Monster Worldwide Shares Got Crushed: What You Need to Know

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

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 online recruitment firm Monster Worldwide (NYSE: MWW  ) plunged 18% on Thursday after the company's quarterly results and outlook missed Wall Street expectations.

So what: Another quarter of weaker-than-expected growth -- fourth-quarter revenue came it at just $250 million versus the average estimate of $259 million -- prompted management to cut about 400 jobs, or 7% of its workforce, to help offset the slowdown. The stock has been pummeled over the past year amid a weak global job market, and Monster's own restructuring moves suggest that a turnaround isn't coming anytime soon.

Now what: Looking ahead, Monster expects a first-quarter revenue drop of 3% to 7% and EPS in the range of breakeven to $0.04, which is also well below the consensus of $0.09. "Our focus in 2012 will be to further leverage our product leadership and global platform, and increase customer adoption," said CEO Sal Iannuzzi. Unfortunately, when you couple the gloomy global outlook with Monster's historically low returns on equity, those initiatives just aren't enough to make Monster a buy.

Interested in more info on Monster? Add it to your watchlist.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. 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's disclosure policy always gets a perfect score.


Read/Post Comments (0) | Recommend This Article (3)

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: 1766558, ~/Articles/ArticleHandler.aspx, 10/27/2016 11:05:20 AM

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 18,196.49 -2.84 -0.02%
S&P 500 2,136.36 -3.07 -0.14%
NASD 5,237.05 -13.22 -0.25%

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

10/27/2016 10:50 AM
MWW $3.32 Down -0.05 -1.48%
Monster Worldwide CAPS Rating: **