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What: Shares of Coherent (NASDAQ:COHR) plunged today by as much as 14%, after the company reported fourth quarter earnings.
So what: Revenue in the fourth quarter tallied up to $188.7 million, shy of the $195.3 million that investors were expecting. The bottom line missed by even more, with the non-GAAP earnings per share of $0.71 falling short of the $0.85 per share consensus estimate.
Now what: Needham & Company offered up some comments while downgrading its rating on the stock to "hold." Part of the miss was attributed to delays in receiving important components from a vendor in its display business. CEO John Ambroseo said the component delays negatively affected revenues to the tune of $7 million. Microelectronics bookings fell, and first quarter guidance was also soft, which, when combined with the fourth quarter weakness, has sparked a sell-off.
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Evan Niu, CFA, has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. 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.