NEW YORK (TheStreet) -- Shares of Qorvo (QRVO) were dropping 11.53% to $50.20 in after-hours trading on Thursday as the company posted weaker-than-expected earnings for the 2017 second quarter and gave light fourth quarter guidance following today's market close.
Adjusted earnings were $1.29 per share, missing analysts' expected $1.41 per share. Revenue came in at $864.7 million, which beat Wall Street's estimated $834.7 million.
Qorvo expects to report adjusted earnings of $1.15 to $1.35 per share for the fourth quarter, while analysts are looking for adjusted earnings of $1.45 per share.
The company sees revenue between $800.0 million and $840.0 million in the period. Wall Street is looking for revenue of $844.5 million.
Adjusted gross margin for the most recent period was 42.8%, compared to 49.7% during the same quarter last year.
Additionally, the company's board announced a new $500 million share repurchase program.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
The team rates Qorvo as a Hold with a ratings score of C. 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 solid stock price performance. However, as a counter to these strengths, the team also finds weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.
You can view the full analysis from the report here: QRVO