Universal Forest Products Shares Jumped: 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 building product supplier Universal Forest Products (NAS: UFPI) rose 12% today after the company released earnings.
So what: Net sales rose 11.4% to $422 million, and the company reported a loss of $1.7 million, or $0.09 per share, from a small profit a year earlier. When you strip out one-time items posted a tiny profit, topping the $0.05 per-share loss analysts had expected.
Now what: Growth was strong in most areas, but manufactured housing rose a very impressive 35.1% in the quarter. And the quarter's small profit was a nice surprise in a seasonally down quarter for the company. Before jumping into shares on a report like this, I would like to see stronger summer quarters when profit really hits the books.
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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.The Motley Fool owns shares of Universal Forest Products. 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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