M-Systems

(FLSH)

was down 13.7% in midafternoon after hitting a 52-week low of $5.50. The flash-memory maker warned that it will post a first-quarter loss of about 8 cents a share, below the Street's break-even estimate. The company said revenue would be around $15 million, flat with the year-earlier quarter.

M-Systems blamed an unexpectedly high number of order cancellations and delays during the period.