NEW YORK (TheStreet) -- Quiksilver (ZQK) stock is one of the worst-performing on markets Tuesday after the surf and skate clothing company reported wider-than-expected net losses over its second quarter and as revenue tumbled double-digits from a year earlier.
Over the three months to April, the company recorded net losses of 15 cents a share, far wider than estimates for losses of 2 cents a share, according to analysts surveyed by Thomson Reuters. Revenue slid 10.4% year over year to $408.2 million, missing expectations for $448.6 million.
By market open, shares had tanked 40.8% to $3.43. Trading volume of 3.2 million shares had already surpassed its three-month daily average of 1.9 million.
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TheStreet Ratings team rates QUIKSILVER INC as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate QUIKSILVER INC (ZQK) 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 disappointing return on equity, weak operating cash flow, generally disappointing historical performance in the stock itself and generally high debt management risk."