Bloomberg News

SodaStream Sinks Most in 20 Months on First Sales Miss on Record

October 30, 2013

SodaStream International Ltd. (SODA:US), the Israeli maker of home soda machines, plunged the most since February 2012 after the company reported third-quarter sales that trailed analyst estimates.

Shares of Lod, Israel-based SodaStream sank 10 percent to $57.16 at 2:14 p.m. in New York. About 2.9 million shares traded, more than three times the average volume during the last 90 days. Ten-day volatility (SODA:US) on the stock tripled to 57.6 today, the highest since August.

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 (SODA:US) 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.”

To contact the reporter on this story: Matthew Kanterman in New York at mkanterman2@bloomberg.net

To contact the editor responsible for this story: Tal Barak Harif at tbarak@bloomberg.net


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Companies Mentioned

  • SODA
    (SodaStream International Ltd)
    • $30.09 USD
    • -0.38
    • -1.26%
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