Why Advanced Emissions Solutions, Inc.'s 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 Advanced Emissions Solutions, (NASDAQ: ADES  ) jumped 17% today after reporting earnings.

So what: Revenue rose slightly in the quarter, to $74.6 million, and the company swung to a profit of $1.6 million, or $0.16 per share in the quarter. Earnings beat estimates by $0.02, and revenue was also better than expected. 

Now what: Revenue in emission control more than tripled, offsetting a decline in refined coal. Advanced Emission Solutions is benefiting from regulatory requirements that help its business long term, and that's driving optimism from investors. I'm still leery about optimistic estimates for next year, which have the company swinging to a $3.79 per share profit. For now, I'll take the cautious approach and watch for improvement from the sidelines.

Top stock for 2013
There are opportunities left in energy, and 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.

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: 2719600, ~/Articles/ArticleHandler.aspx, 12/21/2014 8:29:34 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...


Advertisement