After Hours Movers : The same suspects are lower -- communications chips leading the way behind AMCC's earnings warning... AMCC -1.09, PMCS -0.59, VTSS -0.43, BRCM -0.57. ASYT -1.46 also lower on its convertible debt announcement. SFNT -2.50, CTIX -5.39 also getting hammered in the late session.
Finisar Corp (FNSR) 15.27 +0.40: Finisar President Jerry Rawls to sell 1.5 mln shrs for about $19.5 mln according to SEC filing; approximate sale date is/was June 19; the filing reports the intent to sell and does not confirm it.
Applied Micro (AMCC) 14.20 +0.34: -- Update -- Conference call ends; not much new information other than the CEO's caution against seeing slower cancellations as a positive sign; no guidance offered beyond the June qtr. Stock off 1.10 after hours to 13.10. See Story Stocks shortly for more.
Applied Micro (AMCC) 14.20 +0.34: -- Update -- On conference call, company does not provide guidance beyond Q2. CEO says that while backlogs have slowed in absolute dollar terms, they have not subsided and there is simply less backlog to cancel; he cautions analysts against using slower cancellations as a reason for optimism. Notes that customers have not worked off inventories in Q2 to the extent desired. He hopes for a stabilization in AMCC revenues this year, but has no tangible signs of one yet.
After Hours Indications : Futures trading carries a slightly negative bias on the back of AMCC's warning. S&P futures at 1223, trade three points under fair value while Nasdaq 100 futures at 1756, trade four points below fair value.
Intl Paper (IP) 35.40 -0.60: Announces plans to lay off 3,000 workers, or 10%, of its domestic workforce.
After Hours Movers : Applied Micro Circuits' warning has generated late session sell pressure on commuication IC's. Changes vs. closing prices... AMCC -0.85, PMCS -1.00, VTSS -0.18, BRCM -0.50. ASYT -1.02 also on the defensive after announcing a potential convertible debt offering. Other movers include SFNT -1.50, XOMA -0.20,
Applied Micro (AMCC) 14.20 +0.34: -- Update -- Stock reopens for trading down 1 pt at 13.20.
Applied Micro (AMCC) 14.20 +0.34: -- Update -- Warning had been widely expected, though the magnitude was nevertheless severe. Just last week, Goldman Sachs cuts its estimates on AMCC to $60 mln in revenues and a loss of a penny; today's guidance is significantly worse. Reflecting the fact that a warning had been largely discounted, however, we are seeing only modest declines in comparable stocks after hours (changes vs close): PMCS -1.4, VTSS -0.4, BRCM -0.7.
Cheap Tickets (CTIX) 16.19 -0.03: Company warns for Q2; expects to post net income of $0.04-$0.05 a share vs $0.22 consensus; puts revenues at $27.5-$29 mln; cites lower-than-expected percentage of non-published ticket sales.
Avistar (AVSR) 1.60 -0.12: Company warns for Q2; sees revs $3.4-3.7 mln vs. consensus est of $6 mln; "The weak economy continues to cause our customers to defer decisions to implement new, or expand existing, Avistar networks;" .
XOMA Limited (XOMA) 15.04 +0.35: Hearing trading floor talk that a spot secondary offering on XOMA will be priced tonight.
SafeNet (SFNT) 9.65 +0.35: Company warns for Q2; sees loss of $0.09-0.13 vs. current EPS estimate of $0.03; cites continuing effects of current economic slowdown.
Applied Micro (AMCC) 14.20 +0.34: Company warns for Q1, sees revenue of $40-$45 mln vs. First Call consensus of $73 mln and pro forma net income as $0.04-$0.06 per share loss vs. First Call consensus of breakeven; "Current business conditions continue to be very poor. New order activity has remained weak throughout the quarter and our overall backlog has declined. The magnitude of this downturn is greater than we, or our customers anticipated, and the progress in reducing excess inventory in the channel appears to be slower than they originally thought." Watch for sympathetic reaction from sector peers PMCS and BRCM. |
