Why Did Ferroglobe Plunge 10.64%?

Ferroglobe's stock price plummeted by 10.64% during pre-market trading on August 6, 2025, marking a significant decline for the company.

Globe Specialty Metals (GSM), the parent company of Ferroglobe, reported a quarterly loss of $0.08 per share for the second quarter of 2025, which was significantly worse than the expected loss of $0.02 per share. This loss compares to earnings of $0.13 per share a year ago, indicating a substantial decline in the company's financial performance. The company's revenue for the quarter was $386.86 million, missing the consensus estimate by 2.8%.

The company's earnings surprise of -300.00% for the quarter reflects a significant underperformance compared to analyst expectations. Over the last four quarters, Globe Specialty Metals has only surpassed consensus EPS estimates once, highlighting a consistent struggle to meet market expectations. The company's inability to beat consensus revenue estimates over the last four quarters further underscores its financial challenges.

Investors are closely watching management's commentary on the earnings call to gauge the sustainability of the stock's immediate price movement. The company's stock has added about 1.8% since the beginning of the year, underperforming the S&P 500's gain of 7.6%. The earnings outlook for Globe Specialty Metals is unfavorable, with a Zacks Rank #4 (Sell) indicating that the stock is expected to underperform the market in the near future. The current consensus EPS estimate for the coming quarter is $0.19 on $451.7 million in revenues, while the estimate for the current fiscal year is -$0.06 on $1.58 billion in revenues.