Flowserve(US:FLS) ZACKSยท2025-09-10 16:01Core Insights - Flowserve Corporation (FLS) is positioned for growth due to strong performance across its segments, strategic acquisitions, and shareholder-friendly initiatives [1][4][9] - The company has achieved a Zacks Rank 1 (Strong Buy) and has outperformed the industry with a 21.1% gain over the past year compared to the industry's 10% growth [1][4] Business Strength - Flowserve is experiencing robust momentum in its Pump Division and Flow Control Division, driven by strong aftermarket demand in North America, the Middle East, and Africa [4] - The Flow Control Division's bookings increased by 5.9% year over year, supported by rising customer orders in energy and general industries [5] End Market Strength - The company's Diversify, Decarbonize, and Digitize (3D) strategy is enhancing booking levels, with ongoing investments in stormwater infrastructure and drainage projects contributing positively [6] - The chemical end market is benefiting from increased investments in petrochemical projects in the Middle East and Asia, while the power generation market sees solid bookings due to global investments in nuclear energy and combined-cycle power generation [6] - Flowserve reported $1.1 billion in bookings for Q2 2025, marking the 14th consecutive quarter with bookings exceeding $1 billion [6] Expansion Efforts - Flowserve has strengthened its business through acquisitions, notably acquiring MOGAS Industries in October 2024, which enhanced its valve and automation product portfolio [7] - The MOGAS acquisition contributed positively to sales growth, adding 2.6% to the Flow Control Division's performance in Q2 2025 [7][8] Rewards to Shareholders - The company has been rewarding shareholders through dividends and share buybacks, distributing $55.2 million in dividends and repurchasing $52.8 million in shares in the first half of 2025 [9]