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



Why Accuride's Shares Crashed Today

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 commercial vehicle parts maker Accuride (NYSE: ACW  ) dropped as much as 31% today after the company released earnings.

So what: Third-quarter sales dropped 17.1% to $155.3 million, which was well short of the $170.7 million analysts expected. Net loss dropped 47% to $8.4 million, or $0.18 per share, but was also well above the $0.10 per share expected loss.  

Now what: It looks like both industry and competitive pressures are hurting Accuride across the board. Class 8 vehicle production was down 1.8% from a year ago when the industry was expecting an increase, which hurt both the top and bottom line. The big surprise was a 32.7% decline in revenue for the Brillion Iron Works division as construction, mining, and oil and gas equipment orders slowed. I don't see any positives here for Accuride and think it's time to jump ship on the stock.

A stock to buy today
Accuride is "hands off" today, but there are still great buys on the market. The Motley Fool's chief investment officer has hand-picked one such opportunity in our new report: "The Motley Fool's Top Stock for 2013." To find out which stock it is and read our in-depth report, simply click here. It's free!

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: 2709712, ~/Articles/ArticleHandler.aspx, 9/24/2016 5:04:34 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 19 hours ago Sponsored by:
DOW 18,261.45 -131.01 -0.71%
S&P 500 2,164.69 -12.49 -0.57%
NASD 5,305.75 -33.78 -0.63%

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

9/23/2016 4:02 PM
ACW $2.57 Up +0.01 +0.39%
Accuride Corporati… CAPS Rating: *