Albany is exactly the kind of company where the shares suddenly go bump in the night.
For the three months ended in March, Albany reported a 53% plunge in net income. The company is struggling with higher research and development costs, and a decrease in interest income.
Earlier this year, Albany acquired another company, Organichem Corporation. While this will likely boost the company's revenues, it further clouds the company's earnings outlooks.
Usually when two companies tie up, the misfits and redundancies cause results to misfire for several quarters. Think about AOL and Time Warner, Daimler and Chrysler, Compaq and Hewlett Packard. It's not easy to tie two companies together.
Albany reports earnings next Tuesday. And already analysts are ratcheting down their expectations. In fact, virtually every investment banking firm that follows Albany has downgraded the stock over the last 18 months.
And the insiders are doing nothing to contradict them. Over the past six months, insiders have sold 9,000 shares of the stock. No insider has been willing to pick up a single share.
A disappointing report next Tuesday could easily push Albany over the edge.