What: Shares of Finisar Corporation (NASDAQ:FNSR) were down 9.9% as of 2:20 p.m. Friday after the company reported fiscal-fourth-quarter 2015 results in line with analyst expectations.
So what: Quarterly revenue came in at $320 million, which translated to adjusted net income of $26.9 million, or $0.25 per diluted share. Analysts, on average, were anticipating roughly the same adjusted earnings on slightly higher revenue of $320.5 million.
For the current quarter, Finisar expects revenue of $308 million to $328 million, and adjusted earnings per diluted share of $0.23 to $0.29. Analysts' models called for earnings of $0.27 per share -- or just above the mid-point of Finisar's range -- on roughly the same revenue.
Now what: To be fair, there's nothing particularly concerning about Finisar's results, as the company only technically missed expectations by a penny on the bottom line with its forward guidance midpoint of $0.26. However, it's evident the market was looking for more with shares of the company trading above 60 times trailing-12-month earnings going into the report -- though shares also look much more attractive trading around 16 times next year's estimates. With that in mind, I'm content watching Finisar's progress from the sidelines for now. But if the stock continues to fall in the coming weeks as the dust settles, Finisar might be worth considering as a long-term investment.