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What: Shares of global logistics provider UTi Worldwide
So what: UTi registered $0.26 in per-share earnings during the quarter, which was a penny better than analysts were expecting, but that wasn't enough to offset investor disappointment in other areas of the report. Total sales came in at $1.2 billion, which was short of the $1.22 billion that Wall Street was hoping for. In addition, CEO Eric Kirchner said that though pressure on the company's yield -- that is, net revenue as a percentage of total revenue -- appears to be moderating, he didn't see yield improvements offsetting volume weakness in the upcoming quarter.
Now what: The 10% drop in UTi's stock seemed a little excessive to me -- and the market appears to be in agreement as the drop has since moderated significantly. The continued economic recovery should be a tailwind behind transportation and logistics companies like UTi, as well as Expeditors International
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Fool contributor Matt Koppenheffer does not own shares of any of the companies mentioned. You can check out what Matt is keeping an eye on by visiting his CAPS portfolio, or you can follow Matt on Twitter @KoppTheFool or on his RSS feed. The Fool's disclosure policy assures you no Wookiees were harmed in the making of this article.
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