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 office furniture maker Herman Miller, (NASDAQ: MLHR ) jumped as much as 12.6% today after reporting earnings.
So what: Sales were up 7.7% from a year ago, to $455.9 million, and there was a 17.6% increase in net income to $19.4 million, or $0.34 per share. That was in line with analysts' estimates, but guidance for fiscal fourth-quarter revenue of $485 million to $505 million, and earnings of $0.43 to $0.47 per share, was at the high end of estimates.
Now what: Management said that order flow was picking up in all industries and, surprisingly, from the government, as well. That should drive growth this calendar year and, with shares trading at 15 times forward estimates, there's upside even at today's price. Watch for continued revenue growth and order momentum to see if the bullish thesis plays out in future quarters.
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