Why Mobile Mini Shares Popped

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 portable storage specialist Mobile Mini (NASDAQ: MINI  ) climbed 10% today after its quarterly results topped Wall Street expectations.

So what: The stock has soared over the past year on significantly improving fundamentals, and today's first-quarter beat -- adjusted EPS of $0.27 on revenue of $97.9 million versus the consensus of $0.22 and $94.0 million -- suggests that the momentum isn't slowing. In fact, it was the company's ninth consecutive quarter of comparable-period growth in leasing revenues, reinforcing optimism over continued EBITDA margin expansion.

Now what: Looking ahead, the company expects to post comparable period growth in leasing revenues through the rest of 2013. "We see additional opportunity to increase our utilization as we more deeply penetrate our existing markets and expand into new ones," said President and CEO Erik Olsson. "We have a great team of dedicated people focused on delivering outstanding service to our customers, and I am looking forward to working with them as we take Mobile Mini into its next phase of growth."

With the stock now up about 150% over its 52-week lows and trading at a 20-plus forward P/E, however, I'd wait for some of the excitement to fade before buying into that growth.

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


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.

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: 2411970, ~/Articles/ArticleHandler.aspx, 12/18/2014 5:38:53 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...


Advertisement