Stocks in Motion: Tower Auto

Shares skid on a lowered third-quarter forecast.
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Updated from 12:38 p.m. EDT

Shares of

Ruby Tuesday

(RI)

were among the

NYSE's

losers Tuesday after the company posted in-line first-quarter earnings, warned that second-quarter earnings results could fall below expectations, and trimmed its full-year outlook.

The restaurant operator earned 44 cents a share in the first quarter on sales of $267.5 million. Analysts polled by Thomson First Call were expecting earnings of 44 cents a share on sales of $271.6 million. Looking ahead, Ruby Tuesday said that it expects same-store sales growth to be 4% to 6% below last year's second quarter. As a result, the company says that second-quarter earnings could be flat with the year-ago period when it earned 33 cents a share. Analysts are looking for 39 cents a share during this year's second quarter. For the full year, the company now expects earnings growth of 12% to 14%, down from its previous guidance of 16% to 17%. Same-store sales growth is now expected to be down 2% to 3%. Previously, the company said that same-store sales would rise 1%. Shares of Ruby Tuesday traded down $4.05, or 14.8%, to $23.35.

Tower Auto

(TWR)

fell 7% after the company cut its third-quarter earnings forecast. Excluding items, the maker of auto components now expects to post a loss of 39 cents to 43 cents a share, down from its previous estimate of a loss of 18 cents to 22 cents a share. Sales, meanwhile, are now expected to be $710 million to $720 million, down from its previous guidance of $725 million to $735 million. Analysts had been expecting a loss of 20 cents a share on sales of $729.3 million. Weak production volumes in North America and rising steel costs contributed to the reduced expectations, the company said. Shares traded down 15 cents to $1.99.

Shares of

Pulte Homes

(PHM) - Get Report

fell 6.9% after the company warned that softness in its Las Vegas market would impact third-quarter and full-year earnings. The homebuilder now expects third-quarter earnings of $1.95 to $2.05 a share, down from its previous guidance of $2 to $2.10 a share. Analysts had been expecting earnings of $2.12 a share. For the full year, Pulte now expects earnings of $7.40 to $7.70 a share, down from previous guidance of $7.80 to $8. Analysts had been expecting earnings of $7.83. The company said that aggressive price increases in its Las Vegas operations had reached levels at which the market would no longer support them. Indeed, the company had raised its prices well above the 50% increases that were being experienced in the greater Las Vegas area. "Consumer acceptance of these increases at certain price levels has apparently reached a ceiling," the company said. Shares of Pulte traded down $3.88 to $52.45.

AK Steel

(AKS) - Get Report

rose 3.7% after the company raised third-quarter estimates on several key operating metrics. The maker of steel products now expects to ship 1.54 million tons of steel products during the quarter at an operating profit of $61 a ton, about $10 above the high end of previous estimates. Previously, the company expected to ship about 1.52 million tons of steel. Shares traded up 36 cents to $10.06.

Shares of

Nexstar Broadcasting

(NXST) - Get Report

fell 14.5% after the company cut its third-quarter sales outlook. The television station owner and programmer now expects sales of $59 million to $60 million, or about 12% to 13% above year-ago third-quarter results. The company had previously forecast sales growth of 18% to 20% vs. year-ago levels. Analysts had been expecting sales of $61.9 million. Lower political advertising sales contributed to the reduced sales outlook. Shares traded down $1.25 to $7.40.

NYSE volume leaders included

Viacom

(VIAB) - Get Report

, down 10 cents to $35.45;

Lucent

(LU)

, down 5 cents to $3.12;

Merck

(MRK) - Get Report

, down 80 cents to $33.43;

Nortel

(NT)

, down 4 cents to $3.56; and

EMC

(EMC)

, up 7 cents to $12.48.

Nasdaq

volume leaders included

Sirius Satellite Radio

(SIRI) - Get Report

, up 11 cents to $3.35;

Intel

(INTC) - Get Report

, up 19 cents to $21.32;

Microsoft

(MSFT) - Get Report

, up 26 cents to $28.38;

Oracle

(ORCL) - Get Report

, up 14 cents to $19.10; and

Cisco

(CSCO) - Get Report

, up 14 cents to $19.10.