NEW YORK (TheStreet) -- Violin Memory (VMEM) stock is plunging 9.77% to $1.20 on heavy trading volume on Wednesday after the flash-based storage company's fiscal 2016 third quarter earnings results missed analysts' expectations. 

After the market close on Wednesday, the Santa Clara, CA-based company reported earnings of 19 cents per share, lower than analysts' expectations for earnings of 20 cents per share.

Revenue fell 42% year-over-year to $12.5 million. Analysts were expecting revenue of $17.2 million. 

"Our strategic shift and product line transition to become a market leader in flash-based primary storage for enterprises continues to create short-term challenges in achieving predictable, consistent growth," CEO Kevin DeNuccio said in a statement. "However, we believe we are headed in the right direction overall and that our opportunity continues to be extremely attractive." 

As of the market close on Wednesday, 2.06 million shares of Violin Memory traded versus its 30-day average of about 971,000 shares.

Separately, 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:

TheStreet Recommends

We rate VIOLIN MEMORY INC (VMEM) a SELL. This is driven by some concerns, 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 unimpressive growth in net income and generally disappointing historical performance in the stock itself.

You can view the full analysis from the report here: VMEM

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