Moog Lowers Guidance

We got our first disappointment of this earnings season. Moog ($MOG-A) said today that it’s lowering its full-year guidance. The previous range was $3.50 to $3.70 per share. The new range is $3.50 to $3.60 per share. That’s honestly not that bad and the CEO was quite candid:

“We’re off to a slow start in 2013,” said John Scannell, CEO. “The weakness in the major economies around the world is affecting our industrial business. On the other hand, the aircraft market is strong. We have moderated our forecast for the year slightly but we are still projecting growth in both sales and earnings in 2013, despite the headwinds in our industrial markets.”

Quarterly revenues were up 3% to $621 million. Net earnings dropped 6% to $34 million. On a per-share basis, Moog made 75 cents last quarter. Since no one follows them, I can’t say if that beat or missed expectations.

At one point early in today’s trading, Moog was as low as $40.06 which is a drop of 11.6%. The stock, however, quickly recovered and is now down 60 cents which is a loss of 1.3%. If you own Moog, there’s no need to worry about today’s news. The stock still looks good for the long-term.

Posted by on January 25th, 2013 at 9:57 am

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