HLIO

Zacks Premium offers investment research tools including the Zacks Rank and Style Scores to help investors identify high-performing stocks. The Zacks Rank #1 (Strong Buy) stocks have averaged +23.86% annual returns since 1988, outperforming the S&P 500.

Style Scores rate stocks on value, growth, and momentum across A-F grades. Helios Technologies (HLIO) is highlighted as a #3 Hold with a B VGM Score and strong momentum, up 4.5% in four weeks.

Helios Technologies (HLIO) is highlighted as a growth stock worth considering, holding a #3 (Hold) Zacks Rank with a B VGM Score. The company demonstrates strong growth potential with forecasted year-over-year earnings growth of 24.6% for fiscal 2026 and a B Growth Style Score. Recent analyst revisions have increased the consensus estimate to $3.19 per share, with an average earnings surprise of +13.1%.

The U.S. manufacturing sector is experiencing steady recovery with factory orders rising 0.1% sequentially in August, driven by robust demand for electrical equipment, appliances, and machinery despite inflationary pressures and higher oil prices. Four stocks are highlighted as positioned to benefit: Caterpillar (43.6% expected earnings growth), Zebra Technologies (28.2%), Helios Technologies (24.6%), and Applied Industrial Technologies (9.2%).

Applied Industrial Technologies (AIT) is significantly outperforming its Industrial Products sector peers in 2026, with a year-to-date return of 32.2% compared to the sector average of 14.6%. The company holds a Zacks Rank #2 (Buy) rating with improving earnings outlook, as consensus EPS estimates have increased 1.8% in the past quarter. Helios Technologies (HLIO) is another outperformer in the same industry with 28.8% year-to-date returns.

Helios Technologies (HLIO) is drawing attention from options traders due to high implied volatility in its December 2026 $50 call options, suggesting expectations of significant price movement. The company holds a Zacks Rank #1 (Strong Buy) rating, with analysts raising earnings estimates for the current quarter from 68 cents to 76 cents per share over the last 60 days. Options traders may be positioning to sell premium and capture decay if the stock doesn't move as dramatically as implied volatility suggests.

Five companies have been added to the Zacks Rank #1 (Strong Buy) list based on increasing consensus earnings estimates over the last 60 days. The stocks include Motorsport Games (30.4% earnings estimate increase), Gray Media (24.9% increase), Helios Technologies (10% increase), Embraer (8.1% increase), and Stepan Company (5.9% increase).

Helios Technologies (HLIO) demonstrated robust performance with four consecutive quarters of double-digit pro-forma sales and order growth through Q2 2026. The company achieved a 21.2% adjusted EBITDA margin for the fourth consecutive quarter above 20%, while returning $18 million to shareholders in H1 2026, up 40% year-over-year. Both the Hydraulics and Electronics segments showed strong momentum across key end markets.

Nordson Corporation (NDSN) is experiencing strong performance across its business segments with 31% organic sales growth in Advanced Technology and 11% in Medical and Fluid Solutions. The company raised its fiscal 2026 sales guidance to $3.035-$3.075 billion and has implemented shareholder-friendly policies including a 15% dividend increase. Earnings estimates continue to trend upward with no downward revisions in the past 60 days.

Allegion plc (ALLE) is benefiting from strong organic revenue growth of 8.9% in its Americas segment driven by stable demand and strategic acquisitions. However, the company faces challenges in its International segment with a 1.2% organic revenue decline due to weak European demand and ERP implementation disruptions. Rising costs, including a 12.8% increase in cost of goods sold, pose additional pressure on profitability.