Stock News Summary: Modine Manufacturing Company (MOD)

Modine Manufacturing Company (MOD) changed -1.87% to recent value of $13.09. The stock transacted 178688 shares during most recent day however it has an average volume of 243.34K shares. It spotted trading -49.17% off 52-week high price. On the other end, the stock has been noted 34.26% away from the low price over the last 52-weeks.

Modine Manufacturing Company (NYSE: MOD) reported that it is exploring strategic alternatives for its Automotive business.

“Today’s announcement reinforces our strategic priority to continue to grow our global, market leading positions in Commercial HVAC, Refrigeration, Commercial Vehicle, and Off-Highway market segments, both organically and inorganically,” Burke added.  “Building upon the momentum from our significant acquisition in 2016, which created our Commercial & Industrial Solutions (CIS) division, Modine has become and will continue to be a more diversified industrial, thermal management company with higher margins, improved cash generation and lower capital intensity.”

Modine’s Vehicular Thermal Solutions (VTS) portfolio currently serves three market segments – Automotive, Commercial Vehicle, and Off-Highway. Within that portfolio, as well as compared to the rest of Modine’s segments, the Automotive market has different industry dynamics, growth trajectories, and strategic opportunities that require a deeper evaluation on how best to allocate capital and resources to optimize returns and strengthen Modine’s leading positions in the markets it serves.

Modine’s Automotive business is a world leader in thermal management solutions for engine and powertrain cooling. In addition, this business is well positioned to solve the most complex cooling problems for battery thermal management and the increasing electrification requirements of next generation drivetrains. Modine’s automotive business accounts for approximately 25% of total company revenue.

Modine expects to complete its assessment of strategic alternatives over the next several quarters and will provide more information when it determines further disclosure is appropriate or required.  There can be no assurances that any actions will be taken in response to this assessment, and any final decision remains subject to approval by Modine’s Board of Directors.

To assist the company in its review, Modine has retained J.P. Morgan Securities LLC as its financial advisor and Latham & Watkins LLP as its legal advisor.

 MOD has a gross margin of 16.60% and an operating margin of 4.50% while its profit margin remained 2.30% for the last 12 months. Its earnings per share (EPS) expected to touch remained 304.50% for this year while earning per share for the next 5-years is expected to reach at 8.90%.

 The company has 49.54M of outstanding shares and 48.9M shares were floated in the market. According to the most recent quarter its current ratio was 1.3 that represents company’s ability to meet its current financial obligations. The price moved ahead of 7.63% from the mean of 20 days, 7.28% from mean of 50 days SMA and performed -16.43% from mean of 200 days price. Company’s performance for the week was 1.71%, 26.60% for month and YTD performance remained 21.09%.

Leave a Reply

Your email address will not be published. Required fields are marked *