Why Powell Industries Stock Is Surging Today
Heavy equipment manufacturer Powell Industries (NASDAQ: POWL) easily beat expectations in its most recent quarter thanks to strong demand from energy customers. Investors are excited about the beat and the backlog of future business, sending Powell shares up as much as 40% on Wednesday.
Powell designs and manufacturers electrical systems for a range of end markets, including utilities, oil and gas producers, refineries, and liquefied natural gas (LNG) facilities. The company earned $1.52 per share in its fiscal third quarter ending June 30 on revenue of $192 million, beating earnings expectations by $0.86 per share and revenue by $21 million.
The sales figure was up 42% year over year. Powell also improved profitability, reporting a gross margin up 810 basis points from last year to 22.2%.
Source Fool.com
