Mistras (MG) came out with quarterly earnings of $0.20 per share, missing the Zacks Consensus Estimate of $0.26 per share. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -23.08%. A quarter ago, it was expected that this engineering services company would post earnings of $0.15 per share when it actually produced earnings of $0.21, delivering a surprise of 40%.Over the last four quarters, the ...

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies. Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use a ...

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the 'long' context, investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. Eve ...

Core Viewpoint - Growth investors seek stocks with above-average financial growth, but identifying such stocks can be challenging due to inherent risks and volatility [1] Group 1: Company Overview - Mistras (MG) is recommended as a cutting-edge growth stock by the Zacks Growth Style Score system, which evaluates a company's real growth prospects [2] - Mistras has a favorable Growth Score and a top Zacks Rank, indicating strong potential for growth [2] Group 2: Earnings Growth - Historical EPS growth for Mistras is 3.3%, but projected EPS growth for this year is expected to be 281%, significantly surpassing the industry average of 9.1% [5] Group 3: Asset Utilization - Mistras has an asset utilization ratio (sales-to-total-assets ratio) of 1.36, indicating that the company generates $1.36 in sales for every dollar in assets, compared to the industry average of 0.85 [6] Group 4: Sales Growth - The company's sales are projected to grow by 6.1% this year, while the industry average is stagnant at 0% [7] Group 5: Earnings Estimate Revisions - There has been an 11.1% upward revision in current-year earnings estimates for Mistras over the past month, contributing to its Zacks Rank of 2 [9]

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers. Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use fundamental analysis an ...

Momentum investing is essentially an exception to the idea of "buying low and selling high." Investors following this style of investing are usually not interested in betting on cheap stocks and waiting long for them to recover. Instead, they believe that "buying high and selling higher" is the way to make far more money in lesser time. Everyone likes betting on fast-moving trending stocks, but it isn't easy to determine the right entry point. These stocks often lose momentum when their future growth potent ...

Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. But finding a growth stock that can live up to its true potential can be a tough task. That's because, these stocks usually carry above-average risk and volatility. In fact, betting on a stock for which the growth story is actually over or nearing its end could lead to significant loss. However, it's pretty easy to find cutting-edge growth s ...

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers. Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-a ...

Momentum investing is essentially the opposite of the tried-and-tested Wall Street adage -- "buy low and sell high." Investors following this investing style typically avoid betting on cheap stocks and waiting long for them to recover. They believe instead that one could make far more money in lesser time by "buying high and selling higher." Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves ...

Financial Data and Key Metrics Changes - Mistras reported a nearly 8% increase in revenue for Q2 2024, marking the third consecutive quarter of growth [4][12] - Adjusted EBITDA grew by approximately 45% to $22 million in Q2 2024, with a total of $38.3 million for the first half of the year [4][17] - GAAP net income rose to $6.4 million or $0.20 per diluted share, compared to $0.3 million or $0.01 per share a year ago [17] - Selling, general and administrative (SG&A) expenses decreased to 21.6% of revenue, down from previous periods [7][15] Business Line Data and Key Metrics Changes - Aerospace and Defense revenue increased by 17.5% in Q2 2024, continuing a strong growth trend [4][13] - Oil & Gas revenue grew by 3% in Q2 2024, following a 14.7% increase in Q1 [14] - Data Analytical Solutions revenue was $18.3 million, showing slight growth but below expectations due to project delays [9][10] Market Data and Key Metrics Changes - North America returned to pre-pandemic levels in Aerospace and Defense, with international markets also showing strong recovery [8][46] - The Oil & Gas sector in international markets experienced significant growth due to large turnaround projects [48][49] Company Strategy and Development Direction - The company is focused on enhancing its commercial function to improve pricing strategies and contract management, contributing to revenue growth [5][6] - Mistras plans to increase investments in the Aerospace and Defense sector, particularly in additive manufacturing and mechanical work [8][14] - The company aims to achieve a full-year revenue guidance of $725 million to $750 million and adjusted EBITDA between $84 million and $89 million for 2024 [22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's performance and growth potential, particularly in Aerospace and Defense [21][32] - There is a focus on improving cash flow and operational efficiency, with plans to reduce accounts receivable and unbilled work in progress [18][41] - The search for a permanent CEO is on track, with expectations to identify a candidate by the end of Q3 2024 [11][36] Other Important Information - The company has implemented Project Phoenix initiatives to enhance operational processes and profitability [12][16] - Interest expense for the quarter was $4.4 million, with expectations for reduction in the second half of 2024 [19][20] Q&A Session Summary Question: Concerns about revenue guidance and potential decline - Management acknowledged that the fall turnaround season is expected to moderate compared to the robust spring season, impacting revenue guidance [26][28] Question: Performance in Oil & Gas midstream sector - Management clarified that midstream performance was affected by smaller accounts, but overall performance in the sector remains solid [30] Question: Future growth in Aerospace and Defense - Management indicated that growth in Aerospace and Defense is expected to continue, driven by strong demand and supply chain support [33][34] Question: Pricing initiatives and their implementation - Management discussed ongoing pricing strategy improvements, emphasizing a methodical approach to renegotiating contracts as they come up for renewal [53][55] Question: Accounts receivable increase and management focus - Management admitted that the increase in accounts receivable was due to a lack of focus on timely invoicing and pledged to improve this in the coming quarters [41][42] Question: Data Analytics revenue outlook - Management remains confident in the Data Analytics segment as a future growth driver, with plans for further investments [43][58]