NEW YORK (TheStreet) -- Flowserve (FLS) was rising 6.41% to $81.17 on Wednesday afternoon after the company, which manufactures seals, pumps, valves and components for the process industries, reported fourth-quarter earnings and issued first-quarter guidance that surpassed analysts' expectations.
The company reported diluted earnings per share of $1.01, or $141.08 million, up 7.4% from 94 cents per share, or $141.6 million, in the same period one year earlier. The 2013 EPS figure includes $13.8 million in discrete realignment, acquisition, legal and severance charges and $4.1 million of below-the-line FX currency effects. Excluding these items, EPS was $1.10, a 17% year-over-year increase. Revenue totaled $1.39 billion, a 4.6% year-over-year increase from $1.33 billion.
Analysts polled by Thomson Reuters expected EPS of $1.01 on revenue $1.39 billion.
Flowserve reaffirmed its full-year EPS guidance of $3.65 to $4, while analysts expected EPS of $3.95.
Finally, the company announced its board of directors has authorized the payment of a quarterly cash dividend of 16 cents per share, which marks a 14.3% increase from the 14 cents per share paid in Jan. 2014.
TheStreet Ratings team rates FLOWSERVE CORP as a "buy" with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate FLOWSERVE CORP (FLS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, increase in net income and notable return on equity. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."