Why Gentherm Stock Tumbled by 23% This Week
On Tuesday, thermal products specialist (NASDAQ: THRM) released quarterly results that left investors ice-cold. They traded out of the stock to the point where it lost 23% of its value across the week, according to data compiled by S&P Global Market Intelligence.
In its third quarter, Gentherm's revenue grew by 10% to slightly over $366 million. Despite the double-digit improvement, that tally fell quite some distance short of the average analyst estimate of $382 million.
The company also didn't reach the collective-pundit forecast for profitability, although the gap was narrower. Its earnings release revealed that it netted a non-GAAP (adjusted) profit of $21.3 million ($0.64 per share). Not only was that below the year-ago profit of $23.4 million; it was underneath the consensus-analyst projection of $0.68 per share.
Source Fool.com
