July 26, 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 Weatherford Intl. (NYSE: WFT ) jumped 10% on extremely high volume during trading today.
So what: The company reported net income of $110.1 million, or $0.15 per share, up from a loss of $0.06 per share a year ago. Adjusted earnings per share were $0.17 per share, which topped estimates by $0.02.
Now what: Management is now expecting 25% revenue growth for the full year and margins to improve across the company. The company’s forward P/E ratio is reasonably priced at 15, considering the company's growth curve. I think shares have farther to run with the company’s improved pricing conditions and improving margins.
Interested in more info on Weatherford Intl.? Add it to your watchlist.