NEW YORK (TheStreet) -- Splunk (SPLK) stock is down Friday after the software developer guided for full-year revenue inline with analysts' expectations. Investors had been hoping for the company to raise guidance after several consecutive quarters of providing forecasts higher than what Wall Street expected.
Management expects fiscal 2015 revenue between $402 million and $410 million, just shy of an average $410.9 million estimated by analysts surveyed by Thomson Reuters.
By midafternoon, shares had tanked 17.3% to $41.37. Trading volume of 15.8 million shares was more than triple its three-month daily average.Disappointing guidance overshadowed better-than-expected earnings and sales for the first quarter. The company recorded a net loss of 4 cents a share, 2 cents narrower than forecast, and revenue of $85.9 million, over estimates of $80.7 million. -------------- Separately, TheStreet Ratings team rates SPLUNK INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation: "We rate SPLUNK INC (SPLK) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income and feeble growth in its earnings per share."
- You can view the full analysis from the report here: SPLK Ratings Report
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- 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 + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV