Wednesday's Tech Winners & Losers

Tech stocks soar, but some of the biggest movers head down on poor earnings.

Author:: Mark Martinez
Publish date:: May 2, 2007 4:39 PM EDT

Updated from 11:27 a.m. EDT

Although the broader technology sector moved sharply higher Wednesday, some of the biggest movers bucked the trend.

Sonic Foundry

(SOFO)

got hammered after posting a wider second-quarter loss. The software company reported losing $1.9 million, or 5 cents a share, on revenue of $3.8 million. During the year-earlier quarter, the company reported a smaller loss of $947,000, or 3 cents a share, on revenue of $3 million. Shares closed down $1.17, or 31.2%, to $2.58.

Elsewhere,

Garmin

(GRMN) - Get Report

slid 4.1% after the maker of global positioning equipment posted mixed first-quarter results and issued full-year guidance that didn't impress investors. The company earned $139.9 million, or 64 cents a share, on revenue of $492.2 million. Analysts expected earnings of 59 cents a share on revenue of $496.1 million. During the year-earlier period, the company earned $87.5 million, or 40 cents a share, on revenue of $322.3 million.

Looking ahead, Garmin sees 2007 earnings of more than $2.70 a share on revenue that will exceed $2.5 billion. Analysts project earnings of $2.82 a share on revenue of $2.54 billion. Shares closed down $2.43 to $56.94.

Meanwhile,

Harris Stratex Networks

(HSTX)

tumbled 20.6% after the wireless communications company posted disappointing third-quarter results and warned that fourth-quarter earnings would be below forecasts. For the quarter ended March 30, the company reported adjusted earnings of $3.7 million, or 6 cents a share, on revenue of $146.8 million. Analysts expected earnings of 21 cents a share.

Looking ahead, the company sees adjusted fourth-quarter earnings of 13 cents to 18 cents a share, below the 25 cents a share that analysts project. Shares closed down $4.09 to $15.75.

DivX

(DIVX)

joined the losers as well, plunging 12.2% after the software maker posted disappointing first-quarter earnings and issued second-quarter revenue guidance that did not please investors. The company earned $3.7 million, or 10 cents a share, on revenue of $20.2 million. Analysts expected earnings of 14 cents a share on revenue of $19.8 million. During the year-earlier period, the company earned $3.3 million, or 11 cents a share, on revenue of $14.1 million.

Looking ahead, DivX sees second-quarter revenue of $16.7 million to $18.7 million. Analysts project revenue of $18.2 million. Shares closed down $2.44 to $17.56.

On the winning side,

Interactive Intelligence

(ININ)

jumped 19.5% after the software company posted better-than-expected first-quarter results. The company earned $1.7 million, or 9 cents a share, on revenue of $24.2 million. Analysts expected earnings of 6 cents a share on revenue of $23.8 million. During the year-earlier quarter, the company earned $1 million, or 6 cents a share, on revenue of $17.9 million. Shares closed up $2.99 to $18.29.

As for the broader technology sector, the

Nasdaq 100

was up 16.3 points to 1889.73.

Other technology movers included

Sun Microsystems

(SUNW) - Get Report

, up 9 cents to $5.15;

Intel

(INTC) - Get Report

, up 29 cents to $21.93;

Cisco Systems

(CSCO) - Get Report