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 oil and gas supplier Exterran Holdings
So what: Revenue rose 12.6%, much higher than expected, to reach $704.5 million in the third quarter. Loss per share of $0.42 was a penny better than expected, including a $196 million goodwill impairment charge.
Now what: The market may be jumping for joy today, but I'm not seeing a lot to be excited about. Revenue was much higher than expected, but the company lost money, indicating that margins aren't expanding. Analysts are also expecting a big loss for 2012, so the financials aren't exactly improving by leaps and bounds. I'm going to stay away from this pop today and stick to profitable companies in the oil and gas industry.
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