Why Apogee Enterprises' Shares Dropped
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 glass-product maker Apogee Enterprises fell 10% today after releasing fiscal fourth quarter earnings.
So what: Revenue increased 7%, to $179.7 million, which was in-line with expectations. Net income jumped 48%, to $4.4 million, or $0.15 per share, but that fell $0.02 short of estimates, and that's why the stock is down today. For fiscal 2014, the company expects to earn $0.90 to $1.00 per share from continuing operations, which compares to the $0.97 estimate.
Now what: This isn't a terrible report, but investors were expecting more growth on the bottom line. Shares are still trading at 26 time the top end of next year's estimate, so the company will need to continue to grow if the stock is going to remain where it's at. If the stock continues to drop in coming weeks, it will be a nice value, but I'm not jumping on the move today.
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The article Why Apogee Enterprises' Shares Dropped originally appeared on Fool.com.Fool contributor Travis Hoium has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. 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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