Caesarstone Surges to Record as Sales Beat EstimatesJessica Summers
Caesarstone Sdot Yam Ltd., the Israeli maker of quartz countertops, jumped to a record in New York after reporting second-quarter revenue that beat estimates.
Shares of Caesarstone surged 13 percent to $40 at 11:32 a.m. in New York, the highest price since the company’s March 2012 U.S. initial public offering. Trading volume was three times the daily average of the past 90 days. The company is the best performer on the Bloomberg Israel-US Equity Index of the most-traded Israeli companies in New York this year with a 150 percent advance.
The company reported second-quarter sales of $89 million, beating the $84.7 million average estimate of two analysts surveyed by Bloomberg. Caesarstone forecast 2013 earnings before interest, taxes, depreciation and amortization of $82 million to $85 million, compared with a projection of as much as $80 million in May.
“We had been looking for a lot of the positive trends that we saw emerge in the second quarter to happen and they actually came through stronger than we would have expected,” Stephen Kim, an analyst at Barclays Plc, who rates the stock the equivalent of buy, said by telephone from New York. “We’re feeling pretty good about the back half of the year.”