Pall Shares Popped: What You Need to Know

Updated

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 filtration equipment specialist Pall (NYS: PLL) climbed 10% on Friday after its first-quarter results topped Wall Street expectations.

So what: Restructuring charges weighed on Pall's bottom line, but solid sales -- top-line jumped 16.5% to $705.6 million -- show that the company continues to grow despite the weak economy. In fact, the quarter marks the fifth-straight in which Pall has posted double-digit revenue growth.

Now what: Expect the momentum to continue in the short term. "We are encouraged by the strength of orders in the quarter, an indication of continued growth in a mixed environment," CEO Larry Kingsley said. Of course, with a historically much higher cost structure than gorilla rivals like General Electric (NYS: GE) and 3M (NYS: MMM) , Pall's long-term appeal remains less than ideal.

Interested in more info onPall?Add it to your watchlist.

At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of and creating a diagonal call position in 3M. 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 Fool's disclosure policy always gets a perfect score.

Copyright © 1995 - 2011 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement