Nyse Order Imbalance 14311.0 Shares On Buy Side

The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Graham Corporation and the rest of the engineered components and systems stocks fared in Q3.

Engineered components and systems companies possess technical know-how in sometimes narrow areas such as metal forming or intelligent robotics. Lately, automation and connected equipment collecting analyzable data have been trending, creating new demand. On the other hand, like the broader industrials sector, engineered components and systems companies are at the whim of economic cycles. Consumer spending and interest rates, for example, can greatly impact the industrial production that drives demand for these companies’ offerings.

The 12 engineered components and systems stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 1.5% while next quarter’s revenue guidance was 0.5% below.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 10.8% since the latest earnings results.

Graham Corporation

Founded when its founder patented a unique design for a vacuum system used in the sugar refining process, Graham provides vacuum and heat transfer equipment for the energy, petrochemical, refining, and chemical sectors.

Graham Corporation reported revenues of $66.03 million, up 23.3% year on year. This print exceeded analysts’ expectations by 14.7%. Overall, it was a strong quarter for the company with an impressive beat of analysts’ revenue estimates and a solid beat of analysts’ EBITDA estimates.

Graham’s President and Chief Executive Officer, Matthew J. Malone stated, “I am pleased with our performance through the first half of the fiscal year. Our team continues to execute well across all business lines, driving broad-based growth supported by a record $500.1 million backlog. Demand across our end markets remains healthy as our Defense and Space markets continue to experience robust activity, and the Energy & Process market remains resilient. These trends are underscored by approximately $14.8 million of new Space orders secured and a $25.5 million follow-on order for the MK48 Torpedo program during the quarter, reinforcing our position as a trusted partner on critical platforms.”

Graham Corporation pulled off the biggest analyst estimates beat and fastest revenue growth, but had the weakest full-year guidance update of the whole group. Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 10% since reporting and currently trades at $55.83.

Read why we think that Graham Corporation is one of the best engineered components and systems stocks, our full report is free.

Best Q3: Timken

Established after the founder noticed the difficulty freight wagons had making sharp turns, Timken is a provider of industrial parts used across various sectors.

Timken reported revenues of $1.16 billion, up 2.7% year on year, outperforming analysts’ expectations by 3.6%. The business had an exceptional quarter with a solid beat of analysts’ adjusted operating income estimates and an impressive beat of analysts’ revenue estimates.

Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 3.1% since reporting. It currently trades at $74.84.

Is now the time to buy Timken? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Park-Ohio

Based in Cleveland, Park-Ohio provides supply chain management services, capital equipment, and manufactured components.

Park-Ohio reported revenues of $398.6 million, down 4.5% year on year, falling short of analysts’ expectations by 4.5%. It was a disappointing quarter as it posted full-year EPS guidance missing analysts’ expectations and a significant miss of analysts’ revenue estimates.

As expected, the stock is down 9.7% since the results and currently trades at $19.03.

Read our full analysis of Park-Ohio’s results here.

Mayville Engineering

Originally founded solely on tool and die manufacturing, Mayville Engineering Company specializes in metal fabrication, tube bending, and welding to be used in various industries.

Mayville Engineering reported revenues of $144.3 million, up 6.6% year on year. This result beat analysts’ expectations by 2.8%. It was an exceptional quarter as it also recorded a beat of analysts’ EPS and adjusted operating income estimates.

The stock is down 16.9% since reporting and currently trades at $15.00.

Read our full, actionable report on Mayville Engineering here, it’s free for active Edge members.

Enpro

Holding a Guinness World Record for creating the world's largest gasket, Enpro designs, manufactures, and sells products used for machinery in various industries.

Enpro reported revenues of $286.6 million, up 9.9% year on year. This print topped analysts’ expectations by 3.6%. Overall, it was a strong quarter as it also produced a solid beat of analysts’ revenue estimates and full-year EBITDA guidance slightly topping analysts’ expectations.

The stock is down 10.3% since reporting and currently trades at $209.72.

Read our full, actionable report on Enpro here, it’s free for active Edge members.

Graham Corporation’s third quarter was marked by broad-based revenue growth, with leadership attributing the gains to robust activity in defense programs, momentum in commercial space applications, and a steady performance across energy and process markets. CEO Matthew Malone cited the timing of key project milestones and material receipts, especially in the defense segment, as primary drivers. Malone emphasized that investments in advanced manufacturing and inspection capabilities, along with the recent opening of a new facility in Batavia, New York, contributed to operational execution and positioned the company to fulfill strong demand from long-standing U.S. Navy contracts.

Is now the time to buy GHM? Find out in our full research report (it’s free for active Edge members).

Graham Corporation (GHM) Q3 CY2025 Highlights:

• Revenue: $66.03 million vs analyst estimates of $57.55 million (23.3% year-on-year growth, 14.7% beat)
• EPS (GAAP): $0.28 vs analyst estimates of $0.28 (in line)
• Adjusted EBITDA: $6.30 million vs analyst estimates of $6.04 million (9.5% margin, 4.3% beat)
• The company reconfirmed its revenue guidance for the full year of $230 million at the midpoint
• EBITDA guidance for the full year is $25 million at the midpoint, above analyst estimates of $24.58 million
• Operating Margin: 6.2%, in line with the same quarter last year
• Backlog: $500.1 million at quarter end
• Market Capitalization: $638.9 million

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions From Graham Corporation’s Q3 Earnings Call

• Robert Brooks (Northland Capital Markets) asked for clarification on the timing of space and aerospace order recognition. CFO Christopher Thome explained that $15 million was booked in the quarter, with $7 million to follow in the next quarter.
• Robert Brooks (Northland Capital Markets) questioned why full-year guidance was maintained despite strong results. Thome replied that the timing of some orders simply shifted forward, and the company remains on track with internal expectations.
• Russell Stanley (Beacon Securities) sought more detail on the composition of defense orders and potential impacts of a government shutdown. CEO Matthew Malone clarified that most bookings were diversified, not solely tied to shipbuilding, and said any shutdown impact was minimal due to the long-term nature of programs.
• Russell Stanley (Beacon Securities) asked about customer response to the Xdot acquisition and its strategic value. Malone described the deal as an opportunity to broaden technical capabilities and enter new markets, noting initial customer interest in new bearing solutions.
• Joseph Gomes (NOBLE Capital) requested specifics on investments supporting recent space market orders. Thome confirmed that new capital expenditures are directly tied to secured orders and are expected to deliver high returns.

Catalysts in Upcoming Quarters

In upcoming quarters, the StockStory team will closely track (1) the pace and mix of backlog conversion, especially in defense and space, (2) execution and ramp-up at the new Batavia and Florida facilities to assess throughput gains, and (3) the integration of Xdot Bearing Technologies and its impact on product innovation. Additionally, we will monitor the order pipeline for small modular nuclear reactor and commercial space applications as potential drivers of incremental growth.

Graham Corporation currently trades at $58.14, down from $62.30 just before the earnings. At this price, is it a buy or sell? Find out in our full research report (it’s free for active Edge members).

High-Quality Stocks for All Market Conditions

The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).

Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return).

Earnings results often indicate what direction a company will take in the months ahead. With Q3 behind us, let’s have a look at Mayville Engineering and its peers.

Engineered components and systems companies possess technical know-how in sometimes narrow areas such as metal forming or intelligent robotics. Lately, automation and connected equipment collecting analyzable data have been trending, creating new demand. On the other hand, like the broader industrials sector, engineered components and systems companies are at the whim of economic cycles. Consumer spending and interest rates, for example, can greatly impact the industrial production that drives demand for these companies’ offerings.

The 12 engineered components and systems stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 1.5% while next quarter’s revenue guidance was 0.5% below.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 5.1% since the latest earnings results.

Mayville Engineering

Originally founded solely on tool and die manufacturing, Mayville Engineering Company specializes in metal fabrication, tube bending, and welding to be used in various industries.

Mayville Engineering reported revenues of $144.3 million, up 6.6% year on year. This print exceeded analysts’ expectations by 2.8%. Overall, it was an exceptional quarter for the company with a beat of analysts’ EPS and adjusted operating income estimates.

Unsurprisingly, the stock is down 8.1% since reporting and currently trades at $16.58.

Is now the time to buy Mayville Engineering? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: Timken

Established after the founder noticed the difficulty freight wagons had making sharp turns, Timken is a provider of industrial parts used across various sectors.

Timken reported revenues of $1.16 billion, up 2.7% year on year, outperforming analysts’ expectations by 3.6%. The business had an exceptional quarter with an impressive beat of analysts’ adjusted operating income estimates and a solid beat of analysts’ revenue estimates.

The market seems content with the results as the stock is up 2.5% since reporting. It currently trades at $79.12.

Is now the time to buy Timken? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Park-Ohio

Based in Cleveland, Park-Ohio provides supply chain management services, capital equipment, and manufactured components.

Park-Ohio reported revenues of $398.6 million, down 4.5% year on year, falling short of analysts’ expectations by 4.5%. It was a disappointing quarter as it posted full-year EPS guidance missing analysts’ expectations.

As expected, the stock is down 5.2% since the results and currently trades at $20.00.

Read our full analysis of Park-Ohio’s results here.

Worthington

Founded by a steel salesman, Worthington specializes in steel processing, pressure cylinders, and engineered cabs for commercial markets.

Worthington reported revenues of $303.7 million, up 18% year on year. This number surpassed analysts’ expectations by 1.4%. Zooming out, it was a satisfactory quarter as it also logged an impressive beat of analysts’ adjusted operating income estimates but a significant miss of analysts’ EBITDA estimates.

The stock is down 8.4% since reporting and currently trades at $55.19.

Read our full, actionable report on Worthington here, it’s free for active Edge members.

Graham Corporation

Founded when its founder patented a unique design for a vacuum system used in the sugar refining process, Graham provides vacuum and heat transfer equipment for the energy, petrochemical, refining, and chemical sectors.

Graham Corporation reported revenues of $66.03 million, up 23.3% year on year. This print topped analysts’ expectations by 14.7%. Overall, it was a strong quarter as it also logged a solid beat of analysts’ revenue estimates and an impressive beat of analysts’ EBITDA estimates.

Graham Corporation achieved the biggest analyst estimates beat and fastest revenue growth, but had the weakest full-year guidance update among its peers. The stock is down 2.1% since reporting and currently trades at $60.99.

Read our full, actionable report on Graham Corporation here, it’s free for active Edge members.

Market Update

Thanks to the Fed’s rate hikes in 2022 and 2023, inflation has been on a steady path downward, easing back toward that 2% sweet spot. Fortunately (miraculously to some), all this tightening didn’t send the economy tumbling into a recession, so here we are, cautiously celebrating a soft landing. The cherry on top? Recent rate cuts (half a point in September 2024, a quarter in November) have propped up markets, especially after Trump’s November win lit a fire under major indices and sent them to all-time highs. However, there’s still plenty to ponder — tariffs, corporate tax cuts, and what 2025 might hold for the economy.

Wrapping up Q3 earnings, we look at the numbers and key takeaways for the engineered components and systems stocks, including Regal Rexnord and its peers.

Engineered components and systems companies possess technical know-how in sometimes narrow areas such as metal forming or intelligent robotics. Lately, automation and connected equipment collecting analyzable data have been trending, creating new demand. On the other hand, like the broader industrials sector, engineered components and systems companies are at the whim of economic cycles. Consumer spending and interest rates, for example, can greatly impact the industrial production that drives demand for these companies’ offerings.

The 12 engineered components and systems stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 1.5% while next quarter’s revenue guidance was 0.5% below.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 5.1% since the latest earnings results.

Regal Rexnord

Headquartered in Milwaukee, Regal Rexnord provides power transmission and industrial automation products.

Regal Rexnord reported revenues of $1.50 billion, up 1.3% year on year. This print was in line with analysts’ expectations, but overall, it was a slower quarter for the company with full-year EPS guidance missing analysts’ expectations and a miss of analysts’ adjusted operating income estimates.

CEO Louis Pinkham commented, "Our enterprise gained significant momentum in the third quarter by delivering very strong orders, nicely above our expectations. The highlight is positive momentum in data center, where we secured orders worth $135 million in 3Q, plus an additional $60 million to date in 4Q. These orders came in the AMC and PES segments, and we see opportunities in IPS as well. We have been making growth investments in the data center market, which are paying off, and we have plans to do much more. Our capabilities here are positioning us as an emerging scale player, with a bid pipeline that is now over $1 billion."

Unsurprisingly, the stock is down 7.7% since reporting and currently trades at $139.00.

Read our full report on Regal Rexnord here, it’s free for active Edge members.

Best Q3: Timken

Established after the founder noticed the difficulty freight wagons had making sharp turns, Timken is a provider of industrial parts used across various sectors.

Timken reported revenues of $1.16 billion, up 2.7% year on year, outperforming analysts’ expectations by 3.6%. The business had an exceptional quarter with a solid beat of analysts’ adjusted operating income estimates and an impressive beat of analysts’ revenue estimates.

The market seems content with the results as the stock is up 2.5% since reporting. It currently trades at $79.12.

Is now the time to buy Timken? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Park-Ohio

Based in Cleveland, Park-Ohio provides supply chain management services, capital equipment, and manufactured components.

Park-Ohio reported revenues of $398.6 million, down 4.5% year on year, falling short of analysts’ expectations by 4.5%. It was a disappointing quarter as it posted full-year EPS guidance missing analysts’ expectations and a significant miss of analysts’ revenue estimates.

As expected, the stock is down 5.2% since the results and currently trades at $20.00.

Read our full analysis of Park-Ohio’s results here.

Graham Corporation

Founded when its founder patented a unique design for a vacuum system used in the sugar refining process, Graham provides vacuum and heat transfer equipment for the energy, petrochemical, refining, and chemical sectors.

Graham Corporation reported revenues of $66.03 million, up 23.3% year on year. This number beat analysts’ expectations by 14.7%. It was a strong quarter as it also recorded an impressive beat of analysts’ revenue estimates and a solid beat of analysts’ EBITDA estimates.

Graham Corporation delivered the biggest analyst estimates beat and fastest revenue growth, but had the weakest full-year guidance update among its peers. The stock is down 2.1% since reporting and currently trades at $60.99.

Read our full, actionable report on Graham Corporation here, it’s free for active Edge members.

RBC Bearings

With a Guinness World Record for engineering the largest spherical plain bearing, RBC Bearings is a manufacturer of bearings and related components for the aerospace & defense, industrial, and transportation industries.

RBC Bearings reported revenues of $455.3 million, up 14.4% year on year. This print topped analysts’ expectations by 1.1%. More broadly, it was a satisfactory quarter as it also produced an impressive beat of analysts’ Aerospace and Defense revenue estimates but a miss of analysts’ Diversified Industrials revenue estimates.

The stock is up 9.5% since reporting and currently trades at $444.93.

Read our full, actionable report on RBC Bearings here, it’s free for active Edge members.

Market Update

Thanks to the Fed’s series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% in November), and a notable surge followed Donald Trump’s presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. The path forward holds both optimism and caution as new policies take shape.