Diamonds and Dogs
8/7/12WMS Industries Inc. (WMS)
WMS Industries picked losing numbers today, down 17.74% at $15.02. The video lottery/gaming machine company saw its shares flop after it released that net income for the fourth quarter missed estimates. The company reported that net income was $22.1 million, or 40 cents per shares, missing analysts' expectations of 45 cents per share. Furthermore, revenue fell 4% to $195.9 million down from 203.2 million. Nomura Equity Research's, Harry Curtis, cut WMS Industries to "Reduce" from "Neutral" and slashed its price target to $13 from $22, citing growing competition. WMS hit a new 52-week low and saw its largest loss since August 2004. Investors of WMS aren't scratching off a winner today.
Fossil Inc. (FOSL)
Fossil Inc. was resurrected today, gaining 31.49% to $91.77. The company saw its shares gain an astonishing $21.98 after releasing quarterly results and outlook that crushed analysts' estimates. Fossil posted an EPS of $0.92, versus the consensus estimate of just $0.78. Furthermore, the fashion company went on to increase their full year outlook, management now sees an EPS of $5.29 to $5.34 compared to Wall Street's view of $5.28. CEO, Mike Kovar, said, "We believe we are well positioned in the second half of the year to execute our growth strategies and capitalize on our owned infrastructure and exceptional talent to further advance our market penetration for fashion watches and accessories worldwide." After losing around 40% in early May, Fossil has emerged from the dirt, shining.