Brinks Shares Got Crushed: What You Need to Know (BCO)

Brinks Shares Got Crushed: 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: Security fell asleep on the job this morning and shares of Brinks (NYSE: BCO ) were robbed, losing 19% of their value.

So what: Revenue grew 13% in the fourth quarter to $997 million, but non-GAAP earnings per share fell to $0.56 from $0.80 a year ago. Analysts had expected earnings of $0.63 per share on $1.05 billion in revenue.

Now what: Higher security costs affected margins leading to the lower-than-expected revenue. The company is hoping that a rapidly growing business in Latin America will help performance in the future. Revenue there grew 34% over last year, driven by an acquisition the company made in Mexico. Shares trade at just 12.7 times adjusted earnings per share for 2011, and considering the company's growth I think that's an attractive value in this business.

Interested in more info on Brink? Add it to your watchlist by clicking here.

The Steve Jobs Betrayal
You may already know that in the final year of his life, Jobs revealed a stunning betrayal — and told his biographer, "I will spend my last dying breath... and every penny of Apple's $40 billion in the bank to right this wrong." What was it that made Jobs so irate — and why could it make a few in-the-know investors some major profits over the coming months and years?

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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 CAPS picks at TMFFlushDraw.

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