Topic: How To Invest

Stock Pickers Digest Hotline – Friday, November 4, 2016

Article Excerpt

WAJAX CORP., $19.79, symbol WJX on Toronto, sells and services cranes, forklifts and other heavy equipment. It also provides related parts (such as ball bearings, hoses, motors and fittings) and power systems (including diesel engines and transmissions). The company’s customers are in the natural resource, construction, manufacturing and transportation industries. Wajax’s restructuring measures are taking effect and the stock jumped 29% this week after it reported stronger earnings. In the three months ended September 30, 2016, the company’s revenue fell 1.5%, to $286.6 million from $290.9 million a year earlier. The slowdown in Canada’s energy sector slowed sales in the power systems business. The company made $7.6 million in the latest quarter, or $0.38 a share, virtually unchanged from a year earlier. The latest results include $1.0 million in pre-tax insurance proceeds related to the Fort McMurray wildfires, but the year-ago quarter includes a $2.8 million one-time gain from asset sales. The recent gains this quarter came mostly from the company’s latest restructuring plan. Introduced…