Why Quad/Graphics Stock Crashed Today
Shares of Quad/Graphics (NYSE: QUAD) plummeted on Wednesday following a disastrous third-quarter report. Revenue missed analyst estimates by a wide margin, full-year guidance was slashed, the dividend was cut in half, and the company announced plans to divest its book business. The small-cap stock was down 52.4% at 12 p.m. EDT.
Quad/Graphics reported third-quarter revenue of $943.6 million, down 3.1% year over year and $66.4 million below the average analyst estimate. Organic sales were down 4.3%, excluding acquisitions. The weak sales were driven by ongoing print industry volume and pricing pressures. Quad/Graphics posted a net loss from continuing operations of $0.94 per share, compared to a profit of $0.57 per share in the prior-year period.
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Source Fool.com
