SIFCO Industries: The Market Is Focused On The Wrong Numbers
SIFCO Industries reported 18% revenue growth in Q3, with nine-month revenue up 23.5% and record backlog of $164 million, up 26% year-over-year. Q3 margins were affected by LIFO accounting and an unfavorable ERC comparison, which the author says does not justify the 25% post-earnings decline.
Why it matters — A SIF watcher would care because the article argues the market's negative reaction overlooks the company's strong revenue growth and record backlog, suggesting the post-earnings selloff may be misplaced.