Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Gran Tierra Energy jumped 10% today after the company released earnings.
So what: Revenue jumped 32% from a year ago to $205.4 million and net income swung from a loss to a profit of $57.9 million, or $0.20 per share. Analysts only expected $180.1 million in revenue and $0.16 per share in earnings.
Now what: Increased production drove the results and offset a slight decline in realized price per barrel of oil. This strong showing is the third consecutive quarter the company has beaten estimates and completes a full year of profitable operations. I don't think investors have priced in the upside for Gran Tierra Energy, and with operations moving forward quickly, the stock can move higher as profits grow.
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The article Why Gran Tierra Energy's Shares Popped originally appeared on Fool.com.Motley Fool contributor Travis Hoium has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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