More Troubles & Credibility Issues After Acme Packet Earnings (APKT)
Acme Packet, Inc. (NASDAQ: APKT) was having a good day on its own with a 6% gain, but light revenues are gutting the stock. The company’s revenues were light against an already lowered range given about a month earlier. The…
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Acme Packet, Inc. (NASDAQ: APKT) was having a good day on its own with a 6% gain, but light revenues are gutting the stock. The company’s revenues were light against an already lowered range given about a month earlier. The earnings came in at $0.26 EPS on roughly $83 million in sales. Analyst estimates were $0.27 EPS and $84.8 million and against the prior range of $84 million to $86 million.
Investors rarely accept two weak reports in a row, but two in two months is not welcoming sign. Shares went from rough $32 down to $26 on the first warning a month ago. Since then, shares recovered to north of $31 and the stock posted a 6% gain today to $30.89 as short sellers got out of the way. The belief was that maybe things were not so bad. That was then…
After a halt and reopen, Acme Packet shares are down almost 12% at $27.38 in the after-hours session and the stock is the most active by volume with almost 1.5 million shares traded in the after-hours alone. The 52-week range is $25.20 to $84.50.
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Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.
