NEW YORK (TheStreet) -- Shares of Violin Memory (VMEM) were falling 11.1% to $2.81 on heavy trading volume Wednesday after the chipmaker missed analysts' estimates for earnings in the first quarter of fiscal 2016.
Violin Memory reported a loss of 22 cents a share for the first quarter, below analysts' estimates of a loss of 20 cents a share for the quarter. Revenue fell 33.3% year over year to $$12.1 million for the quarter, missing analysts' estimates of $21.43 million.
The company said it expects to report revenue of $16 million to $20 million for the fiscal second quarter, below analysts' estimates of $22.5 million for the quarter.
About 2.7 million shares of Violin Memory were traded by 11:07 a.m. Wednesday, above the company's average trading volume of about 966,000 shares a day.
TheStreet Ratings team rates VIOLIN MEMORY INC as a Sell with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation:
"We rate VIOLIN MEMORY INC (VMEM) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its generally disappointing historical performance in the stock itself and generally high debt management risk."
You can view the full analysis from the report here: VMEM Ratings Report
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