The shares of Worthington Industries have jumped nearly 8% this afternoon following the company's better-than-expected profit report, outpacing a rally in steel stocks. The steel processor reported that its fiscal first-quarter profit that fell 53% but topped analysts' forecasts. Worthington also announced further cost-cutting initiatives, including closing some steel framing shops. The firm reported earnings of $20.2 million, or 24 cents per share, while sales fell to $759 million, dragged down by lower pricing in its steel processing and metal framing businesses. Analysts have predicted a profit of 22 cents per share on sales of $669 million.
The stock has tagged an annual high of $23.57 this morning, but has since pulled back to hover close to the 23 level. This area has served as resistance on a number of occasions in the past, and could continue to be troublesome if the stock does not enjoy a solid close above this area today.
In options trading today, the stock's most active call is the October 22.50, with more than 1,000 contracts crossing the tape on open interest of 1,643 contracts. Meanwhile, the November 22.50 put is the most active on the other side of the coin, with only 581 contracts changing hands on open interest of just 10 contracts.