Here is how Brambles Ltd. (BXBLY) and Flowserve (FLS) have performed compared to their sector so far this year.
Brambles (BXBLY) has been upgraded to a Zacks Rank #1 (Strong Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
My personal rating on Brambles is a strong buy, as I think that the company has been managing its debt reasonably well. As per my DDM model, the stock is undervalued, and has an upside potential of ~24.2% from the last traded price of US$18.89 (as on 4th June 2024). BXBLY has been managing its debt quite efficiently to support its operations. It has a low net debt to EBITDA ratio, while its interest coverage ratio came in at ~10.2x.