Why Stanley Black & Decker Stock Fell as Much as 11.5% Today
Shares of industrial equipment maker Stanley Black & Decker (NYSE: SWK) dropped 11.5% out of the gate on April 30. And while it made some of that loss back, by 2:30 p.m. EDT, it was still limping along with a high single-digit decline. The broader market was down more than 1%, so some of the loss was related to overall negative sentiment. But the big driver here was really a lackluster earnings report.
Stanley Black & Decker's adjusted first-quarter earnings came in at $1.20 per share, $0.07 above analyst estimates. However, that figure was down from $1.42 per share in the previous year. The biggest issue for the company was a sales decline related to the worldwide effort to slow the spread of COVID-19, which effectively closed down vast swaths of the global economy. The top line declined 6%, with an 8% volume drop more than offsetting the 2% gain from acquisitions in the quarter.
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Source Fool.com
