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

ATMI Inc. (NASDAQ:ATMI) 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 8.61%.

ATMI Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 17.14% to $0.29 in the quarter versus EPS of $0.35 in the year-earlier quarter.

Revenue: Decreased 3.68% to $102 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: ATMI Inc. reported adjusted EPS income of $0.29 per share. By that measure, the company missed the mean analyst estimate of $0.34. It missed the average revenue estimate of $107.93 million.

Quoting Management: “Our second quarter results reflect a mixed demand environment in Microelectronics and continued momentum in LifeSciences, resulting in revenues that are up sequentially but lower than last year,” said Chief Executive Officer Doug Neugold. “Within Microelectronics, we view the market as generally tepid. Leading edge foundries continue to be strong, while there were meaningful wafer start declines in the logic space, which impact certain of our product lines. LifeSciences achieved record revenue due to growth across most product lines as the business continues to benefit from the adoption of single-use technology. We continued to make progress on commercializing our electronic waste recovery solution, eVOLV(NYSE:TM) by signing another agreement during the quarter, our first in Asia.”

Key Stats (on next page)…

Revenue increased 2.61% from $99.41 million in the previous quarter. EPS increased 11.54% from $0.26 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.42 to a profit $0.43. For the current year, the average estimate has moved down from a profit of $1.48 to a profit of $1.46 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)

More Articles About:   , , ,  

More from The Cheat Sheet