Why Amyris Inc's Shares Popped 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 renewable products company Amyris Inc (NASDAQ: AMRS  ) jumped 11% today after the company reported earnings.

So what: First-quarter revenues dropped 23%, to $6.0 million, and Amyris lost $26.7 million from operations. But a $48.0 million gain on derivatives and debt extinguishment resulted in a $16.4 million profit overall. 

Now what: The better news was that guidance for 2014 was reiterated, and management expects $100-$115 million of inflows from products and collaborations this year. Amyris also resumed production at the Brotas biorefinery, which was an important operational step.

This is still a highly speculative stock and it's difficult to know how to value the company with little revenue or history of returns. With that risk in mind, I'll sit out the move today, and wait for a more stable company to emerge in the future.

Will this stock be your next multi-bagger?
Give me five minutes, and I'll show how you could own the best stock for 2014. Every year, The Motley Fool's chief investment officer handpicks one stock with outstanding potential. But it's not just any run-of-the-mill company; it’s a stock perfectly positioned to cash in on one of the upcoming year's most lucrative trends. Last year, his pick skyrocketed 134%. And previous top picks have gained upwards of 908%, 1,252%, and 1,303% during the subsequent years! Believe me, you don't want to miss what could be his biggest winner yet! Just click here to download your free copy of "The Motley Fool's Top Stock for 2014" today.


Read/Post Comments (0) | Recommend This Article (1)

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: 2951831, ~/Articles/ArticleHandler.aspx, 10/25/2014 11:46:03 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