Amcol Shares Plunged Temporarily: 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 specialty mineral producer Amcol (NYS: ACO) fell 10% at the open of trading this morning after it barely missed earnings estimates.
So what: Fourth-quarter revenue grew 6.5%, to $233.7 million, just short of the $236.2 million analysts had expected. Earnings per share were in line with expectations at $0.43 per share.
Now what: The stock sold off sharply at the open, but has climbed back to a small gain as of this writing. The earnings report wasn't all that bad and barely missed expectations, so the beating the stock took early was very overdone. All in all, I wouldn't panic about the drop this morning since the market came to its senses later in the day.
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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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