Westport Fuel Rides On Alternate Fuel Systems Amid Cost Woes
Zacks Investment Research | Apr 16, 2019 08:35AM ET
We issued an updated research report on Westport Fuel Systems Inc. (NASDAQ:WPRT) on Apr 15.
This Canada-based company is a developer, manufacturer and supplier of advanced alternative fuel systems and components. In fourth-quarter 2018, Westport Fuel’s net loss from continuing operations missed the Zacks Consensus Estimate while consolidated revenues surpassed the same. The figures improved from the year-ago quarter. Huge demand for appropriate fuel systems and components are driving the company’s growth momentum.
In fact, with growing demand for environment-friendly vehicles among customers, original equipment manufacturers (OEMs) are expanding alternative fuel vehicle offerings. This has in turn resulted in strong demand for appropriate fuel systems and components. This actually positions Westport Fuel favorably, with a suite of market-ready alternative fuel products across all segments of transportation.
However, in 2018, the company’s SG&A expenses rose 6% year over year to $67 million. This rise was primarily due to restructuring activities and legal costs. Continuous rise in expenses is hurting the company’s bottom line despite top-line improvements.
Shares of Westport Fuel have outperformed the Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.