Why Black Box Shares Popped
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 Black Box have popped today by more than 19% after the company reported earnings and boosted its dividend.
So what: Revenue in the quarter totaled $238 million, which led to earnings per share of $0.44. While CEO Michael McAndrew acknowledged that the company continues to face challenges in the market, pricing appears to have stabilized and Black Box continues to generate operative cash flow.
Now what: Black Box has modestly increased its six-month order backlog, which now stands at $201 million. Investors were reassured that the company increased its dividend by 12.5% to $0.09 per share, marking the third consecutive year of increasing payouts. Black Box also repurchased $4 million in stock during the quarter.
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The article Why Black Box Shares Popped originally appeared on Fool.com.
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