importantly they increased their FY2017 EPS estimate to $0.94. (based on 21,573,553 shares outstanding).

FELTL ESTIMATES THAT TITAN MACHINERY WILL EARN OVER $20 MILLION NET INCOME in FY2017


FY2013 $2.19 Billion Revenue w $42.4 Million Net Income

FY2014 $2.22 Billion Revenue w $8.8 Million Net Income
FY2015 $1.90 Billion Revenue w -($32.1 Million) Net Income.

est FY 2016 $1.59 Billion Revenue w $5.6 million net income 

est FY 2017 $1.66 Billion Revenue w $20 Million net income

For FY 2016 1st 6 months Actual Revenue $687 million w -($6 million) net income


For Feltl FY2016 full year estimates to come in the company will need to report a combined $900 million in revenue for Q3 & Q4 and earn $11 million in the same combined Q3 & Q4 period.



Equities Research remains Bearish TITAN

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