NEW YORK (TheStreet) -- Interactive Intelligence (ININ) shares are down -20% to $39.98 in after-hours trading on Tuesday as the company announced its preliminary second quarter earnings results.
The company expects to earn between $78 million and $80 million during the second quarter, well below the $87 million that analysts expected for the quarter and below its own previous guidance of between $86 million and $88 million.
The decreased guidance is due to lower than expected product revenues.
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TheStreet Ratings team rates INTERACTIVE INTELLIGENCE GRP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate INTERACTIVE INTELLIGENCE GRP (ININ) 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 revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, unimpressive growth in net income and feeble growth in the company's earnings per share."
Highlights from the analysis by TheStreet Ratings Team goes as follows: