Core Thesis - Crane Company has undergone a significant transformation by focusing on high-return businesses and shedding non-core assets, leading to a balanced portfolio in aerospace & defense and process flow technologies [2][3] Financial Performance - The company has achieved over 20% organic EPS growth, driven by value-based pricing, strong aerospace market conditions, and disciplined capital allocation [3] - Management has maintained a net leverage of just 1x while achieving high returns on invested capital [3] - Recent acquisitions have resulted in 17-18% revenue growth and 48-60% EBITDA expansion within the first year, including a major acquisition for $1.1 billion expected to be at least 10% EPS accretive over several years [3] Market Position and Growth - Crane Company operates in high-margin, mission-critical sectors with leading market positions, experiencing organic growth rates of 12-13% in aerospace & defense and 3-5% in process flow technologies [3] - The company is well-positioned for 15-20% internal rates of return (IRRs) over the next several years, with potential for further upside through strategic separation or acquisition [4] Valuation and Investment Appeal - Trading at a 2026 free cash flow yield of over 4% and a P/E ratio of 24x, compared to peer averages of 3.5% FCF yield and 36x P/E, Crane Company presents compelling risk-adjusted returns [4] - The combination of disciplined execution, financial flexibility, and strategic options makes Crane Company an attractive investment opportunity with both near-term and long-term upside [4]

Core Insights - Graco Inc. has released its annual ESG report, highlighting strategic acquisitions, facility investments, and a focus on safety to drive growth and innovation [1][2]. Group 1: Strategic Initiatives - The company emphasizes a strengthened focus on global strategic alignment to achieve long-term sustainable growth [2]. - Graco has opened new facilities that represent modern manufacturing practices and aim to reduce environmental footprints [4]. - The appointment of a global environmental, health, and safety leader is intended to align global safety policies [4]. Group 2: Acquisitions and Innovations - Graco has acquired Corob S.p.A., a global leader in tinting, mixing, and dispensing systems, enhancing its product offerings [4]. - The company is committed to delivering products that help customers reduce material waste and improve efficiency, supporting cleaner technologies [2]. Group 3: Financial Performance - For the third quarter ended September 26, 2025, Graco reported net sales of $543.4 million, a 5% increase from $519.2 million in the same period the previous year [7]. - Operating earnings for the same quarter were $164.7 million, reflecting a 13% increase compared to $145.7 million in the prior year [7]. - Net earnings also saw a 13% increase, reaching $137.6 million, up from $122.2 million year-over-year [7].

Core Insights - Flowserve Corp. (NYSE:FLS) has achieved significant stock performance, reaching an all-time high driven by strong earnings and positive cash flow projections from a subsidiary divestment [1][3]. Financial Performance - The company reported a 277% increase in attributable net income for Q3, amounting to $219 million compared to $58 million in the same quarter last year [3]. - Sales increased by 3.5% year-on-year, rising to $1.17 billion from $1.13 billion [3]. Future Outlook - For the full-year 2025, Flowserve raised its adjusted EPS forecast to a range of $3.40 to $3.50, up from a previous range of $3.25 to $3.40 [4]. - However, the company revised its total sales growth expectations down to 4-5% from 5-6%, and organic sales growth to around 2% from 3-4% [4]. Strategic Moves - Flowserve announced the divestment of its subsidiary BW/IP – New Mexico, Inc., which holds asbestos liabilities, to an affiliate of Acorn Investment Partners. This transaction is expected to close in Q4 2025 and enhance free cash flow by approximately $15 million to $20 million annually [5].

Core Viewpoint - IDEX Corporation reported strong second-quarter 2025 results with adjusted earnings of $2.07 per share, exceeding estimates and reflecting stable performance year-over-year [1][9] Revenue Details - IDEX's net sales reached $865.4 million, surpassing the Zacks Consensus Estimate of $857 million, marking a 7% increase year-over-year [2][9] - Organic sales grew by 1% year-over-year, while acquisitions/divestitures contributed positively by 5% [2] - The Fluid & Metering Technologies segment reported net sales of $310.9 million, down 3% year-over-year [2] - The Health & Science Technologies segment saw net sales of $365.3 million, up 20% year-over-year, driven by strong organic growth and acquisitions [3] - The Fire & Safety/Diversified Products segment achieved net sales of $191.5 million, increasing 3% year-over-year [4] Margin Profile - Cost of sales increased by 7.4% year-over-year to $473.2 million, with adjusted gross profit rising to $392.2 million, up 6.9% [5] - Adjusted EBITDA was $237.2 million, reflecting a 5.7% increase year-over-year, while the adjusted EBITDA margin decreased to 27.4% [5][6] - Operating income rose to $187.9 million, up 2.8% year-over-year, with an operating margin of 21.7% [6] Balance Sheet and Cash Flow - At the end of Q2, IDEX had cash and cash equivalents of $568.2 million, down from $620.8 million at the end of Q4 2024 [7] - Long-term borrowings decreased to $1.85 billion from $1.9 billion at the end of Q4 2024 [7] - In the first half of 2025, IDEX generated net cash of $267.4 million from operating activities, down 7.9% year-over-year [8] Outlook - For Q3 2025, IDEX anticipates adjusted earnings in the range of $1.90-$1.95 per share and organic sales growth of 2-3% [11] - For the full year 2025, adjusted earnings are expected to be between $7.85-$7.95 per share, indicating a slight increase from 2024 [12]

Core Viewpoint - Flowserve Corporation reported a strong performance in Q1 2025, highlighting growth in bookings and revenue, along with improved margins [4]. Financial Performance - Bookings increased by 18% year-over-year to $1.2 billion [5]. - Revenue rose by 5% compared to the previous year [5]. - Adjusted gross margins expanded by 180 basis points to 33.5% [5]. - Adjusted operating margins were reported at 12.8%, with incremental margins exceeding 50% for the quarter [5].