This Day On The Street
Continue to site
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

Athenahealth: Health Care Losers

NEW YORK ( TheStreet) -- Shares of Athenahealth (ATHN - Get Report) are diving on Thursday afternoon, the day of its annual investor outlook event, where the company provided an earnings outlook below the Street consensus for 2011.

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Athenahealth is the most volatile stock in the niche health care information sector.

It traded as high as $47 early in 2010 before cratering to as low as $22 after failing to meet earnings expectations. It has since rebounded above the $40 mark in the past few months after finally delivering a excellent third quarter.

It's long been a favorite of shorts in the health care sector for its aggressive targets, and that short trade worked out well in the first half of 2010, after Athenahealth failed to deliver on the aggressive expectations it had set at last year's version of the annual investor day, in December 2009.

Athenahealth shares fell around 8% on Thursday afternoon and trading volume spiked to quadruple its average daily volume. The stock dive began as Athenahealth CFO Tim Adams was making his financial presentation at the annual investor event.

The health care information company expects 2011 earnings per share in a range between 68 cents and 75 cents. The Street consensus for 2011 is 85 cents.

Athenahealth's revenue guidance for 2011 is in line with expectations, at $300 million to $315 million. The Street consensus is $309 million.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
ATHN $133.30 -4.04%
AAPL $93.74 -1.15%
FB $117.58 0.73%
GOOG $693.01 0.29%
TSLA $240.76 -2.81%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs