Reasons Why You Should Avoid Betting on IDEX Stock Right Now

IDEX Corporation IEX failed to impress investors with its recent operational performance due to softness in the Fluid & Metering Technologies (FMT) segment and increasing selling, general and administrative expenses. Also, foreign currency headwind is an added uncertainty.IEX currently carries a Zacks Rank #4 (Sell). In the past year, the stock has lost 18.3% against the industry’s 9.4% growth.Image Source: Zacks Investment ResearchLet’s discuss the factors that are likely to continue taking a toll on this company.Business Weakness: The company is witnessing softness in the FMT segment. Weakness in the agriculture, energy, water and semiconductor businesses is concerning for it. Also, soft chemical businesses, due to weakness in the European chemicals market, is acting as a headwind for the segment’s performance. The FMT segment’s organic revenues decreased 2% year over year in the second quarter of 2025.Rising Expenses: IDEX has been dealing with the adverse impacts of rising operating costs and expenses. The company’s selling, general and administrative expenses grew 11.4% year over year in the second quarter of 2025. Increasing amortization expenses and professional services spending are raising the selling, general and administrative expenses. As a percentage of sales, it increased 90 bps to 23.5% in the same period. Also, the company’s cost of sales recorded an increase of 7.4% year over year in the second quarter.Forex Woes: IDEX’s international presence keeps it exposed to the risk of adverse currency fluctuations. This is because a strengthening U.S. dollar is likely to require the company to either raise prices or contract profit margins in locations outside the United States. Thus, adverse currency movements are a worry.Stocks to ConsiderSome better-ranked companies are discussed below.Flowserve Corporation FLS currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.FLS delivered a trailing four-quarter average earnings surprise of 5.5%. In the past 60 days, the Zacks Consensus Estimate for Flowserve’s 2025 earnings has increased 4.7%.Crane Company CR presently carries a Zacks Rank #2 (Buy). The company delivered a trailing four-quarter average earnings surprise of 7.5%.In the past 60 days, the consensus estimate for CR’s 2025 earnings has increased 4%.Dover Corporation DOV presently carries a Zacks Rank of 2. DOV delivered a trailing four-quarter average earnings surprise of 4%.In the past 60 days, the consensus estimate for DOV’s 2025 earnings has inched up 1.2%.Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.See "2nd Wave" AI stocks now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dover Corporation (DOV): Free Stock Analysis Report Flowserve Corporation (FLS): Free Stock Analysis Report IDEX Corporation (IEX): Free Stock Analysis Report Crane Company (CR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks