Jun 06, 2005. /Lesprom Network/. Shares of Greif Inc. plunged more than 12% Friday, hurt by a weaker outlook for timber and overall sales as well as downward pricing pressure. Greif, a maker of industrial containers and containerboard, reported Thursday that second-quarter earnings doubled year-over-year, but the company's stock plummeted $9 to $65.50 in midday trading on the New York Stock Exchange. Analysts said they weren't surprised. There are broader industry trends at work, said Mark Wilde, an analyst with Deutsche Bank of North America. End markets are weak, and surveys suggest the manufacturing economy is contracting. He added that the company's stock has steadily climbed from just under $40 in September to a high of $76.89 in mid-April, and opened at $74.30 on June, 3. The company reported adjusted quarterly profit of $0.81 per share, a penny above estimates according to two analysts surveyed by Thomson Financial. Looking at the wider industry, Wilde cited a report from Institute for Supply Management. The Institute's purchasing managers index -- an indicator of the health of the manufacturing industry and its suppliers -- slipped 1.9 points to 51.4 in May. An index of less than 50 means the sector is contracting. The index has declined every month this year and fell nearly two points last month.