Shares of Synaptics (SYNA) - Get Synaptics Incorporated Report plunged 20% on Monday after the company announced that its CEO was leaving in the wake of what it warned will be disappointing fiscal third-quarter earnings.
Synaptics stock was down $20.3% to $34.57 in trading on the Nasdaq Stock Exchange.
In a statement, the company said that its CEO, Richard Bergman, would be leaving the company effective immediately. His departure comes about a month after Chief Financial Officer Wajid Ali left to take the finance chief job at Milpitas-based Lumentum Holdings Inc., another iPhone parts supplier.
Norman Chan, who was non-executive chairman, is now executive chairman and will help oversee Synaptics during the transition to a new CEO.
"We are focused on capturing numerous opportunities before us and evolving the company under new leadership to increase shareholder value," Chan said in a statement. "We thank Rick for his contributions to Synaptics."
The San Jose-based company, which supplies Apple (AAPL) - Get Apple Inc. Report with hardware and software to control its devices through touch and voice, also warned that "demand softness in China" would negatively impact both revenue and net earnings.
The company said it is now expecting fiscal third-quarter revenue and per-share earnings to be "around the lower end of the original guidance range of $340 million to $380 million, and 70 cents to $1, respectively."
Analysts polled by FactSet had been expecting revenue of $360.5 million, and per-share earnings of 86 cents.
Shares of Synaptics also received a downgrade to neutral from buy from analysts at Mizuho.
Will You Have Enough Money to Retire?
Want to learn about retirement planning from some of the nation's top experts? Join TheStreet's Robert "Mr. Retirement" Powell live in New York on April 6 for our Retirement Strategies Symposium. For a limited time, tickets are available for $99 for this full-day event. Check out the agenda, learn about the speakers and sign up here.