Updated from 12:47 p.m. EDT
Technology stocks fell Tuesday as shareholders continued to scrutinize Wall Street earnings reports.
Shares of MicroStrategy (MSTR - Get Report) got hammered after the software company posted disappointing first-quarter results. The company earned $9.8 million, or 75 cents a share, on revenue of $72.4 million. Analysts polled by Thomson Financial expected earnings of $1.27 a share on revenue of $80.9 million. During the year-earlier quarter, the company earned $15 million, or $1.05 a share, on revenue of $69.5 million. Shares closed down $12.87, or 11.1%, to $102.77.
Similarly, Answers (ANSW) plunged 18% after the Internet company posted a first-quarter earnings shortfall. The company reported adjusted earnings of $103,000, or a penny a share, on revenue of $2.96 million. Analysts expected earnings of 2 cents a share. Including subscription revenue, the company posted revenue of $3.4 million.Looking ahead, Answers sees an adjusted second-quarter loss of $985,000 to $1.4 million on revenue of $2.8 million to $3.2 million. Analysts project earnings of 5 cents a share. Shares closed down $2.54 to $11.60. Photon Dynamics (PHTN) slid 7.4% after the maker of flat-panel production equipment posted a wider-than-expected second-quarter loss and warned that third-quarter results would be below forecasts. The company posted a loss of $15.5 million, or 94 cents a share, on revenue of $13.9 million. Analysts expected a smaller loss of 57 cents a share on revenue of $13.3 million. Looking ahead, Photon Dynamics sees a third-quarter loss of 30 cents to 40 cents a share on revenue of $15 million to $20 million. Analysts project a loss of 23 cents a share on revenue of $24.1 million. Shares closed down 87 cents to $10.93.