July 22, 2011
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: Shares of Cymer (Nasdaq: CYMI ) fell as much as 10% today before recovering for a 4% gain around the time of the closing bell. Call it yet another incidence of Mr. Market shouting at the rain about rubber bands, free-range chickens, and the merits of flossing.
So what: Or maybe investors were just confused by Cymer's second-quarter earnings report. Last night, the chip making equipment supplier said revenue improved 20% to $158.2 million, resulting in $0.89 a share in profit. Analysts had been calling for $157.47 million and $0.71 a share, respectively.
Now what: Alas, a good beat wasn't good enough. Cymer expects just $130 million in third-quarter revenue, well below the $157.9 million Wall Street was hoping for. Does it matter? You tell me. Weigh in on Cymer's business, strategy, and valuation using the comments box below.
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