Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why JDS Uniphase Shares Plunged

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 JDS Uniphase  (NASDAQ: VIAV  ) fell more than 10% during intraday trading Thursday after the company reported solid fiscal first-quarter 2014 quarterly results, but weak forward guidance.

So what: Quarterly revenue came in at $429 million, which translated to adjusted earnings of $0.13 per share. Both numbers beat analysts' estimates, which called for adjusted earnings of $0.12 per share on sales of $423.17 million.

However, JDS Uniphase also issued fiscal second quarter 2014 revenue guidance in the range of $420 million to $440 million, which is significantly below expectations for Q4 sales of $456.92 million.

Now what: Management blamed the shortfall on mixed first-quarter bookings, which included strength in JDS' Optical Communications offerings, but lighter bookings in its Network and Service Enablement products thanks to "weak order intake in North America, including the U.S. government."

To be sure, with shares currently trading at nearly 55 times last year's earnings, and with a potential slowdown in the works, it's hard to blame investors for bidding the stock down today.

Try these growth stocks on for size
Tired of watching your stocks creep up year after year at a glacial pace? Motley Fool co-founder David Gardner, founder of the No. 1 growth stock newsletter in the world, has developed a unique strategy for uncovering truly wealth-changing stock picks. And he wants to share it, along with a few of his favorite growth stock superstars, WITH YOU! It's a special 100% FREE report called "6 Picks for Ultimate Growth." So stop settling for index-hugging gains... and click HERE for instant access to a whole new game plan of stock picks to help power your portfolio.

Read/Post Comments (1) | Recommend This Article (1)

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.

Add your comment.

Compare Brokers

Fool Disclosure

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: 2708594, ~/Articles/ArticleHandler.aspx, 9/26/2016 8:45:11 AM

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...

Today's Market

updated 2 days ago Sponsored by:
DOW 18,261.45 -131.01 -0.71%
S&P 500 2,164.69 -12.49 -0.57%
NASD 5,305.75 -33.78 -0.63%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/23/2016 4:00 PM
VIAV $7.43 Down -0.07 +0.00%
Viavi Solutions CAPS Rating: ***