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Bear of the Day: Barnes (B)

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It’s been pretty well documented that the manufacturing business in the US is not what it used to be. It should then come as no surprise that this isn’t exactly the industry investors have been rushing into. Analysts have not been as bullish on the industry either. The Manufacturing – General Industrial industry is in the Bottom 13% of our Zacks Industry Rank. The reason being, several analysts have been cutting their earnings estimates for stocks in that industry. It’s these earnings estimate revisions which provide the backbone of our Zacks Industry Rank. Today’s Bear of the Day is a Zacks Rank #5 (Strong Sell) within this industry.

Today’s Bear of the Day is Barnes Group (B - Free Report) . Barnes Group Inc. provides engineered products, industrial technologies, and innovative solutions in the United States and internationally. The company operates through two segments: Industrial and Aerospace.The company's specialized products and services are used in applications, such as aerospace, transportation, manufacturing, healthcare and packaging.

The reason for the negative Zacks Rank is the series of downside earnings estimate revisions coming from analysts. Over the last sixty days, four analysts have cut their estimates for the current year, while four have followed suit for next year. The negative revisions have dropped the Zacks Consensus Estimate for the current year from $3.38 to $1.84 while next year’s number is off from $3.78 to $2.32. That means, current year EPS is slated to contract 42.68% this year. But, next year’s number implies 26.36% growth.

The industry as a whole may be struggling but there are a few stocks within the same industry that are actually in the good graces of our Zacks Industry Rank. These stocks include Zacks Rank #2 (Buy) Broadwind Energy (BWEN - Free Report) and Hickok (CRAWA - Free Report) .

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Barnes Group, Inc. (B) - free report >>

Broadwind Energy, Inc. (BWEN) - free report >>

Crawford United Corporation (CRAWA) - free report >>

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