Volcom Share is Reasonable
Posted by Robin | Filed under Business, company
From Motley Fool’s Alyce Lomax:
Volcom’s third-quarter profits and revenues were undeniably good. Net income increased by 43% to $14.5 million or $0.59 per share, and revenues jumped 49% to $91 million. The company’s stepped-up European operations contributed $26 million to the revenue growth, although continued investments in European infrastructure contributed to a 49% increase in SG&A expenses.Personally, I’m impressed by Volcom and its clever, authentic branding to the board sports crowd. I’m also aware it’s one of those high-growth stocks that wipes out when it disappoints high expectations. Given the tough macro environment, conservative investors might wait to see if the fourth quarter presents an opportunity to buy shares cheaper, but given its high-growth history, I don’t think it’s unreasonable to go shopping for Volcom shares on this dip right now.
Summaries at Yahoo Finance.
