Out Fox The $treet

Small-Cap Insight A year after originally writing about the key margin improvements expected at Terex Corporation ( TEX ) , the amounts are still a future expectation. In fact, back in 2009 the company originally presented the expectations that operating margins would increase to 12% by 2013. The number though still languishes around 6% on a yearly basis. The company remains a leader in the manufacturer of machinery and industrial equipment focused on aerial work platforms ( AWP ), construction, cranes, material handling and port solutions (MHPS), and materials processing segments. Read the full article at Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details. 

The recent results of United Rentals (NYSE: URI ) don’t bode well for the results of equipment manufactures such as Terex (NYSE: TEX ) or Manitowoc (NYSE: MTW ) . United Rentals claims the largest equipment rental company in the world, operating 824 rental locations in North America. The company reported results that again smashed estimates, sending the stock soaring 10% higher for the initial day of trading after the report. The limited more » Disclosure: No positions mentioned. Please review the disclaimer page for more details. 

The poor man's Caterpillar Inc. (CAT) appears to have finally turned the corner. Terex Corporation (TEX) continues to report solid margin expansion even with limited sales growth. In the past, the company routinely reported substantially lower margins than the market leader even in high growth periods. The company is a diversified global manufacturer focused on aerial work platforms, construction, cranes, material handling and port solutions, and materials processing. While investors might have been disappointed with lower than expected sales during Q3, the more important number remains the solid margin expansion. Generating free cash flow and improving the balance sheet is more important than growing revenue. Read the full article at Seeking Alpha. Disclosure: Long TEX and MTW. Please review the disclaimer page for more details.