Why ZTO Express Stock Tumbled 12% at the Open on May 21

Shares of Chinese express delivery service ZTO Express (NYSE: ZTO) fell sharply at the start of trading on Wall Street on May 21, losing as much as 12% of their value in the first half hour of the day. The reason for the drop was the company's release of earnings on May 20, after the market close.

ZTO Express' first-quarter results were pretty bad, with revenue off by about 14% year over year. Gross profit fell 35%, and net income declined a touch over 45%. Adjusted earnings per American depository share was $0.12, a decline of 33% from the same quarter in 2019. Investors were clearly displeased with the business downturn.

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Source Fool.com