Why Powell Industries Surged, Then Plunged on Wednesday
Shares of electrical power control station designer and manufacturer Powell Industries (NASDAQ: POWL) initially surged on Wednesday, only to fall again, ending up down 10.3% as of 1:13 PM EDT.
Powell reported fiscal fourth quarter earnings last night that actually beat expectations and showed nice growth, spurring the initial surge in the stock; however, it appears as the underlying order intake was softer than expected, and down on a quarterly basis, leading to the reversal.
Powell's traditional end-markets were in Oil and Gas and Petrochemicals, but it's now becoming a player in the Electric Utility markets for the AI data center buildout, so investors may want to look at this stock on the pullback.
Source Fool.com
