Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Aaron's Shares Popped: What You Need to Know

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Aaron's (NYSE: AAN  ) shares jumped 13% today after the company announced earnings that beat expectations.

So what: In the quarter, Aaron's had revenue of $452.2 million and net income of $26.2 million, or $0.32 per share. Both numbers crushed analysts' expectations, pushing shares higher -- too high for a minute when a 12% increase triggered circuit breakers this morning.

Now what: Earnings were up 6% and revenue was up 9%, showing Aaron's business is getting stronger. Aaron's rents and sells furniture, appliances, and computers. I like the stronger results, and a forward price/earnings of 12.5 looks very attractive considering newfound traction. I'm buying this move as the start of a move upward.

Interested in more info on Aaron's? Add it to your watchlist by clicking here.

Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings, or follow his Motley Fool CAPS picks at TMFFlushDraw.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool has a disclosure policy.

Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1344981, ~/Articles/ArticleHandler.aspx, 5/31/2016 4:15:24 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 17,790.15 -83.07 -0.46%
S&P 500 2,096.94 -2.12 -0.10%
NASD 4,948.03 14.53 0.29%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

5/31/2016 3:59 PM
AAN $25.11 Up +0.09 +0.36%
Aaron's, Inc. CAPS Rating: ****