NEW YORK (TheStreet) -- TIBCO Software (TIBX) stock is sliding in extended trading Tuesday after the company announced preliminary figures for its second quarter which came in below analysts' estimates. After the bell, shares tumbled 12.7% to $18.15.
In its May-ended quarter, the company expects total revenue between $250 million and $252 million, flat sequentially, and below estimates of $267.5 million according to analysts surveyed by Thomson Reuters. Management guided adjusted net income between 12 cents and 13 cents a share, below expectations of 21 cents a share.
"After a solid first quarter, revenue fell short of expectations in the second quarter, primarily due to lower-than-expected sales of Spotfire," said CEO Vivek Ranadive.
TheStreet Ratings team rates TIBCO SOFTWARE INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate TIBCO SOFTWARE INC (TIBX) 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 increase in net income, revenue growth and reasonable valuation levels. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity and weak operating cash flow."