PalmSource (PSRC) was getting killed Friday morning after the company reported a decline in third-quarter earnings and said it would lose money in the current period.
The shares were recently down $3.11, or 14%, to $18.80. After the bell Thursday, the former software arm of PalmOne (PLMO) reported a third-quarter profit of $600,000, or 5 cents a share, compared with earnings of $734,000, or 7 cents a share, last year. Revenue slipped from $26.3 million to $21.6 million.
The company said it expects to lose $4 million to $7 million in the fiscal fourth quarter on revenue of $17 million, plus or minus 5%. Two analysts surveyed by Thomson First Call were expecting the company to break even in the quarter on revenue of $17.7 million.
The company burned about $2.2 million in the third quarter and ended it with $33.3 million of cash, equivalents and restricted investments.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV