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ESL $122.49

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Esterline Technologies
Type
Public
Traded as NYSE: ESL
S&P 400 Component
Industry Aerospace
Defense
Gaming
Medical
Founded Indianapolis, Indiana, 1906
Founder John Esterline
Headquarters Bellevue, Washington
Number of locations
Over 50 locations
Area served
Worldwide
Key people
Curtis Reusser, CEO
Number of employees
Over 12,000
Divisions Avionics & Controls
Sensors & Systems
Advanced Materials
Website esterline.com

Esterline Technologies Corporation is a publicly traded company that designs, manufactures, and markets specialty products primarily for aerospace and defense customers. The company is best known as a supplier of products and equipment for aerospace companies such as Boeing and Airbus; and for American and allied military forces.

Esterline is based in Bellevue, Washington. Curtis Reusser serves as company chairman, president, and CEO.

Esterline was founded in 1906 by John Esterline, an electrical engineer and former head of the electrical engineering department at Purdue University. Esterline originally made magnets and recording devices. The company was renamed the Esterline-Angus Company when Esterline began working with Donald J. Angus.

Esterline-Angus merged with Boyar-Schultz, Inc., a manufacturer of surface grinding materials, in 1967. The newly merged company was renamed Esterline Corporation. Esterline went public in 1968. Later that year, the company entered the aerospace and defense sectors with its acquisition of Babcock Electronics.

The company began acquiring medical supply and equipment companies in 1969. By the early 1970s, the company held businesses specializing in ophthalmic goods and hearing aids. The company had sold the majority of its healthcare businesses and subsidiaries by 1978 when Esterline sold its hearing aid manufacturing business. Despite exiting the healthcare sector, Esterline continued to acquire more companies and acquired 20 companies by 1986.

In 1987, after releasing poor financial reports, the Esterline board dismissed the company's entire executive team including then-chief executive officer Thomas Howes. Later that year, Esterline appointed seven new senior officers, all of whom were affiliated with Criton Technologies, an aerospace manufacturer. Criton Technologies was wholly owned by Dyson-Kissner-Moran (DKM), a New York City-based investment firm that had also been Esterline's largest shareholder since the firm bought Esterline in 1967 and took it public in 1968. Carroll Martenson, Criton's chairman, was appointed chairman and CEO of Esterline. Esterline also relocated from Darien, Connecticut to Bellevue, Washington in order to share its headquarters with Criton Technologies. The company had been located in Darien, Connecticut since 1975.

The new management team reorganized the company and sold underperforming businesses and subsidiaries. In 1989, Esterline purchased DKM's remaining 23% share in the company and Criton Technologies' aerospace and defense businesses for a collective $147.5 million. The company was then renamed Esterline Technologies.

By the early 1990s Esterline operated in ten separate industries and the company refocused itself on the defense and aerospace sectors. Esterline also changed chief executives in 1992, with company president and COO Wendell Hurlbut succeeding the retiring Carroll Martenson. Robert Cremin succeeded Hurlbut in January 1999. Cremin had served in executive positions for the company for 22 years, and had most recently served as company president and COO.

From 1997 to 2003, Esterline acquired 22 companies while selling businesses that did not fit the company's new focus. Esterline's acquisitions included Fluid Regulators Corporation, a manufacturer of hydrologic controls for the commercial aviation and defense industries; Kai R. Kuhl Company, a manufacturer of seals for the aerospace industry; Kirkhill Rubber, a manufacturer of custom molded engineered elastomers for the aerospace industry; and Advanced Input Devices, a manufacturer of custom keyboards and multifunction data-input subsystems. The company also expanded its European business with acquisitions of Muirhead Vactric and Norcroft Dynamics, two United Kingdom-based manufacturers of aerospace parts.

Esterline continued its acquisition push into the defense and aerospace industries throughout the 2000s. In 2002, the company acquired the BAE Systems' North American electronic warfare countermeasures business. The deal consisted of two facilities, which manufactured anti-radar chaff and aircraft-dispensable flares designed to thwart infrared homing missiles. The company purchased Leach International in 2004 for $145 million. Esterline had been attempting to acquire Leach since 1994 and the deal was Esterline's largest acquisition at the time. Leach was a manufacturer of controls and analytical instruments for aerospace and medical diagnostics.

Esterline acquired Darchem Holdings, a British manufacturer of thermally engineered aerospace and defense products including ducting systems and heat shields, in 2005. That year, 80% of Esterline's revenue came from the company's aerospace and defense business, up from 17% in 1995. In 2006, Esterline purchased Wallop Defence, a British manufacturer of electronic warfare countermeasures, including flares. The company then acquired CMC Electronics, a Canadian aerospace and defense avionics manufacturer in 2007 for $335 million (USD).

In 2009, Esterline acquired Racal Acoustics, a British manufacturer of combat communications equipment ranging from noise-canceling communication headsets to secure telephone networks for use in active battlefields. R. Bradley "Brad" Lawrence succeeded Robert Cremin as Esterline CEO in November of that year. Lawrence had worked at Esterline since 2002, most recently serving as company president and COO since June 2009. Cremin stepped aside to take on the Chairmanship of Dover Corporation.

Esterline continued its expansion into the military communications and intelligence, surveillance and reconnaissance (ISR) markets with its purchase of Eclipse Electronic Systems, a manufacturer of signal and communication intelligence hardware for aerospace applications in 2011. Later that year, Esterline acquired the Souriau Group, a French aerospace and defense connector company, for $715 million.

In September 2013, Esterline appointed Curtis Reusser to succeed Brad Lawrence as the company's CEO. Reusser had formerly served as president of United Technologies Corporation's aircraft systems business. Esterline then acquired Joslyn Sunbank Company, an aerospace connector accessory supplier, a few months later in December 2013. In February 2015, Esterline acquired the defense and aerospace division of the Belgium-based display manufacturer, Barco. In February 2017, the company announced a new advanced displays engineering and manufacturing facility in Kortrjik, Belgium called the "Spidle" site.

Esterline is the producer of the well known Korry switches and control devices used in most airliners and flight simulators on the market, including Airbus, Boeing and others.

Esterline manufactures products for the aerospace, defense and general industry sectors. The company is organized into three segments: Avionics & Controls; Sensors & Systems; and Advanced Materials.

The Avionics & Controls segment manufactures avionics equipment and communication systems for both commercial and military applications. The Sensors & Systems segment manufactures connectors, sensors and power management systems, which are primarily used in the aerospace industry. The Advanced Materials segment manufactures elastomer products and thermal components for commercial and military applications; and military ordnance and electronic warfare countermeasures.

Q reports

Period Date Adjusted Actuals EPS GAAP EPS
Q1 2019 2019-01-31 1.24 1.14
Q4 2018 2018-11-20 1.87 1.69

Ratings

2016-05-11 Reiterated Rating Canaccord Genuity Hold $75.00
2016-05-09 Lower Price Target Goldman Sachs Neutral $62.00 to $61.00
2016-05-09 Lower Price Target Goldman Sachs Group Inc. Neutral $62.00 to $61.00
2016-03-28 Boost Price Target Canaccord Genuity Hold $90.00 to $109.00
2016-02-08 Reiterated Rating Jefferies Buy $105.00 to $87.00
2016-02-08 Reiterated Rating Jefferies Group Buy $105.00 to $87.00
2016-02-05 Lower Price Target Jefferies Group Buy $105.00 to $87.00
2016-02-05 Downgrade Canaccord Genuity Buy to Hold $75.00
2016-02-05 Downgrade Wells Fargo Outperform to Market Perform
2016-02-05 Downgrade Wells Fargo & Co. Outperform to Market Perform
2016-02-04 Downgrade Drexel Hamilton Buy to Hold
2016-01-15 Upgrade Credit Suisse Neutral to Outperform $93.00
2016-01-15 Upgrade Credit Suisse Group AG Neutral to Outperform $93.00
2016-01-01 Reiterated Rating Canaccord Genuity Buy $110.00
2015-11-20 Lower Price Target Canaccord Genuity Buy $120.00 to $110.00
2015-09-07 Lower Price Target Canaccord Genuity Buy $130.00 to $120.00
2015-09-04 Lower Price Target Jefferies Group Buy $120.00 to $105.00
2015-09-04 Lower Price Target DA Davidson Neutral $100.00 to $90.00
2015-09-04 Lower Price Target Credit Suisse Neutral $95.00 to $93.00
2015-09-04 Lower Price Target ACI Research $100.00 to $90.00
2015-09-01 Reiterated Rating Canaccord Genuity Buy $130.00 to $120.00
2015-08-13 Initiated Coverage CL King Neutral
2015-07-16 Reiterated Rating Canaccord Genuity Buy $130.00
2015-05-29 Reiterated Rating Canaccord Genuity Buy $138.00
2015-04-30 Downgrade Goldman Sachs Buy to Neutral $124.00
2015-03-09 Reiterated Rating Canaccord Genuity Buy $138.00
2015-03-06 Downgrade Credit Suisse Outperform to Neutral $131.00 to $117.00
2015-03-03 Set Price Target DA Davidson Hold $110.00
2015-01-15 Upgrade KeyBanc Hold to Buy
2015-01-15 Upgrade KeyCorp Hold to Buy
2014-12-31 Set Price Target Jefferies Group Buy $134.00 to $132.00
2014-09-05 Reiterated Rating Credit Suisse Outperform $125.00 to $131.00
2014-08-07 Upgrade Goldman Sachs Neutral to Buy $111.00 to $140.00
2014-07-16 Initiated Coverage Drexel Hamilton Buy
2014-06-23 Boost Price Target Jefferies Group Buy $118.00 to $134.00
2014-06-20 Upgrade Canaccord Genuity Hold to Buy $112.00 to $138.00
2014-05-30 Boost Price Target DA Davidson Neutral $115.00 to $120.00
2014-05-30 Boost Price Target Canaccord Genuity Hold $111.00 to $112.00
2014-03-10 Upgrade Ned Davis Research Neutral to Buy
2014-02-28 Boost Price Target Canaccord Genuity Hold $109.00 to $111.00
2014-01-13 Boost Price Target DA Davidson Neutral $105.00
2013-12-06 Boost Price Target Canaccord Genuity Hold $85.00 to $90.00
2013-11-20 Boost Price Target Credit Suisse Outperform $93.00 to $100.00
2013-10-09 Initiated Coverage Canaccord Genuity Hold $85.00
2013-09-27 Downgrade Bank of America Neutral to Underperform $76.00 to $77.00
2013-02-27 Reiterated Imperial Capital Outperform $73 to $80
2012-12-10 Reiterated Imperial Capital Outperform $71 to $73
2012-09-18 Resumed Imperial Capital Outperform $71
2011-12-09 Reiterated Stifel Nicolaus Buy $90 to $84
2011-06-02 Reiterated Stifel Nicolaus Buy $80 to $83
2011-01-20 Reiterated UBS Neutral $60 to $72
2011-01-12 Initiated KeyBanc Capital Mkts Buy $85
2010-12-10 Reiterated Morgan Joseph Buy $62 to $75
2010-11-12 Reiterated UBS Neutral $55 to $60
2016-05-11 Reiterated Rating Canaccord Genuity Hold $75.00
2016-05-09 Lower Price Target Goldman Sachs Neutral $62.00 to $61.00
2016-05-09 Lower Price Target Goldman Sachs Group Inc. Neutral $62.00 to $61.00
2016-03-28 Boost Price Target Canaccord Genuity Hold $90.00 to $109.00
2016-02-08 Reiterated Rating Jefferies Buy $105.00 to $87.00

There is presents forecasts of rating agencies and recommendations for investors about this ticker

Major Shareholders

Name Relationship Total Shares Holding stocks
ATWOOD J RICHARD 8.24%  (2630901) ESL /
WINSHIP HENRY WARD IV 7.76%  (2478543) ESL /
Reusser Curtis C President and CEO 0.13%  (42468) ESL /
First Pacific Advisors, LLC 0.13%  (41644) ESL / WLRH /
LEITMAN JERRY D 0.09%  (28102) ESL /
Haack Paul V 0.08%  (26696) ESL /
FRANCESCHINI ANTHONY P 0.07%  (21937) ESL /
MORRIS JAMES J 0.05%  (17350) ESL /
GEORGE ROBERT DAVID VP & Chief Financial Officer 0.05%  (15830) ESL /
Etter Delores M 0.05%  (15200) ESL /
HOWELL MARY L 0.05%  (14923) ESL /
Pruitt Gary E 0.03%  (10802) ESL / ITRI / PSA / PSB /
Lawrence Richard Bradley President & CEO 0.03%  (8966) ESL /
Kuechle Scott Ernest 0.03%  (8225) ESL / KAMN / WAIR /
YOST ALBERT S Group Vice President 0.02%  (7895) ESL /
MASON MARCIA J Vice President Human Resources 0.02%  (7297) ESL /
CREMIN ROBERT W 0.02%  (6163) DOV / ESL / KN /
Larsen Nils 0.02%  (5713) ESL /
HEINE CALVIN THOMAS VP Human Resources 0.02%  (4911) ESL /
CAVE MICHAEL J 0.02%  (4894) AYR / BLL / ESL / HOG /
Ross Roger Alan Segment President 0.01%  (2693) ESL /
COVEY MICHAEL J 0.01%  (2573) ESL /
LARSON STEPHEN R VP Strategy & Technology 0.01%  (2000) ESL /