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 Capstone Turbine (NASDAQ:CPST) dropped 13% today after the company reported earnings.

So what: Revenue fell 15% to $24.4 million and the company lost $6.8 million, or $0.02 per share. The loss was a penny worse than estimates, and the company doesn't show any real signs of turning to a profit.  

Now what: Investors have been hoping that Capstone would push closer to a profit this year but that hope seems all but gone at this point. Double-digit gross margins won't help unless revenue grows, and with only $27.1 million in new orders there won't be enough growth to generate a profit. I'm staying out of this stock until I see a real profit, something that seems to always be on the horizon but never comes close to reality.

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