Steelcase Inc. (NYSE: SCS)
Steelcase Inc. (SCS), a global company that designs, manufactures, and distributes an integrated portfolio of furniture settings, user-centered technologies, and interior architectural products yesterday reported their fiscal third quarter financial results with third quarter earnings coming in at $0.34 per share. Steelcase reported third quarter revenues of $786.5 million and also announced its projected earnings for the fourth quarter to be in between $0.22 to $0.26 per share. The company projects fourth quarter revenues to be in between $735 and $760 million.
Steelcase Inc. CEO’s Comments
“We were pleased to see our revenue growth in the Americas return to exceeding the industry for the first two months in the quarter, based on the most current information available from our industry association,” said Jim Keane, president and CEO. “We saw growth in our day-to-day business and continued year-over-year strength in our project pipeline, driven by new product introductions and other strategic actions we have taken over the past year. The growth in our day-to-day business fell somewhat short of our expectations, and we are targeting additional actions to buoy this business.” Globe Newswire
SCS Technical Analysis
SCS opened trading yesterday at $16.45 which was up from the previous day’s trading close of $16.25. SCS closed trading yesterday at $16.80 and crashed down after market to $15.45, equivalent to a 8% decrease from the closing price. Taking a look at the daily chart we can see that the last time SCS traded below these levels we have to go back to December 2nd when it traded at lows of $15.40. Taking a closer look at the daily chart we can see that before the spike down SCS had been in an overall upward trend dating back to November 4th when it traded at $13.05. SCS has a float of 84.29 million shares and traded 1.27 times the normal daily trading volume on Tuesday. For trading purposes, I would like to see SCS open trading on Wednesday below $16 and if it does I would be looking to take a short position at the bell. My stop loss would be $0.20 from my entry position fearing anything more than that and the stock would start to fill in the gap down.
Steelcase Inc. designs, manufactures, and distributes an integrated portfolio of furniture settings, user-centered technologies, and interior architectural products. The company operates through Americas, EMEA, and Other Category segments. Its furniture systems portfolio comprises panel-based and freestanding furniture systems; and complementary products, such as storage, tables, and ergonomic worktools. The companys seating products include ergonomic chairs; seating for collaborative or casual settings; and specialty seating for specific vertical markets, such as healthcare and education. Its interior architectural products consist of full and partial height walls and doors. The company also manufactures and sells surface materials consisting of textiles and wall coverings to architects and designers; and ceramic steel surfaces primarily for third-party fabricators and distributors to create static whiteboards and chalkboards. In addition, it provides workplace strategy consulting, lease origination, furniture and asset management, and hosted space services. The company markets its products to corporate, government, healthcare, education, and retail customers under the Steelcase, Coalesse, Designtex, PolyVision, and Turnstone brands. It distributes its products and services through a network of independent and company-owned dealers, as well as directly to end-use customers. Steelcase Inc. was founded in 1912 and is headquartered in Grand Rapids, Michigan. Yahoo Finance