AptarGroup Earnings: Here’s Why the Stock is Falling Now

AptarGroup, Inc. (NYSE:ATR) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 0.58%.

Markets are at 5-year highs! Discover the best stocks to own. Click here for our fresh Feature Stock Pick now!

AptarGroup, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 0% to $0.64 in the quarter versus EPS of $0.64 in the year-earlier quarter.

Revenue: Rose 4.24% to $617.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: AptarGroup, Inc. reported adjusted EPS income of $0.64 per share. By that measure, the company missed the mean analyst estimate of $0.66. It missed the average revenue estimate of $630.9 million.

Quoting Management: Commenting on the quarter, Stephen Hagge, President and CEO, said, “Looking at our sales for the quarter, our Beauty + Home segment was negatively affected by weak volumes in the U.S. beauty and personal care markets. Our Pharma segment was negatively impacted by the anticipated softness in the U.S. generic allergy market and also decreased demand from the European consumer health care market. Aptar Stelmi had a terrific quarter and contributed approximately $35 million in sales. Demand for our Food + Beverage dispensing systems was strong in the quarter. Also, lower custom tooling sales across each segment had a negative effect on our core sales growth. Our operations in Latin America and Asia posted another quarter of strong growth.”

Key Stats (on next page)…

Revenue increased 8.08% from $571.44 million in the previous quarter. EPS increased 16.36% from $0.55 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.73 to a profit $0.72. For the current year, the average estimate has moved down from a profit of $2.79 to a profit of $2.76 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)