Q: Your thoughts on their most recent quarter? I thought it looked pretty good. Why the big drop
5i Research Answer:
EPS of $1.94 best estimates of $1.91; revenue of $1.04B was marginally below estimates. EBITDA of $200M beat estimates by 1.6%. Sales rose 8%; Profit rose 10%. Utility poles and rail ties were strong, lumber and log sales were weak. We would not consider the results 'bad' but investors were looking for more and higher margins. The stock has been strong and is up 31% in the past year and we would consider the outlook to still be solid overall.