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 energy storage company Maxwell Technologies (MXWL) jumped 10% today after reporting earnings.
So what: Revenue dropped 4% from a year ago, to $46.0 million, but still came in well ahead of Wall Street's $39.0 million estimate. Net income was $1.1 million, or $0.04 per share, which was well in excess of the $0.08 loss that analysts expected.
Now what: While results were ahead of expectations, there's not a lot of bullishness, even from management. They don't see much visibility in China's plug-in hybrid bus market, and expect revenue to be flat for the year. I'd take a cautious approach until revenue turns around and the bottom line improves, because there's too much downside risk at the current valuation.
