Dynamic Materials Shares Fall On 4Q Profit Miss
NEW YORK (AP) ¿ Shares of Dynamic Materials Corp. dropped sharply on Friday after the maker of explosion-welded clad metal plates turned in a fourth-quarter profit well below what analysts had been expecting.
In afternoon trading its shares fell $2.99, or 15.7 percent, to $16.07.
Thursday evening the company said its fourth-quarter profit fell 81 percent as sales in its metalworking division fell. It earned $1 million, or 8 cents per share. Analysts had been expecting 13 cents per share.
Jefferies & Co. analyst Yvonne M. Varano left her "hold" rating in place Friday. She wrote that she remains concerned that lower spending in key markets and an inability for customers to get financing could hurt demand.The Boulder, Colo.-based company saw its explosive metalworking backlog fall to $50 million, from $63 million just three months earlier and $97 million at the end of 2008. "A reversal in this downward trend is going to be key to seeing stronger earnings momentum," Varano wrote.
Select the service that is right for you!COMPARE ALL SERVICES
- $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
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV