Synplicity Falls on Warning, Downgrade

Synplicity (SYNP Quote) was down 19.1% at midday after the company warned its second-quarter earnings would be 1 cent per share, on revenue of about $12.4 million. Analysts expected earnings of 3 cents per share, according to Thomson Financial/First Call.

The company, which makes semiconductor design software, expects revenue to grow by about 43% over the year-ago period, vs. its earlier forecast of 60% growth.

The company said it expected to break even in the third quarter and earn 5 cents a share in the fourth quarter, vs. analysts' expectations of 5 cents a share in the third quarter and 7 cents a share in the fourth.

Robertson Stephens this morning adjusted its earnings estimates and lowered its price target on the stock to $15 from $18, but maintained its buy recommendation.