NEW YORK (TheStreet) -- Shares of Progress Software Corp. (PRGS) - Get Progress Software Corporation Report fell by 5.74% to $24.12 on heavy trading volume on Thursday, after the Bedford, MA-based company posted lower-than-expected results for the 2016 first quarter, provided a downbeat outlook and said its chief financial officer will retire.
After yesterday's closing bell, the software company reported adjusted earnings of 27 cents per share, which did not meet analysts' estimates of 29 cents per share.
Revenue was $89.5 million for the quarter, below Wall Street's estimates of $93.2 million.
"While our first quarter revenue fell slightly short of our expectations, we remain confident in our strategy and capabilities, and in the value that our products provide to our customers and partners," CEO Phil Pead said in a statement.
For the fiscal year ending November 30, the company forecasts adjusted earnings per share between $1.57 and $1.63, lower than its previous estimate for earnings per share of $1.59 to $1.65.
Analysts are projecting earnings of $1.62 per share for the full year.
Progress expects adjusted earnings per share of 26 cents to 29 cents for the second quarter, missing estimates. Analysts are looking for earnings of 36 cents per share.
The software company cited negative currency translation as a basis for the downbeat forecast.
Additionally, the company announced that CFO Chris Perkins will retire after a transition period while Progress searches for a replacement.
About 1.14 million of the company's shares were traded today, well above its average volume of 230,817 shares per day.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks.
The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins.
As a counter to these strengths, the team also finds weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: PRGS