Watch stocks you care about
The single, easiest way to keep track of all the stocks that matter...
Your own personalized stock watchlist!
It's a 100% FREE Motley Fool service...
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 business networking technologist Infoblox Inc (NYSE: BLOX ) plummeted 48% today after its preliminary Q2 results and full-year outlook disappointed Wall Street.
So what: The stock has plunged over the past three months on concerns over slowing growth, and today's Q2 revenue outlook -- $60 million-$61 million versus its prior view of $65 million-$66 million -- coupled with downbeat full-year guidance only confirms those worries. In fact, management cited a particularly soft January, lower-than-typical $1 million-plus transactions, and sluggishness in its Federal business for the disappointing outlook, suggesting that demand won't be accelerating anytime soon.
Now what: Management now sees full-year adjusted EPS of $0.30-$0.34 on revenue of $250 million-$254 million, down significantly from its prior view of $0.44-$0.54 and revenue of $270 million-$276 million. "While we are disappointed that we fell short of our financial expectations for the quarter, we remain confident in our strategy, the large market opportunity, our competitive differentiation and the compelling value proposition our products deliver to customers," CEO Robert Thomas reassured investors in a statement. So while Infoblox is certainly too speculative for average investors, today's massive plunge might be offering tech-savvy contrarians something to consider.
More compelling ways to grow
They said it couldn't be done. But David Gardner has proved them wrong time, and time, and time again with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his carefully chosen six picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.