JDSU Telegraphs Lower Guidance After Earnings

JDS Uniphase Corporation (NASDAQ:  JDSU) reported its earnings Tuesday after the close. This report was one which sounded favorable for JDS Uniphase at first, but the guidance tells a different story.

JDS Uniphase posted a handy gain in its earnings per share at $0.14 which beat the Thomson Reuters estimate of $0.13 earnings per share. Revenue was $448.6 million compared to the estimate $436.8 million. Last year the earnings per share was recorded at $0.13 and revenue at $421.3 million – so, the change from year to year on earnings per share was $0.01 and revenue grew by $27 million.

The numbers that JDS Uniphase hit this quarter exceeded its guidance issued the previous quarter. The problem now is that the forward guidance is lower.

JDS Uniphase is now calling for revenue to be in the range of $405 to $425 million and for earnings per share to be in the range of $0.08 to $0.12. Thomson Reuters had those expectations set at $0.14 in earnings per share and $440.9 million in revenues. This just doesn’t bode well.

In Tuesday’s regular trading session JDS Uniphase posted a high of $11.97 and a low of $11.70. It closed at $11.91 in anticipation of the earnings with only a 0.5% loss on the day. The after-hours session had shares down another 3.7% at $11.47.

JDS Uniphase has a 52-week range of $10.29 to $16.61. The consensus target price prior to the poor guidance was $14.23.