What Happened:
Shares of waste and recycling services provider Quest Resource (NASDAQ:QRHC) fell 8.2% in the morning session after the company reported second quarter earnings results. Its revenue unfortunately missed and its EPS fell short of Wall Street's estimates. Adjusted EBITDA did come in in line with expectations, which is a bit of a relief. Overall, this was a mixed but weaker quarter for Quest Resource.
The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy Quest Resource? Access our full analysis report here, it's free.
What is the market telling us:
Quest Resource's shares are not very volatile than the market average and over the last year have had only 14 moves greater than 5%. In context of that, today's move is indicating the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.
Quest Resource is up 6.5% since the beginning of the year, but at $7.75 per share it is still trading 27.3% below its 52-week high of $10.66 from May 2024. Investors who bought $1,000 worth of Quest Resource's shares 5 years ago would now be looking at an investment worth $3,326.
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