This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Coldwater Creek Plunges; VMWare Down

Stocks in this article: CWTR VMW INFN

NEW YORK ( TheStreet) -- Coldwater Creek (CWTR) were getting thumped late Monday after the Sandpoint, Idaho-based women's apparel retailer said it expects a sharp decline in sales to result in a surprise loss for its fiscal third quarter ending Oct. 30.

"Our fall merchandise assortment is meeting with limited success, as we did not offer products that resonated with our customers, particularly in important categories such as jackets, pants and woven shirts," said Dennis Pence, the company's chairman and chief executive officer, in a statement.

The depth of the company's anticipated miss is dramatic as Coldwater Creek now sees a loss of 14 to 19 cents a share for the three-month period vs. its previous expectation for earnings of 1 to 4 cents a share. The company expects total sales to come in between $225 million and $230 million for the quarter with same-store sales at its premium retail locations projected to drop between 18%-21%. Coldwater Creek's guidance had been for flat same-store sales on the same basis.

The current average estimate of analysts polled by Thomson Reuters is for a profit of 3 cents a share on sales of $278.5 million.

The stock was last quoted down 27% at $3.90 on volume of nearly 400,000, according to Nasdaq.com. Based on the regular session close of $5.36, the shares were up 22% so far in 2010, but it's been a volatile six months. On April 23, the stock hit a 52-week high of $8.75, but it swooned all the way down to a near-term low of $3.13 on June 2 when it announced the departure of its chief merchandising officer and forecast a loss for the second quarter.

While quarterly results from Apple (AAPL) and IBM (IBM) were garnering most of the attention from tech investors in afterhours trades, VMWare (VMW) also saw plenty of volume.

The shares were down 5.7% to $73.90 with 1.9 million shares changing hands after the Palo Alto, Calif.-based maker of virtualization software and other cloud computing products reported third-quarter non-GAAP earnings of $165 million, or 39 cents a share, on revenue of $714 million, up 46% on a year-over-year basis.

That performance topped analyst expectations for a profit of 35 cents a share on revenue of $698 million in the September period.

VMWare forecast revenue of $790 million to $810 million for the fourth quarter ending in December, which is ahead of the current average analysts' estimate of $774 million, but analysts on the company's conference ball noted that bookings fell 5% on a sequential basis and pointed out deferred revenue declined on a year-over-year basis to $32.5 million from $47.6 million.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

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.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs