Wireless Sector Plunges as Bad News Keeps Building
Wireless stocks and the companies that make products for the sector were hurting in late afternoon trading, following Motorola's (MOT) warning that third-quarter revenue would fall short of expectations.
Shares of Motorola were getting crushed, falling $2.40, or 14.6%, to $14 in afternoon trading. Nokia (NOK) was down 85 cents, or 6.1%, to $13. Qualcomm (QCOM) was off $3.31, or 6.2%, to $49.90 and Ericsson fell 15 cents, or 3.7%, to $3.92.
Makers of the equipment for the wireless industry weren't faring any better. RF Micro Devices (RFMD) slid $1.49, or 6.6%, to $21.07. Triquint Semiconductor (TQNT) fell $1.49, or 8.1%, to $17, while Anadigics (ANAD) was off 65 cents, or 4.9%, to $12.65. Alpha Industries (AHAA) sank $1.12, or 4.5%, to $24.05. Texas Instruments (TXN) was also on the downside, skidding $1.54, or 5%, to $29.30.On Thursday, Motorola said third-quarter revenue would be flat with the prior three months. The company previously expected a 5% top line increase. The company forecast a loss of 5 cents to 8 cents a share, wider than previous predictions, and set plans to cut 2,000 additional jobs.
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