GTLS - 3 Reasons to Buy Chart Industries After Earnings
When Chart Industries (NASDAQ: GTLS) reported third-quarter results on Oct. 17, it left investors generally unimpressed. Earnings and revenue were relatively close to expectations, but management cut guidance for the fourth quarter, lowering its expectations for full-year earnings by about 8%. Taking it out to 2020, Chart also slashed its best-case guidance for 2020 earnings.
Add it all up, and investors have become far less optimistic about Chart's prospects. Its stock price has lost almost 35% of its value over the past six months as pessimism sets in, as well as the tendency for stocks like Chart, with heavy exposure to the energy industry, to follow oil prices up or down.
After taking a closer look at Chart's results, what management said on the earnings call, and how its guidance has changed -- or, more importantly, why it changed -- it looks as if Mr. Market's pessimism has created an excellent opportunity for long-term investors who see the bigger picture to buy shares now. Keep reading to learn my three top reasons Chart Industries is worth buying now.