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With earnings season upon us, the volatility has picked up and it shows in the size of the losses of stocks posting big losses on the day.

Travelzoo (TZOO) fell 35% after it announced disappointing Q2 results. The company said that revenue was $37.6 million, an increase of 34% y/y. Operating profit was $7.6 million, up 29% y/y. Net income was $4.9 million, with EPS of $0.30, up from $0.20 in the prior-year period. Analysts forecast EPS of $0.38. The company added that it ran a television advertising test during the quarter, which negatively impacted earnings per share by approximately $0.07.

NetSol Technologies (NTWK) tumbled 29% after it provided a weak FY11 outlook. NetSol anticipates total revenue for the 2011 fiscal year will be in the range of $35 million to $36 million. Additionally, the company believes earnings per diluted share will be in the range of $0.11 to $0.13. Previously, NetSol said that it expected total revenue for the fiscal year to be in the range of $40 million to $44 million, and per share earnings to approximate $0.18 to $0.23. The company attributed the shortfall to recent geopolitical issues that contributed to a longer-than-expected sales cycle.

eMagin (EMAN) closed fell 22% after it provided a weak Q2 outlook. The company said that revenue for Q2 will be approximately $7.4 million. Although the gap between actual production and planned production narrowed during the second quarter, the company's production output still did not meet targeted levels. eMagin’s base business and demand for microdisplays remain strong. The company continues to take the necessary steps to increase production output, including adding extra shifts, preventive maintenance and installing additional equipment; a new seal machine is planned to come on-line this year. Management is confident that production should show improvement in the second half of the year. In addition, capacity and yields are projected to improve further in 2012 as the company brings its next generation OLED deposition machine on-line. Due to the lower than planned production output coupled with the delay into 2012 of two military programs totaling approximately $6.0 million in revenue, eMagin is now projecting revenue between $29.0 million and $33.0 million for fiscal 2011.

Horsehead Holding (ZINC) fell 10% after it announced a convertible offering. The company proposed to offer $80,000,000 aggregate principal amount of its convertible senior notes due 2017 in a private placement subject to market conditions and other factors. The Convertible Notes will be unsecured senior obligations of the company and will be convertible into shares of the company’s common stock, cash, or a combination of shares of the company’s common stock and cash, at the company’s election. The company intends to use the proceeds from the offering, together with cash on hand, for the initial stages of construction of a new zinc facility and general corporate purposes, including working capital needs, investment in business initiatives, capital expenditures and acquisitions.

Orsus Xelent Technologies (ORS) closed down 24% after it said that it received a delisting notice. The company reported that on July 14 it received a letter from the NYSE Amex staff indicating it is no longer in compliance with the exchange's continued listing standards and its securities are therefore subject to being delisted from the exchange. In response to this, the company said it is taking the steps necessary to request a hearing before a committee of the Exchange to appeal the staff determination. The notification from the exchange indicated the company was not in compliance with Section 1003(a)(iv) of the exchange's company guide with respect to its financial condition, which makes it questionable in the opinion of the exchange as to whether the company will be able to continue operations or timely meet its obligations.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: 5 Stocks in the Red on Thursday