NEW YORK (TheStreet) -- Shares of Phibro Animal Health (PAHC) - Get Phibro Animal Health Corporation Class A Report closed higher by 11.79% to $23.89 on heavy trading volume Tuesday after the company posted earnings and revenue that topped analysts' estimates for the 2016 fiscal fourth quarter.
After yesterday's closing bell, the Teaneck, NJ-based animal health company reported adjusted earnings of 40 cents per diluted share, above analysts' expectations of 38 cents per share.
Revenue increased 2% to $189.2 million year-over-year and was higher than Wall Street's forecasts of $183.6 million.
"Some of our U.S. customers continue to reduce usage of antibacterials that are classified as medically important by the Food and Drug Administration, in anticipation of upcoming regulatory changes and in response to consumer preferences for the reduction or elimination of antibacterials in protein production," CEO Jack Bendheim said in a statement.
But he noted that international volumes grew during the period and the company believes these increases will continue to be a substantial offset to potential U.S. declines.
For fiscal 2017, Phibro Animal sees adjusted earnings per diluted share between $1.38 and $1.45 on revenue of $750 million to $770 million. Analysts are looking for earnings of $1.63 per share on revenue of $768 million for the full year.
About 935,914 of the company's shares changed hands today, well above its average 30-day volume of 88,359 shares per day.
Separately, TheStreet Ratings Team has a "Sell" rating with a score of D+ on the stock.
The company's weaknesses can be seen in multiple areas, such as its weak operating cash flow, generally disappointing historical performance in the stock itself and generally high debt management risk.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: PAHC