Premiere falls on analyst warning
The voice-messaging provider's shares plummet more than 26 percent following an analyst's warning that recent acquisitions would hurt quarterly results.
The voice-messaging provider's shares closed at 15.8750, down 5.6875 from Friday. This marks the latest slide in the company's stock, which has fallen from around 31 per share in early May.
Marianne Wolk, an analyst with BancAmerica Robertson Stephens, lowered her second-quarter estimates to 22 cents per share from 27 cents.
"This adjustment reflects our reduced confidence in Premiere's near-term outlook, despite several weeks remaining in the quarter," Wolk stated in her report.
It appears that Premiere will not get the increase in voice and data messaging revenues and cost savings from its acquisitions that had been expected, she added. The analyst also lowered her revenue forecast for the company by $4 million to $124 million for the second quarter.
Wolk still maintains a "buy" rating on the company, however.
Meanwhile, analysts expect the company to report second-quarter earnings of 28 cents per share, according to First Call.