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What: Shares of mineral processor Amcol International
So what: Sales reached $222.4 million, easily topping the $206.7 million analysts had expected. Earnings per share also crushed analyst estimates of $0.24 for the first quarter by reaching $0.38 per share.
Now what: An improving global economy is expected to help push earnings higher as the year goes on. Management is going to double spending in its oil field business -- which accounts for more than two-thirds of the company’s revenues -- to exploit opportunities in Africa and South America. Before this crushing earnings report, Amcol’s forward P/E ratio was just 16, so I expect that to become even more attractive as analysts raise estimates for future quarters.
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