SodaStream International Ltd., the Israeli maker of home soda machines, plunged the most since February 2012 after the company reported third-quarter sales that trailed analysts’ estimates.
Shares of Lod, Israel-based SodaStream sank 11 percent to $56.87. About 4 million shares traded today, more than four times the average volume during the last 90 days. Ten-day volatility on the stock more than tripled to 66.8 today, the highest since May.
Revenue for the three-month period ending Sept. 30 was $144.6 million, SodaStream said today, below the $145.2 million mean estimate of nine analysts surveyed by Bloomberg. It was the first time that SodaStream missed analyst estimates on on revenue since the company’s initial public offering in November of 2010. Net income fell 2.2 percent to $16.39 million from a year ago, the company said.
“The stock will be weak today given the lack of a beat on the top line and the lack of a raise to guidance,” Wendy Nicholson, an analyst at Citigroup Global Markets Group Inc., wrote in a note to clients today. “For a company that is putting up such strong growth, we think the stock deserves to trade even higher than its current valuation. We would take weakness in the stock today as a buying opportunity.”