PolyOne Shares Dropped: What You Need to Know
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 plastics maker PolyOne (NYS: POL) fell 10% in early trading after the company released earnings.
So what: Last night, PolyOne reported revenue of $735.9 million, an 8% increase from last year, and earnings per share of $0.23. Earnings were in line with expectations, but revenue fell just short of what analysts were expecting.
Now what: Shares have regained most of what they lost during trading today, and I wouldn't read too much into the early drop. Considering the third quarter wasn't all bad, it was likely the market was responding to comments from management that "challenges could remain for the near term."
At this point are investors really surprised when management doesn't provide a rosy outlook in an economic recovery that's moving slower than molasses?
Interested in more info on PolyOne? Add it to your watchlist byclicking here.
At the time this article was published 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.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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