Udpated from 11:55 a.m. EDT
Technology stocks moved lower Tuesday as investors weighed a slew of earnings reports.
i2 Technologies (ITWO) tumbled 30.2% after the software company reported lower-than-expected first-quarter earnings and said that its chief executive plans to retire at the end of the year. The company earned $3.5 million, or 13 cents a share, on revenue of $65.6 million. Excluding items, the company earned 16 cents a share. Analysts expected earnings of 22 cents a share on revenue of $64.9 million.
i2 also announced that CEO Michael McGrath plans to step down at the end of the year when his contract expires. The company has already begun to look for a replacement. Shares closed down $7.69 to $17.77Elsewhere, BEA Systems (BEAS) slid 3.1% after the software company cut its first-quarter revenue guidance. The company now sees revenue of $342 million to $347 million, down from an earlier forecast of $350 million to $364 million. Analysts polled by Thomson Financial project revenue of $357.8 million. "This quarter we saw a difficult selling environment, especially in the Americas, and several large deals slipped out of the quarter," the company said. Shares closed down 36 cents to $11.43. Meanwhile, TriZetto (TZIX) shed 2.2% after the software maker posted solid first-quarter results but issued second-quarter guidance that disappointed investors. The company earned $5.9 million, or 12 cents a share, on revenue of $113.5 million. Analysts expected earnings of 11 cents a share on revenue of $107.2 million. For the second quarter, the company sees earnings of 9 cents to 13 cents a share on revenue of $105 million to $112 million. Analysts project earnings of 12 cents a share on revenue of $109.1 million. Shares closed down 42 cents to $19.06.