Shorts Expect Eroding Margins in Fastenal Earnings

Fastenal Co (FAST) is due to release Q3 earnings on Monday 12th October.

The market will be looking for any evidence of margin pressure and the management guidance will be closely scrutinized.

The Short Interest (as measured by Percent Shares Outstanding On Loan) for Fastenal Co has risen over the past month and now stands at 14%.

Fastenal Co Utilization is 62% which is significantly higher than the North American Capital Goods sector average of 10%.

To download the whole article click here.

Comments

[user497918:]

On October 12, 2009 Fastenal reported earnings of 32 cents. It is a prime example of how overbought the stock market. Fastenal stock ran up 50% since March 6, 2009. It is now up 25% since they last reported earnings on July 13. The earnings reported are up 10%. In an overbought market a 10% earnings increase translates into a 25% stock increase. (For longer perspective, Fastenal stock is up 20% since January earnings. BUT, the most recent earnings are down 24% since January.)

Oct 13 01:53 AM