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...
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 biodiesel maker Renewable Energy Group (NASDAQ: REGI ) jumped 15% today after the company reported earnings.
So what: The company sold 39 million gallons of biodiesel during the quarter, up 14% from a year ago, and net income rose from $14 million, to $46 million. On a per share basis earnings were $1.25 versus an expectation of $0.51 from Wall Street.
Now what: The government retroactively reinstated the Biodiesel Mixture Excise Tax Credit, which accounted for the big jump in profit. Still, the strong increase in revenue is a positive sign, and the tax credit will give the company some stability this year. My biggest problem is the dependence on a tax credit, which will keep me from buying shares, because it's at the whim of Congress, not a position I want to be in with a big budget deficit in Washington.
Interested in more info on Renewable Energy Group? Add it to your watchlist by clicking here.