Shares of Chart Industries (GTLS -0.63%), an equipment manufacturer in the energy and industrial gas markets, declined 10% Thursday. That's despite the company releasing fourth-quarter results that largely topped analysts' estimates.
Chart Industries posted fourth-quarter adjusted earnings per share of $1.27, which easily topped analysts' estimates calling for $0.77 per share. In part due to the strong fourth quarter, the company's full-year adjusted earnings per share hit $2.73 per share, the highest in company history. Revenue was down slightly compared to the prior year, at $312.4 million for the fourth quarter, but that still topped analysts' estimates of $304.7 million.
"The fourth quarter of 2020 capped a strong year in unprecedented times, thanks to the entire Chart team. In 2020, we made significant progress in penetrating the global high growth markets of clean energy, specialty[,] and repair and service as evidenced by 472 new customers and 33 long-term agreements," said Jill Evanko, Chart's CEO and president, in a press release.
Although the stock declined 10% Thursday, investors should keep in mind how well Chart Industries stock has performed over the past three years -- including rebounding well past its initial drop when COVID-19 swept the nation and sent stocks spiraling lower. Today's decline could simply be investors taking a little profit off the table. It was a solid fourth quarter, and the company's strategic investments, acquisitions, strong free cash flow, and record backlog should set Chart Industries up for another strong year in the energy and industrials sector.