What Happened?
Shares of engineered products manufacturer ESCO (NYSE:ESE) jumped 21.6% in the afternoon session after the company reported strong fourth-quarter results and provided optimistic EPS guidance for the next quarter, which beat analysts' expectations. The quarter was also solid as sales and EPS outperformed Wall Street's estimates. Notably, sales accelerated, and the improvements were broad-based. Overall, this was an impressive quarter.
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What The Market Is Telling Us
ESCO’s shares are not very volatile and have only had 3 moves greater than 5% over the last year. Moves this big are rare for ESCO and indicate this news significantly impacted the market’s perception of the business.
ESCO is up 21.6% since the beginning of the year, and at $159.93 per share, has set a new 52-week high. Investors who bought $1,000 worth of ESCO’s shares 5 years ago would now be looking at an investment worth $1,559.
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