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 trading firm FXCM
So what: FXCM easily passed expectations with revenue of up 29% to $96.1 million crushing expectations of $76.3 million. Earnings per share of $0.24 were $0.05 better than analysts expected.
Now what: Since FXCM is newly public, analysts are having a hard time figuring out exactly what to expect. I expect they will adjust and raise expectations for 2011, so the current forward P/E ratio of 12.2 is probably lower than it will be in the near future. I like the value and growth, and of course, beating expectations doesn't hurt. I am bullish on today's move and think good things are in store for FXCM.
Interested in more info on FXCM? Add it to your watchlist.
