Why Eagle Bulk Shipping Stock Is Sinking Today
Eagle Bulk Shipping (NYSE: EGLE) missed expectations for earnings in the fourth quarter despite generating stronger-than-expected revenue. Investors were disappointed by the results, sending shares of Eagle Bulk down 15% on Friday morning.
Eagle Bulk provides midsized dry bulk vessels chartered by miners, commodity producers, traders, and end users. The past year or so has been a choppy period for the industry, with the shares losing about half of their value last summer due to fears that a potential recession would eat into charter demand. But the stock was up about 25% year to date heading into earnings on hopes that the worst was over.
The results put the stock in reverse. Eagle Bulk earned $2.76 per share on revenue of $151.4 million in the fourth quarter. Analysts had expected earnings of $2.99 per share on revenue of $125 million.
Source Fool.com
