CRR Fell Down Upon Reporting 4Q Results

CARBO Ceramics Inc. (NYSE:CRR) hit the list of major downgrades and lost 20.63% or $27.03 per share.

After hitting its weekly high of $134.56 on Tuesday (January, 24) CRR experienced a drop of more than 20.00% after announcing the fourth quarter report result and earnings for the fiscal year 2011. Consequently CRR ended up at $104.00 before the closing bell on Thursday (January, 27). At the recent closing price the company’s market capitalization stands at $2.40 million which refers the company to a group of mid cap companies. Following the unusual move in the share price backed up by stock selling and buying signals as many as 5.73 million shares exchanged hands. This is more than ten times higher than the company’s average trading volume of 492,255.00 shares.

The company’s beta is now equal to 0.87 which indicates that the stock is less volatile than the market and refers to the group of low risk companies.

Earlier the same day CRR reported its net income of $33.1 million which is $1.43 per diluted share. According to the full year results, the company’s revenues gained 32% or 152.6% as compared to the same period in 2010. The raise in revenues can be mainly accounted for by the growing proppant sales volume as well as the raise in the proppant selling price. Furthermore, the company’s net profit for the year 2011 raised by 65% or $51.4 as compared to the corresponding results in 2010.

According to the company’s CEO, in 2012 CRR is believed to balance and strengthen its positions in the market.

CARBO Ceramics Inc. is a representative of the Oil Well Services and Equipment industry of the Energy sector. The company is focused on delivering ceramic proppant of five different types. Furthernore, it provides its services and products to the companies engaged in oil and natural gas service companies.