Agilent Technologies, Inc. (NYSE: A)
On Monday May 14th, 2018, Agilent Technologies reported their second quarterly earnings after the market closed for trading at 4 p.m. eastern Daylight Time. Immediately the shares sold off hard as investors and traders fled their positions.
The stock had been in a decent uptrend going back to June of 2017. However, with the earnings now being reported, it appears that the shares will likely open below their 50-day moving average-breaking a key technical level that many longer term investors watch closely.
The Numbers
The company reported earnings of $212 million dollars which equals $0.65 per share. However analysts have been expecting $0.64 or share so a clear beat as far as that’s concerned.
It was in their forward revenue guidance that fell short of expectations which caused most of the sell-off in the after-hours session. Shares closed the regular training session at $69.21.
However shares fell $4.76 which is 6.88% and closed at $64.45. The company pays a relatively low dividend of $0.60 per share or 87% annually. So there is little hope that the dividend buyers will be propping up the shares when they open for trading in the morning on Tuesday.
Company Comments
Mike McMullen, Agilent CEO and president had this to say to investors;
“Again this quarter, we delivered significant earnings and cash flow growth on strong top-line results, contributing to an excellent first half of 2018. We saw strength in the Pharma and Chemical & Energy markets with 8 percent and 5 percent growth this quarter, respectively.”
“We are successfully executing on our growth strategy. On the innovation front, we are seeing strong momentum in our newly released products and are continuing to introduce highly differentiated solutions to help our customers advance their work. We are also effectively deploying our capital—the recently closed acquisitions of Genohm and Lasergen, Inc. will add new strategic capabilities to drive future growth and create value for our customers and our shareholders.”
The Chart
The above price chart shows as well as during the regular trading session on the left and the after I was section on the right.
The chart above shows Agilent going back to June of 2017. It is clear to see the upward price trend which looks to be broken as trading will resume on Tuesday morning. Shares will likely break the 50 period moving average and open in the red oval area.
Company Profile
Agilent Technologies, Inc. provides application focused solutions to the life sciences, diagnostics, and applied chemical markets worldwide. It operates in three segments: Life Sciences and Applied Markets, Diagnostics and Genomics, and Agilent CrossLab.
The Life Sciences and Applied Markets segment offers liquid chromatography systems and components; liquid chromatography mass spectrometry systems; gas chromatography systems and components; gas chromatography mass spectrometry systems; inductively coupled plasma mass spectrometry instruments; atomic absorption instruments; microwave plasma-atomic emission spectrometry instruments; inductively coupled plasma optical emission spectrometry instruments; raman spectroscopy; microfluidics based automated electrophoresis products; cell analysis plate based assays; laboratory software and informatics systems; laboratory automation; dissolution testing; vacuum pumps; and measurement technologies.
The Diagnostics and Genomics segment provides reagents, instruments, software, and consumables; arrays for DNA mutation detection, genotyping, gene copy number determination, identification of gene rearrangements, DNA methylation profiling, and gene expression profiling, as well as sequencing target enrichment services; and equipment focused on production of synthesized oligonucleotides for use as active pharmaceutical ingredients.
The Agilent CrossLab segment offers GC and LC columns, sample preparation products, custom chemistries, and various laboratory instrument supplies; and startup, operational, training, and compliance support, as well as asset management and consultation services. The company markets its products through direct sales, electronic commerce, resellers, manufacturers’ representatives, and distributors.
It has collaboration with the University of Southern California Michelson Center for Convergent Bioscience. Agilent Technologies, Inc. was founded in 1999 and is headquartered in Santa Clara, California. –YahooFinance
