Aeroflex Holding Shares Plunged: What You Need to Know

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Aeroflex Holding (NYSE: ARX  ) fell nearly 18% in early trading today after guiding to much lower fiscal-first-quarter revenue and earnings. The stock remained down more than 16% as the closing bell approached.

So what: Fourth-quarter adjusted earnings were OK, coming in at $0.35 a share -- a penny better than the consensus estimate, Briefing.com reported. Revenue, meanwhile, rose only 4.7% to $198.7 million. Wall Street had been calling for $199.3 million.

Now what: As big as that miss was, it was guidance that sent investors packing. Aeroflex, which specializes in sensitive electronics, expects $160 million to $165 million in Q1 revenue and $0.09 to $0.11 per share in adjusted earnings. Analysts were expecting a more robust $0.19 on $175.03 million in revenue. No wonder investors were bailing out. Where do you stand on this stock? Would you use the sell-off as a buying opportunity? Weigh in using the comments box below.

Interested in more info on Aeroflex Holding?Add it to your watchlist.

Fool contributor Tim Beyers is a member of the Motley Fool Rule Breakers stock-picking team. He didn't own shares in any of the companies mentioned in this article at the time of publication. Check out Tim's portfolio holdings and Foolish writings, or connect with him on Google+ or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1540940, ~/Articles/ArticleHandler.aspx, 10/21/2014 3:59:00 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Apple's next smart device (warning, it may shock you

Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!


Advertisement