- Hurco posted solid year-over-year revenue growth and impressive margin leverage, but sequential weakness in orders merits close monitoring.
- The weakness in orders could be a "blip" tied to customer labor and supply chain constraints, but it may also be signalling the end of this recent capex refresh/expansion cycle.
- Hurco shares remain undervalued below $40, but short-cycle industrials are out of favor and Russia's war in Ukraine is starting to threaten increasing headwinds for the industrial sector.
For further details see:
Hurco Leveraging Improving Demand, But Orders Need To Be Watched