Tech Stocks in Motion

Updated from 12:52 p.m. EDT

Shares of Ditech Communications(DITC) were among technology's losers Friday, falling 38.1% after the company posted mixed fourth-quarter results and said that first-quarter sales would be significantly below expectations.

The telecom equipment maker earned $7.6 million, or 23 cents a share, on sales of $23 million. Analysts polled by Thomson First Call were expecting earnings of 22 cents a share on sales of $23.4 million. A year ago, the company earned $8.3 million, or 24 cents a share, on sales of $23.1 million. Looking ahead, Ditech forecast first-quarter sales of $10 million to $11 million. Analysts had been expecting sales of $24 million. Ditech blamed the shortfall on a decline in orders from Nextel Communications(NXTL), which is completing its merger with Sprint(FON). "This unavoidably impacts our short-term outlook," Ditech said. Shares traded down $4.80 to $7.73.

Stratex Networks(STXN) fell modestly after the provider of wireless transmission technology reaffirmed its first-quarter outlook. The company expects a loss of 3 cents to 4 cents a share on sales of $47 million to $50 million. Gross margin is expected to be between 22% and 23%. Analysts are expecting a loss of 5 cents a share on sales of $48.5 million. Stratex said that guidance reflects two recent orders totaling $19 million from India and Bangladesh. Shares were traded down 1 cent, or 0.6%, to $1.75.

Shares of Black Box(BBOX) fell 6.1% after the company posted fourth-quarter earnings that fell well below expectations. The networking equipment company earned $34,000, or break-even, on sales of $157.2 million. Excluding charges, the company would have earned $6.8 million, or 39 cents a share. Analysts were expecting earnings of 57 cents a share on sales of $145.5 million. A year ago, the company earned $11.5 million, or 61 cents a share, on sales of $129.7 million.

Looking ahead, Black Box forecast fiscal 2006 earnings of $2.90 to $3 a share, which excludes items. Sales, meanwhile, are expected to be about $700 million. Analysts are expecting earnings of $2.59 a share on sales of $630.6 million. Shares traded down $2.22 to $33.97.