NEW YORK (TheStreet) -- Shares of Movado Group, Inc. (MOV) are tanking, down 28.98% to $27.35 in late afternoon trading Friday after the luxury watchmaker issued lower-than-expected earnings and sales guidance for the third quarter and fourth quarter, as both the U.S. and European markets are showing slower growth.
The Paramus, NJ-based company said it expects third-quarter earnings in a range of 86 cents to 87 cents per share, less than analysts' estimates of $1.13 per share.
Movado expects net sales between $188.6 million to $189.7 million for the third quarter, below the consensus estimate of $218.32 million.
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The company said certain brands, including Lacoste and Scuderia Ferrari, did not perform as well as expected.
"I am disappointed in our third-quarter performance and our expectations for this trend to continue into the fourth quarter, which combined has caused us to reduce guidance for the full year," chairman and CEO Efraim Grinberg said in a statement this morning.
For the fourth quarter, the company now forecasts earnings in the range of 18 cents to 23 cents per share, missing analysts' estimates of 50 cents per share.
Movado expects net sales between $132 million and $137 million for the fourth quarter, also below the consensus estimate of $153.89 million.