Nordson Corporation (NASDAQ:NDSN)
Nordson Corporation (NDSN), a leading supplier of precision technologies for ambient temperature material dispensing company yesterday reported their fiscal third quarter 2017 financial results.
Nordson reported adjusted third quarter earnings of $1.78 per share which beat analyst expectations of $1.66 per share with revenues coming in at $589.4 million which also beat analyst expectations of $575.6 million.
Nordson Corporation CEO’s Comments
“Nordson delivered the strongest quarter in its history with excellent organic growth across the business, strong contributions from recent acquisitions, and continued execution by our global team. Robust customer demand for our technology in all segments and nearly all geographies drove organic revenue growth of 11 percent in the third quarter compared to the prior year period, exceeding the high end of our expectations. We also continued to execute on continuous improvement initiatives across the enterprise during the quarter employing tools from the Nordson Business System.” Motley Fool
NDSN Technical Analysis
NDSN opened trading yesterday at $123.93 which was down from the previous day’s trading close of $124.13. NDSN closed trading yesterday at $125.12 and spiked down after market to $112.35, equivalent to a 10% decrease from the closing price. Taking a look at the daily chart we can see the last time NDSN traded below these levels we have to go back to January 23rd when it traded at $111.44.
Taking a closer look at the daily chart we can see that before the spike down NDSN had been in an overall upward trend dating back to June 7th when it traded at $114.28. NDSN has a float of 50.64 million shares and traded 1.28 times the normal daily trading volume on Monday.
For trading purposes, I would like to see NDSN open trading on Tuesday below $116.50 and if it does I would be looking to take a short position at the bell. My stop order would be $1.00 from my entry position fearing anything more than that and the stock would start to fill in the gap down.
Company Profile
Nordson Corporation engineers, manufactures, and markets products and systems to dispense, apply, and control adhesives, coatings, polymers, sealants, biomaterials, and other fluids. Its Adhesive Dispensing Systems segment provides dispensing, coating, and laminating systems for applying adhesives, lotions, liquids, and fibers to disposable products and continuous roll goods; and assembling plastic, metal, and wood products in paper and paperboard converting applications, as well as manufacturing continuous roll goods.
This segment also offers automated adhesive dispensing systems for packaged goods industries; and components and systems used in the thermoplastic melt stream. The company’s Advanced Technology Systems segment offers automated dispensing systems for attachment, protection, and coating of fluids, as well as related gas plasma treatment systems for cleaning and conditioning surfaces prior to dispense; precision manual and semi-automated dispensers, plastic molded syringes, cartridges, tips, fluid connection components, tubing, and catheters to apply and control the flow of adhesives, sealants, lubricants, and biomaterials; and bond testing, and automated optical and X-ray inspection systems for use in the electronics, medical, and related industries.
Its Industrial Coating Systems segment provides automated and manual dispensing products and systems to apply multiple component adhesive and sealant materials; dispensing and curing systems to coat and cure containers; systems to apply liquid paints and coatings to consumer and industrial products; and systems to apply powder paints and coatings to metal, plastic, and wood products, as well as ultraviolet equipment for use in curing and drying operations for specialty coatings, semiconductor materials, and paints.
The company markets its products through its direct sales force, distributors, and sales representatives worldwide. Nordson Corporation was founded in 1935 and is headquartered in Westlake, Ohio.