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 Basic Energy Services
So what: Revenue in the third quarter jumped 17% to $346 million and earnings per share went from a loss a year ago to a profit of $0.64 per share this year. Still, analysts were expecting revenue to be $350 million and earnings per share of $0.66, so shares were punished today.
Now what: This was an earnings miss, which is never good, but it isn't like Basic Energy Services missed by a wide margin. The company is still in the attractive space of oil and gas well services in a growing U.S. market. With shares trading at just six times next year's expected earnings, I see this dip as a nice buying opportunity for investors.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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