Why Badger Meter Stock Is Sinking Again Today
Shares of leading water management and advanced metering infrastructure (AMI) provider Badger Meter (NYSE: BMI) are down 10% as of 11 a.m. ET on Wednesday following the company's fourth-quarter earnings release. For the full year, revenue, earnings per share (EPS), and free cash flow (FCF) grew by 11%, 13%, and 19%, respectively. However, Badger Meter's sales only rose by 8% in Q4 -- and just 2% on an organic basis -- and it fell short of Wall Street's guidance, prompting today's decline. The stock is now down roughly 30% over the last year, following today's slide.
I certainly understand the market's reaction today. Badger Meter's $221 million in Q4 sales was $11 million short of expectations. This miss is quite large. However, I'd argue a lot of things are going right operationally for Badger Meter:
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Source Fool.com
