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



Hanger Orthopedic Group Shares Plunged: What You Need to Know

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

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: Hang on -- shares of Hanger Orthopedic Group (NYSE: HGR  ) fell as much as 10.7% overnight before making a modest recovery, with a huge volume spike at the bottom of the bounce.

So what: The orthopedic device wrangler and operator of orthotic and prosthetic care centers across America matched or beat revenue and earnings estimates in last night's first-quarter report and reaffirmed its existing full-year guidance. None of this was surprising in the least, but then investor expectations on this type of high-octane growth stocks often get a bit ahead of themselves.

Now what: Overheated expectations often set the stage for heartbreak, and that's what we have here: That volume spike sticking out like a sore thumb looks a lot like one large investor dumping a large batch of shares in disgust. Sporting five CAPS stars out of five, Hanger is one of the highest-rated stocks in the red-hot health-care provider field, beating such stalwarts as Quest Diagnostics (NYSE: DGX  ) and WellPoint (NYSE: WLP  ) . A drop like this on a high-quality stock can be a signal to buy shares at a discount.

Interested in more info on Hanger Orthopedic Group? Add it to your watchlist.

Fool contributor Anders Bylund holds no position in any of the companies discussed here. Motley Fool newsletter services have recommended buying shares of WellPoint and Quest Diagnostics. 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 Motley Fool is investors writing for investors.

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

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: 1527401, ~/Articles/ArticleHandler.aspx, 10/23/2016 10:16:12 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 2 days ago Sponsored by:
DOW 18,145.71 -16.64 -0.09%
S&P 500 2,141.16 -0.18 -0.01%
NASD 5,257.40 15.57 0.30%

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

12/31/1969 7:00 PM
HGR.DL $0.00 Down +0.00 +0.00%
Hanger Orthopedic… CAPS Rating: ***
ANTM $123.50 Down -0.53 -0.43%
Anthem CAPS Rating: *****
DGX $83.69 Down -0.88 -1.04%
Quest Diagnostics CAPS Rating: ****