stocks always lag in their response to these things. It is one of those irrationalities that one grows used to. As a comopany does what it has to do to become profitable (cost-cutting), the investor does not react immediately, in fact takes it as a negative sign. Stock price goes down. There is a reason.. cost-cutting costs money in the short-term (.. yes that is right) in the short term.
No point being smarter than the average investor. Rely on their stupidity. You are being too smart for your own good.