Why IPG Photonics Fell by 10.5% Earlier Today
Shares of IPG Photonics (NASDAQ: IPGP) fell by as much as 10.5% on Tuesday, following a second-quarter earnings report that beat Wall Street's estimates but failed to support the stock's impressive gains in recent months. Shares closed the trading day down by 6.9%.
Revenues for the maker of fiber lasers and laser systems fell 19% year over year to $296 million in Q2, while its earnings fell 47% to $0.71 per diluted share. As painful as these drops were, Wall Street had expected even steeper declines. The average analyst would have settled for earnings near $0.60 per share and a top line in the neighborhood of $280 million. But the company also issued mixed third-quarter guidance, with earnings targets just above the current consensus among analysts and a revenue forecast 3% below it.
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Source Fool.com
