NEW YORK (TheStreet) -- CA Inc. (CA) stock is dropping Thursday after guiding for lower-than-expected earnings over fiscal 2015 and weak bookings over its recent fourth quarter. By late morning, shares had tumbled 3.7% to $28.95.
For the full year ending March 2015, management expects net income between $2.45 and $2.52 a share, lower than estimates of $2.56 according to analysts surveyed by Thomson Reuters.
Meanwhile, over its fourth quarter ended March this year, bookings fell 15% to $1.24 billion, dragged on by a 21% drop in North American sales.
TheStreet Ratings team rates CA INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CA INC (CA) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its notable return on equity, reasonable valuation levels, increase in stock price during the past year, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had sub par growth in net income."
- You can view the full analysis from the report here: CA Ratings Report