NEW YORK (TheStreet) -- JDS Uniphase Corp (JDSU - Get Report) stock is dropping on Thursday after the communications technologies developer recorded lower revenue and earnings than expected in its third quarter.
By midmorning, shares were down 11.2% to $11.26.
Revenue of $418 million was 3% higher than a year earlier, but missed expectations of $431.7 million due to delayed client orders. Net income of 10 cents a share was short analysts' estimates by a penny, according to those surveyed by Thomson Reuters.
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For its fourth quarter, management forecast adjusted net income of between 10 cents and 14 cents a share, lower than expectations of 17 cents a share. Revenue guidance in the range of $425 million to $445 million missed forecasts for $459 million.
TheStreet Ratings team rates JDS UNIPHASE CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate JDS UNIPHASE CORP (JDSU) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we also find weaknesses including relatively poor performance when compared with the S&P 500 during the past year and weak operating cash flow."
- You can view the full analysis from the report here: JDSU Ratings Report