Why The Toro Company Stock Plummeted by 21% This Week
According to data compiled by S&P Global Market Intelligence, lawn maintenance company The Toro Company's (NYSE: TTC) stock tumbled by almost 21% in price this week. This was hardly a shock and a surprise, as on Thursday it released underwhelming quarterly results that were soon followed by several analyst price target cuts.
The third quarter of Toro's fiscal 2023 saw the company's revenue slide by 7% on a year-over-year basis to slightly more than $1.08 billion. More worryingly, under generally accepted accounting principles (GAAP), it flipped to a net loss on the bottom line of $15 million, against the healthy year-ago profit of over $125 million. That was its first quarterly shortfall in over 10 years.
The non-GAAP (adjusted) result looked better, at least, with a profit of $99.4 million ($0.95 per share). Yet that was below the third quarter of fiscal 2022's adjusted net income figure of $125 million.
Source Fool.com
