Why Sychronoss Shares Took Off
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 Synchronoss Technologies are soaring 20% higher today after reporting earnings that came in ahead of expectations, combined with a solid set of forward guidance.
So what: Wall Street was looking for $0.25 per share on $70.1 million in revenues for Synchronoss' fourth quarter, but the company surprised on the upside with $73.8 million in revenue and $0.29 per share in adjusted earnings. The company's guidance was in the $330 million to $350 million range for the full year of 2013, and non-GAAP revenue in the $75 million to $78 million range for the current quarter, with EPS in the range of $0.27 to $0.29. The top-line estimate for the current quarter is slightly ahead of the $74.3 million Wall Street sought, but its EPS range only hits the consensus of $0.29 on the high end. For the full year, analysts had expected $330.1 million and $1.29 in EPS.
Now what: Synchronoss has impressed the market today with bullish expectations, and its P/E remains at the lower end of the past year's range. It might be worth keeping an eye on the stock, which is known for wild moves, but I wouldn't jump in after this jump.
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The article Why Sychronoss Shares Took Off originally appeared on Fool.com.Fool contributor Alex Planes holds no financial position in any company mentioned here. Add him on Google+ or follow him on Twitter @TMFBiggles for more news and insights. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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