The stock was last quoted at $5.96, down 8.3%, on volume of around 200,000, according to Nasdaq.com. The shares rose more than 15% in 2010, bouncing off a 52-week low of $3.56 to finish the year at $6.10. "We experienced a weaker demand environment in the fiscal first quarter of 2011, primarily related to our legacy wide area networking business, specifically from a few, large wireless communications customers," said Raouf Halim, the company's CEO, in a statement. Halim added, however, that he believes the demand environment has now stabilized and that "customers appear to be making good progress absorbing systems inventory built up during the supply constrained environment of the last few quarters." Wall Street's consensus estimate is for earnings of 13 cents a share from Mindspeed in the November quarter, and the company said it expects its non-GAAP gross margins and operating expenses to be consistent with its prior outlook. Five of the seven analysts covering Mindspeed's stock have either strong buy (4) or buy (1) ratings, and the median 12-month price target sits at $10, implying upside of more than 60% from current levels.