Why Chicago Bridge & Iron Company N.V. (CBI) Stock Is Plunging Today
Chicago Bridge & Iron Company N.V. (NYSE: CBI ) stock was hit hard on Thursday following the release of its earnings report for the second quarter of 2017.
Chicago Bridge & Iron Company N.V. reported revenue of $1.28 billion during the second quarter of 2017. This is a sharp drop from its revenue of $2.16 billion from the same time last year. It also hurt CBI stock by coming in well below Wall Street's revenue estimate of $2.47 billion for the quarter.
During the second quarter of the year, Chicago Bridge & Iron Company N.V. reported losses per share of $4.22. This is a major decrease compared to its earnings per share of $1.17 for the second quarter of 2016. It also didn't come anywhere near close to analysts' earnings per share estimate of 88 cents.
Chicago Bridge & Iron Company N.V. also reported a net loss of $425.42 million in its second quarter of 2017. This is down from its net income of $123.84 million in the second quarter of the previous year.
Chicago Bridge & Iron Company N.V. also updated its guidance for 2017 to reflect its most recent quarter. It is now expecting losses per share to range from $2.98 to $2.73 on revenue between $6.81 billion to $7.11 billion. Wall Street is looking for earnings per share of $2.85 on revenue of $8.44 billion in 2017.
CBI stock also wasn't helped today by the energy company's decision to suspend its quarterly dividend. It says that this will result in annual cash savings ranging from $28 million to $30 million.
CBI stock was down 32% as of Thursday morning and is down 65% year-to-date.
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As of this writing, William White did not hold a position in any of the aforementioned securities.
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