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 chemical maker A. Schulman (Nasdaq: SHLM ) jumped 10% today after the company released earnings.
So what: Third-quarter adjusted earnings per share were $0.69 versus the $0.62 analysts had expected. However, sales fell 7% to $569.1 million during the quarter.
For the full year, the company now expects adjusted earnings per share of $2.03 to $2.07, higher than the current $2.01 estimate.
Now what: Earlier this year, investors were spooked by a $0.01 miss, and this quarter just balances things out. The higher estimate for the year is encouraging, but we should keep in mind that it still doesn't reach the $2.16 in earnings per share analysts had expected three months ago. Today's news is a positive short term, but I'm leery of the fall in sales and I would prefer to buy if the stock falls back to where it was before the pop to get more value out of the investment.
Interested in more info on A. Schulman? Add it to your watchlist by clicking here.
RSS Headlines
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 icon found on every comment.
Be the first one to comment on this article.