Zacks Investment Research lowered shares of Flowserve (NYSE:FLS) from a hold rating to a sell rating in a research report sent to investors on Wednesday.

According to Zacks, “Flowserve’s shares have underperformed the industry over the past six months. Over the past few quarters the company has been suffering from precipitous top-line decline, owing to macroeconomic volatility as well as foreign currency headwinds. Pricing pressure has proved to be a major drag on the top-line performance. In addition, cautious spending by clients, loss of sales leverage and related under-absorption has been hurting the company’s profitability. Moreover, capital spending deferrals and reduced activity in its key markets are proving to be major concerns. Also, escalating realignment costs are likely to pressurize short-term margin performance. However, on the flip side, Flowserve’s leading position in the flow control industry and strong aftermarket business are expected to offset some of these challenges. Also, the company’s geographical diversity adds to its strength.”

FLS has been the subject of a number of other reports. Boenning Scattergood reiterated a hold rating on shares of Flowserve in a report on Thursday, November 2nd. Stifel Nicolaus reissued a hold rating and issued a $47.00 price objective (up previously from $43.00) on shares of Flowserve in a research note on Tuesday, January 16th. Robert W. Baird reissued a hold rating and issued a $45.00 price objective on shares of Flowserve in a research note on Friday, December 15th. BMO Capital Markets cut Flowserve from an outperform rating to a market perform rating and reduced their price objective for the company from $51.00 to $41.00 in a research note on Friday, November 3rd. Finally, Royal Bank of Canada reissued an underperform rating and issued a $36.00 price objective (down previously from $38.00) on shares of Flowserve in a research note on Friday, November 3rd. Four investment analysts have rated the stock with a sell rating, nine have assigned a hold rating and five have assigned a buy rating to the company’s stock. The company currently has an average rating of Hold and a consensus target price of $43.92.

Shares of Flowserve (NYSE FLS) opened at $41.55 on Wednesday. The firm has a market capitalization of $5,464.46, a P/E ratio of 26.81, a price-to-earnings-growth ratio of 2.51 and a beta of 1.54. The company has a quick ratio of 1.30, a current ratio of 2.12 and a debt-to-equity ratio of 0.85. Flowserve has a 1-year low of $37.51 and a 1-year high of $51.92.

The business also recently announced a quarterly dividend, which was paid on Friday, January 19th. Investors of record on Friday, January 5th were given a dividend of $0.19 per share. The ex-dividend date of this dividend was Thursday, January 4th. This represents a $0.76 annualized dividend and a dividend yield of 1.83%. Flowserve’s payout ratio is 58.92%.

Large investors have recently made changes to their positions in the stock. Zions Bancorporation purchased a new position in shares of Flowserve during the third quarter valued at approximately $117,000. Robeco Institutional Asset Management B.V. purchased a new position in shares of Flowserve during the fourth quarter valued at approximately $118,000. Sciencast Management LP purchased a new position in shares of Flowserve during the second quarter valued at approximately $201,000. Thrivent Financial For Lutherans boosted its position in shares of Flowserve by 3.5% during the second quarter. Thrivent Financial For Lutherans now owns 4,970 shares of the industrial products company’s stock valued at $231,000 after buying an additional 170 shares during the last quarter. Finally, Commerce Bank purchased a new position in shares of Flowserve during the third quarter valued at approximately $217,000.

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Flowserve Company Profile

Flowserve Corporation is a manufacturer and aftermarket service provider of flow control systems. The Company’s segments include Engineered Product Division, Industrial Product Division and Flow Control Division. Its geographic segments include North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

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