EW - Why Edwards Lifesciences Stock Crashed 16% Today
Shares of medical device maker Edwards Lifesciences (NYSE: EW) fell 16.6% through 11:45 a.m. ET on Friday even though the company missed analyst targets for third-quarter earnings last night by only the slimmest of margins.
Analysts had forecast that Edwards would show earnings per share (EPS) of $0.62 on sales of $1.33 billion in last night's report. Its actual results: $0.61 in EPS and $1.3 2 billion in sales.
Is that tiny $0.01 miss really worth a 16.6% sell-off? For the fiscal third quarter, sales grew only 1%, hurt primarily by unfavorable currency exchange rates. In constant dollars, Edwards says its sales would have grown 7%.
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Why Edwards Lifesciences Stock Crashed 16% Today