NEW YORK (TheStreet) --Shares of Terex Corp. (TEX) are down by 5.76% to $32.70 on heavy trading volume on Monday morning, after the company announced it cut it guidance for its full year 2014 adjusted earnings to between $2.35 and $2.50, from its previous estimate of earnings between $2.50 and $2.80.
"The primary driver of the guidance change is weakness in the Cranes segment. Despite a positive trend in book-to-bill ratios over the first half of 2014, the Cranes order rate has dropped significantly in July and August. Additionally, Cranes customers in developing markets are struggling to secure financing for orders scheduled for delivery in the second half of 2014," the diversified global equipment manufacturer of machinery products company said.
Analysts polled by Thomson Reuters are expecting the company to report earnings of $2.56 for the full year.STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.
Separately, TheStreet Ratings team rates TEREX CORP as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate TEREX CORP (TEX) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, compelling growth in net income, attractive valuation levels and increase in stock price during the past year. We feel these strengths outweigh the fact that the company shows low profit margins."