Lufkin Industries (LUFK) is tumbling after the company reported second quarter earnings per share that came in below its guidance and analysts' consensus estimate. Lufkin also reduced its 2012 earnings per share guidance. The company said that its second quarter results were negatively impacted by labor unrest in Argentina. In addition, low natural gas prices hurt its ILS and PH divisions, which supply plunger lift, gas lift and hydraulic lift equipment. Lufkin's profitability was also hindered by higher than expected post-implementation costs for its new SAP system. On a positive note, Lufkin said bookings for its oilfield segment continued to perform well, with strong demand for new pumping unit, automation and service revenues in the Bakken, Eagle Ford Shale and Permian Basin. However, Lufkin plunged $12.53, or 21.12 % to $46.80 in mid-afternoon trading. Other companies that supply lifts for natural gas production also dropped, with Weatherford (WFT) falling 1.74% to $12.39 and Flotek (FTK) retreating 2.59% to $10.14.
America has no tolerance for wealthy people griping about their financial woes. But they have concerns too.