Today's Tech Winners and Losers

Applix, SafeNet and Cohu slide after their earnings reports.
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Shares of

Applix

(APLX)

were among technology's biggest losers Friday, tumbling 24% after the software company posted in-line fourth-quarter earnings but issued a 2006 guidance that disappointed investors.

For the fourth quarter, the company earned $2.5 million, or 15 cents a share, on sales of $11.1 million. Analysts polled by Thomson First Call expected earnings of 15 cents a share and sales of $11.6 million. During the year-earlier quarter, the company earned $3.1 million, or 20 cents a share, on sales of $9.4 million.

Looking ahead, Applix sees 2006 earnings of 17 cents to 27 cents a share, including about 12 cents a share in stock-based compensation costs. Analysts expect earnings of 47 cents a share. The company projects sales of $41 million to $44 million, bracketing analysts' average forecast of $43.6 million. Shares were trading down $2 to $6.37.

Rackable Systems

(RACK)

climbed 19% after the provider of servers and storage products reported better-than-expected fourth-quarter results. The company earned $7.3 million, or 32 cents a share. Excluding items, the company earned $7.6 million, or 33 cents a share, well above Wall Street's target of 24 cents a share. The company posted sales of $83.1 million, compared with analysts' target of $70.6 million. During the year-earlier quarter, the Rackable Systems posted a loss of $14.3 million, or $2.57 a share, on sales of $23 million. Excluding items, the company reported a loss of $513,000, or 9 cents a share, a year ago. Shares were up $6.04 to $37.15.

Shares of

SafeNet

(SFNT)

tumbled 14% after the maker of network security products posted weaker-than-expected fourth-quarter results and projected first-quarter results below Wall Street forecasts. The company earned $7.1 million, or 28 cents a share, on sales of $77.1 million, in the fourth quarter. Excluding items, the company earned $11.7 million, or 45 cents a share. Analysts expected earnings of 55 cents a share on sales of $80 million. During the year-earlier quarter, SafeNet earned $1.2 million, or 5 cents a share, on sales of $63.8 million. Excluding items, the company earned $11 million, or 44 cents a share, a year ago.

For the first quarter, SafeNet expects earnings of 2 cents to 9 cents a share, or 29 cents to 37 cents a share when certain items are excluded. Analysts predict earnings, excluding items, of 40 cents a share. The company projects sales of $65 million to $69 million, lower than analysts' forecast of $71.2 million. Shares were trading at $28, down $4.72.

Cohu

(COHU) - Get Report

slid 26% after the semiconductor equipment maker turned in solid fourth-quarter results but offered a first-quarter sales guidance that disappointed investors. The company earned $12.3 million, or 53 cents a share, up from $2.5 million, or 11 cents a share, a year earlier. Sales rose to $74.1 million from $38.1 million.

Looking ahead, Cohu sees first-quarter sales of $50 million to $55 million, excluding existing deferred revenue from the company's $8.9 million contract for microwave communications equipment with the United Arab Emirates. "While short-term volatility remains an inherent characteristic of the back-end semiconductor equipment industry, recent orders are encouraging as we begin 2006," the company said. Shares were trading down $7.40 to $21.50.

Shares of

Magma Design Automation

(LAVA)

dropped 14% after the maker of semiconductor design software posted third-quarter earnings that fell a penny shy of expectations. The company reported a loss of $8.1 million, or 23 cents a share, on sales of $41.3 million. Excluding items, the company reported a profit of $3.5 million, or 9 cents a share. Analysts expected earnings of 10 cents a share and sales of $40.6 million. During the year-earlier quarter, the company posted adjusted earnings, which excludes items, of $8.4 million, or 20 cents a share, on sales of $37.3 million.

Looking ahead, Magma Design Automation sees adjusted fourth-quarter earnings of 9 cents to 13 cents and sales of $39 million to $43 million. Analysts project earnings of 12 cents a share on sales of $41.9 million. Shares were down $1.46 to $9.

Other technology movers included

Intel

(INTC) - Get Report

, down 18 cents to $20.92;

Sirius Satellite Radio

(SIRI) - Get Report

, down 20 cents to $5.34;

Microsoft

(MSFT) - Get Report

, down 10 cents to $27.58;

JDSU

(JDSU)

, down 10 cents to $2.96;

Oracle

(ORCL) - Get Report

, down 16 cents to $12.23;

Lucent Technologies

(LU)

, up 3 cents to $2.69;

Cisco

(CSCO) - Get Report

, down 29 cents to $18.08;

Sun Microsystems

(SUNW) - Get Report

, down 10 cents to $4.43; and

Applied Materials

(AMAT) - Get Report

, down 21 cents to $18.65.