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What: Shares of construction equipment slinger Titan Machinery
So what: Yes, you read that correctly: Titan shares fell after the company reported strong second-quarter results. For the quarter, revenue jumped 48% from last year to $311 million, easily topping the $293 million that Wall Street was expecting. Earnings per share doubled from 2010, bouncing from $0.15 to $0.30. That per-share profit total also topped the $0.26 that analysts were looking for.
The company went on to boost its full-year outlook, raising its expected revenue range midpoint to $1.37 billion from $1.35 billion, and boosting the midpoint of its EPS target from $1.58 to $1.61.
Now what: So what are investors all worked up about today? One potential answer is that they were hoping for even more out of the company when it came to forward guidance. Does that seem greedy? Possibly, but Wall Street had them teed up to expect more as its full-year estimates for the company were for $1.64 in per-share profit on $1.41 billion in revenue. As the midpoint of management's guidance fell a scant 2% short of Wall Street's target, I dare say that today's market freak-out is a bit of an overreaction.
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Fool contributor Matt Koppenheffer does not have a financial interest in 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 Facebook. The Fool's disclosure policy prefers dividends over a sharp stick in the eye.