What: Shares of Manitowoc Company Inc (NYSE:MTW) dropped as much as 15% today after announcing disappointing preliminary results.

So what: Fiscal third quarter revenue is expected to be $863 million, 12.5% lower than a year ago. On the bottom line, net earnings are expected to drop from $73.1 million a year ago to $5 million last quarter.  

Wall Street had been expecting $942 million in revenue and earnings of $0.30 per share, or about $40 million, so that's why investors have sold off the stock today.

Now what: Management said that Cranes segment demand in the Middle East and Asia has been disappointing, which isn't shocking considering the slowing economic growth there. They're taking steps to cut staff and lower plant costs, but this could be a long lasting decline in demand.

There is some positive news from the Foodservice business, with operating margins returning to 2013 levels and flat revenue expected for the full fiscal year. But that's a small ray of light in an otherwise abysmal quarter.

Manitowoc's shares already trade at 16 times trailing earnings and with revenue and net income in freefall I don't see much value in shares today. I would wait to see when demand turns around because right now there doesn't seem to be a turnaround in sight, which may give shares much further to fall.