Stocks in Motion: Brink's
Updated from 1:35 p.m. EDT
Shares of Brink's (BCO) were among the NYSE's losers Wednesday after the company posted weaker-than-expected second-quarter earnings and warned that an investigation may force it to restate those same second-quarter earnings results.
The security services company earned 25 cents a share on sales of $1.1 billion. Analysts polled by Thomson First Call had expected it to earn 34 cents a share on sales of $1.1 billion.
Brink's said it recently discovered that one of its overseas business units has not paid about $3 million in foreign duties and value-added taxes during the normal course of its operations. It has been advised by counsel that it could face civil and criminal penalties as a result of its nonpayment of those taxes and duties.While the company has not been notified by any governmental authorities, Brink's said that it could face up to $85 million in penalties and fees if the company were ever assessed against the overseas business unit. Brink's has begun to implement changes that will prevent this kind of event from happening again in the future, it said. Shares of Brink's traded down $4.73, or 14.8%, to $27.32. Homestore (HOMS) fell after it reported weaker-than-expected second-quarter financial results. Excluding items, the online real estate company posted a loss of 2 cents a share on sales of $56.8 million. Analysts were looking for a loss of a penny on sales of $58.1 million. Shares of Homestore traded down 50 cents, or 14.7%, to $2.90. Shares of ValueClick (VCLK) fell after the company reported mixed second-quarter financial results and warned that third-quarter results would fall short of expectations. The Internet marketing company posted a profit of 7 cents a share during the second quarter on sales of $34.6 million. Analysts had expected it to earn 6 cents a share on sales of $36.4 million. Looking ahead, it expects third-quarter earnings of 6 cents a share on sales of $36 million to $37 million. Analysts were expecting 7 cents a share on sales of $37.2 million. Shares of ValueClick traded down $2.63, or 26.9%, to $7.16.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV