Diamonds and Dogs
2/5/2013Arch Coal Inc. (ACI)
Arch Coal is imploding today, down 12.91% at $6.04. The coal production company saw its shares burn up after it missed on earnings. For the fourth quarter, Arch Coal lost $295.4 million or $1.39 per share. That compares with a profit of $70.9 million or $0.33 per share a year ago. Analysts were expecting better results, with forecasts for a loss of $0.17 per share on revenue of $99.2 million. Management said the loss was larger than expect because of a soft global economy that cut into coal demand, and cheap natural gas becoming more widely used. Arch Coal shares were able to hold on enough to say above its 52-week low of $5.16.
Revlon Inc. (REV)
Revlon is looking good to investors today, up 18.13% at $18.31. The cosmetic company saw its shares gain momentum after crushing earnings estimates. Revlon announced revenue of $391.3 million with an EPS of $0.89. Analysts' estimates were blown away; forecasts were for revenue of $380.4 million or $0.73 per share. The company seems to have beat estimate due to wider margins than last year. Gross margin was 64.4%, 170 basis points better than the prior-year quarter. Operating margin was 21.0%, 230 basis points better, and Net margin was 11.9% which is 180 basis points better. Revlon set a new 52-week high today, by $0.32.