Mohawk Industries is shown Wednesday, June 19, 2019, in Calhoun, Georgia.The stock of the world’s biggest floorcovering maker hit the floor Friday after warning that it faces a tough market for the carpets, tiles and hardwood flooring it sells around the globe.
Shares of Mohawk Industries Inc. plunged 17.6%, or $27.52 per share, in trading Friday. The Calhoun, Georgia company headed by Chattanoogan Jeff Lorberbaum lost nearly $2 billion in market value and was the biggest percentage loser of any stock traded on the New York Stock Exchange on Friday.
The plunge in the stock market for Mohawk is similar to a nearly 24% drop in the company’s stock in one day following the release of its third quarter earnings last October.
After the market closed Thursday, Mohawk announced second quarter earnings that were ahead of most analysts forecasts. But Loberberbaum warned that it faces a “difficult” business environment in the second half of 2019.
“Most markets we operate in remain soft, with pressure on volume and pricing, and we anticipate the environment to remain difficult,” Lorberbaum said in the latest quarterly earnings report.