On Friday morning, analysts at both American Technology Research and Caris & Co. downgraded shares of Micosemi (NASDAQ:MSCC). Well, lo and behold, after the close of trading on Friday the company said revenue for the fourth quarter would be flat to up 2% compared with the third quarter, with non-GAAP earnings fo 25-27 cents a share. The Street had been expecting 32 cents a share for the fourth quarter. The company has previously forecast earnings of 29 cents to 31 cents a share, with a 7-9 percent sequential revenue increase.
Here’s the company’s explanation:
The Company attributed the shortfall primarily to weakness in the overall market. The market weakness is generally across the board with no one market standing out. Order rates have been generally strong, but turns business expected in the quarter have not materialized to original forecast.
Microsemi shares, which had dropped $2.86 to $22.77 in Friday’s regular session, fell another $1.69 in Friday’s after hours session.