First Solar HALTS Deliveries and 4 Heavily Traded Shares On the Move
Ciena Corporation (NASDAQ:CIEN): Shares of Ciena (NASDAQ:CIEN) fell over 16% this morning after reporting Q3 results. The company reported Q3 adjusted EPS (4c) vs. 8c a year ago. Revenue came in at $474.1M, above the $435.3M the company reported a year ago. Analysts expected EPS of (2c) on revenue of $473.88M. CEO Gary Smith says the company is experiencing the effects of ongoing macroeconomic challenges, as well as slower-than-expected roll-outs of new design wins. On the company’s earnings conference call, Smith said that the tone of the global economy has “clearly” grown increasingly more cautious over the past couple of months, adding that Europe deteriorated somewhat; Smith says North America has held steady, but customers are exercising “a little more caution.” Smith says he doesn’t expect the economy to improve dramatically in the near-future, but says the company’s view of its long-term opportunity is unchanged. Looking ahead, Ciena expects Q4 revenue of $455M-$480M, below analysts’ estimates of $499.49M. Additionally, Ciena sees Q4 adjusted gross margin of approximately 40% and guided Q4 operating expense in the low $180M range. Ciena is down $2.75, or 16.45%, to $13.97 in mid-morning trading.
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Facebook Inc (NASDAQ:FB) stock advances after influential Piper Jaffray analyst Gene Munster wrote in a note to investors earlier in the day that negative sentiment regarding the stock has most likely reached its worse. Two items may improve the company’s press coverage, wrote Munster, and he stated that Facebook could be one of the best large tech stocks to own at this time.The analyst thinks that Facebook may get a boost from the release of a “Want” button soon, while its improved mobile monetization trends may help in giving the company a lift. Although Facebook faces lockup expirations in November, which may allow insiders to sell their holdings in the company, history indicates that such events have limited impacts on the stocks, Munster added. The analyst reiterated a $41 price target and Overweight rating on the stock. In early trading the shares rose 18c to $19.28.
First Solar, Inc. (NASDAQ:FSLR) has paused deliveries to the world’s largest photovoltaic power plant, Arizona’s Agua Caliente project, due to construction that is ahead of schedule, states the plant’s construction manager, and reported Bloomberg. The Fly mentions that shares of First Solar have fallen 11.65 percent to $21.38 in late morning trading.
Cisco Systems, Inc. (NASDAQ:CSCO): Several networking equipment makers are retreating following Ciena’s (NASDAQ:CIEN), which develops communications networking products, report of lower than expected Q3 earnings per share and low Q4 revenue guidance that came in below analysts’ consensus estimate. Ciena stated that it has been hurt by the macroeconomic slowdown and slower than expected launches of new design wins. In late morning trading, Juniper (NYSE:JNPR) fell 4.27 percent to $17.69, Finisar (NASDAQ:FNSR) dropped 5.58 percent to $14.55, JDS Uniphase (NASDAQ:JDSU) decreased 4.44 percnet to $11.23, Tellabs (NASDAQ:TLAB) declined 2.90 percent to $3.52, Cisco (NASDAQ:CSCO) dropped 1.43 percent to $18.92, and Oclaro (NASDAQ:OCLR) fell 3.85 pecent to $2.62.
Micron Technology (NYSE:MU): Nearly 20 bondholders of Elpida Memory Inc., the bankrupt Japanese chipmaker, are negotiating with alternative sponsors for the replacement of a takeover offer by Micron Technology Inc. that they believe is too low, a representative said. “We are talking to both strategic and financial investors,” Anthony Correa, who is head of Asia operations for Taconic Capital Advisors LP, stated today in a conference call with reporters. “We are in the midst of gathering information from the trustee so that we can proceed with the plan.”
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