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



Why Badger Meter Shares Took a Dive

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 Badger Meter (NYSE: BMI  ) weren't measuring up today, falling as much as 15% after reporting an much lower profits than expected in it first quarter.

So what: The industrial-supplies specialist missed EPS estimates by $0.30, reporting a profit of just $0.20 a share, down from $0.42 a year ago. Revenue dropped 6% to $71.8 million, also below expectations of $80 million, as Badger blamed bad weather and cuts to municipal budgets for the shortfall. The manufacturer of meters and other tools for utility companies did, however, make a small acquisition and signed an exclusive agreement that could give it new contracts with North American water utilities.

Now what: With federal budget cuts continuing and pressure on municipal governments to get out of the red, Badger may continue to see uncertainty in spending on upgrades and other products and services it offers. Management said it expected to see "a return to more normal patterns" in the coming quarters, but we should see a round of cuts in analyst estimates for the year following such a severe earnings miss.

Don't miss the next update on Badger Meter. Add the company to your Watchlist by clicking here.  

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: 2369065, ~/Articles/ArticleHandler.aspx, 9/28/2016 11:28:16 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 1 hour ago Sponsored by:
DOW 18,339.24 110.94 0.61%
S&P 500 2,171.37 11.44 0.53%
NASD 5,318.55 12.84 0.24%

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

9/28/2016 4:02 PM
BMI $33.64 Up +0.12 +0.36%
Badger Meter CAPS Rating: **