A day earlier, the company which develops supercomputers and big data storage said it expects to achieve its previously provided 2013 revenue guidance of $520 million when it reports fourth-quarter earnings Feb. 10. Analysts surveyed by Thomson Reuters anticipate revenue of $518.95 million.
"During the fourth quarter, we installed and completed the acceptance process on more supercomputers than we have in any quarter of our history, breaking records for both quarterly and annual revenue," said CEO Peter Ungaro in a statement.
For full-year 2014, the global supercomputer leader said it expects to pull in $600 million in revenue, above consensus of $596.3 million.
Small-cap competitor Silicon Graphics International Corp (SGI) is rallying in sympathy, gaining 5.3% to $14.17.
TheStreet Ratings team rates Cray Inc as a Hold with a ratings score of C+. The team has this to say about their recommendation:
"We rate CRAY INC (CRAY) a HOLD. The primary factors that have impacted our 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 robust revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow."