Roper Technologies, Inc.’s ROP business unit, DAT Freight & Analytics, recently completed the acquisition of Trucker Tools LLC. The financial terms of the transaction have been kept under wraps.

Based in Reston, VA, Trucker provides tools and services to help truckers and fleet manage their operations. Its mobile app for carriers offers drivers essential resources while on the road, including access to a free load board and various tracking options tailored to their needs.

Acquisition Rationale of ROP

The buyout of Trucker Tools is in sync with Roper’s policy of acquiring businesses to strengthen its business and expand its market share. The acquisition will enable ROP to strengthen DAT's real-time GPS tracking and load optimization features on the DAT One platform. By incorporating Trucker Tools into DAT’s current technology, Roper aims to provide improved tracking, capacity sourcing and freight matching for its customers, including carriers, brokers and shippers.

DAT has purchased Trucker Tools from ASG, which is a portfolio company of Alpine Investors. Trucker Tools will continue to operate under its existing brand and leadership, maintaining its current operations and management structure.

Other Notable Buyouts of ROP

Roper is carrying out successive acquisitions to expand its operations. It’s worth noting that acquisitions boosted sales by 6%, 8% and 9% in the first, second and third quarters, respectively. In August 2024, Roper inked a deal to acquire Transact Campus for $1.5 billion. The inclusion of Transact’s expertise in campus technology and payment solutions will enable the company to boost its CBORD business, which provides food service, nutrition, access and security and campus commerce solutions.

In February 2024, the company acquired Procare Solutions for $1.75 billion. The buyout expanded Roper’s software offerings in the education sector. In August 2023, the company acquired cloud-based performance management and data solutions provider, Syntellis Performance Solutions, for $1.25 billion. The acquired entity has been integrated into Roper’s Strata Decision Technology business, which is part of the Application Software segment.

Also, the acquisition of Replicon (August 2023) has been supporting Deltek’s growth by boosting its SaaS solutions portfolio. The buyout is expected to contribute $70 million to revenues and $24 million to EBITDA in 2024.

ROP’s Zacks Rank

Roper is benefiting from strength across its segments. Momentum across the Deltek, Frontline, Strata, PowerPlan and Aderant businesses is aiding the Application Software unit. Solid momentum in the ConstructConnect and alternate site healthcare businesses is boosting the Network Software unit. However, rising expenses, supply-chain issues and other factors are keeping the bottom line under pressure.

In the past year, this Zacks Rank #2 (Buy) company’s shares have lost 1.6% against the industry’s 18.6% growth.

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Other Stocks to Consider

Some other top-ranked companies are discussed below.

Vertiv Holdings Co VRT currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

VRT delivered a trailing four-quarter average earnings surprise of 10.1%. In the past 60 days, the Zacks Consensus Estimate for Vertiv’s 2024 earnings has increased 4.3%.

DXC Technology Company DXC presently carries a Zacks Rank of 2. The company delivered a trailing four-quarter average earnings surprise of 22.2%.

In the past 60 days, the consensus estimate for DXC’s fiscal 2025 earnings has increased 10%.

RBC Bearings Incorporated RBC presently carries a Zacks Rank of 2. The company delivered a trailing four-quarter average earnings surprise of 2.5%.

In the past 60 days, the consensus estimate for RBC’s fiscal 2025 earnings has increased 0.5%.

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