Why Powell Industries Surged Today

Shares of industrial power systems company Powell Industries (NASDAQ: POWL) rallied 12.7% on Wednesday as of 12:17 p.m. EDT.Powell held its earnings release last night, and while its top-line revenue figures appeared lackluster, the company did an excellent job of increasing its margins and profits. Furthermore, Powell delivered super-strong orders, giving investors visibility into future growth.In the first quarter, Powell grew revenue by just 4% to $251 million, missing expectations. However, earnings per share surged 19% to $3.40, which was well ahead of expectations. The earnings outperformance came from an increase in Powell's gross margin to 28.4%, up from 24.7% in the year-ago quarter.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool