Crane Company Announces Divestiture of Engineered Materials Segment

Core Insights - Crane Company (CR) divested its Engineered Materials segment to KPS Capital Partners for 227 million, announced in December 2024 [1] - The divestment allows Crane Company to concentrate on its core businesses, specifically Aerospace & Electronics and Process Flow Technologies, while enhancing capital allocation priorities [2] - Starting Q4 2024, the Engineered Materials segment will be classified as discontinued operations, with updated adjusted EPS guidance for 2024 now expected to be between 4.71 and $4.86, down from the previous range of$5.05 to $5.20 [3] Financial Performance - Crane Company currently holds a Zacks Rank of 4 (Sell), with a stock price increase of 35.4% over the past year, outperforming the industry growth of 11.8% [4] Comparative Analysis - Graham Corporation (GHM) has a Zacks Rank of 1 (Strong Buy) and a trailing four-quarter average earnings surprise of 101.9%, with a recent 8.4% increase in earnings estimates for fiscal 2025 [6] - Gates Industrial Corporation plc (GTES) holds a Zacks Rank of 2 (Buy) and has a trailing four-quarter average earnings surprise of 11.8% [7] - Generac Holdings Inc. (GNRC) also carries a Zacks Rank of 2, with a trailing four-quarter average earnings surprise of 10.8% and a 0.6% increase in earnings estimates for 2024 [8]