Updated from 12:32 p.m. EDT
were among the worst-performing technology stocks Friday, falling 40.9% after the company cut prices and lowered its 2005 earnings guidance in anticipation of
entering the online video-rental business.
As a result of potential competition, Netflix now expects to operate its business on a break-even basis in 2005. Analysts polled by Thomson First Call had been expecting the company to earn $1.22 a share. What's more, the company also announced that a planned U.K. rollout of its service will be delayed. Netflix, which also lowered its monthly fee to $17.99 a month from $21.95, said that it wants to concentrate on the U.S. market instead.
All of this news came after the company announced third-quarter earnings. Excluding items, Netflix earned 35 cents a share on sales of $141.6 million. Analysts were expecting earnings of 32 cents a share on sales of $140.6 million. Shares of Netflix traded down $7.13 to $10.30.
( CYBS) rose 11.9% after the company posted third-quarter earnings and sales results that topped forecasts. The electronic payment company earned 2 cents a share on sales of $9.2 million. Analysts were expecting earnings of 1 cent a share on sales of $8.8 million. A year ago, the company posted a loss of 4 cents a share on sales of $6.9 million. Shares traded up 64 cents to $6.04.
( SFLK) rose 3.5% after the company received new orders totaling in excess of $700,000. The smart-card security company said that its subsidiary, Litronic, received hardware, software and support orders for the Defense Message System, the military messaging system used by the U.S. Department of Defense and its agencies. Shares of Saflink traded up 8 cents to $2.35.
( MXO) fell 17.5% after the company announced the immediate resignation of Michael Bless, its chief financial officer who was hired less than two months ago. Maxtor said that Bless was leaving for personal reasons. Before taking the Maxtor position in late August, Bless had worked at Rockwell Automation since 1997. CEO Paul Tufano will act as interim CFO until a permanent replacement is found. Shares traded down 94 cents to $4.44.
rose 14.3% after the company issued preliminary third-quarter sales results that were above estimates and raised its 2004 sales guidance. The software company posted sales of $23.4 million during the quarter, vs. analysts' expectations of $22.6 million. Looking ahead, Faro expects full-year sales of $94 million to $100 million. Analysts had been expecting sales of $93.1 million. The company plans to release its third-quarter results on Nov. 4. Shares traded up $2.93 to $23.48.
Other technology volume leaders included
, unchanged at $3.97;
, up 10 cents to $20.61;
( LU), up 2 cents to $3.50;
Sirius Satellite Radio
, up 5 cents to $3.70;
, up 19 cents to $27.99; and
, down 11 cents to $18.48.