Downgrade sends Proxim shares south

Proxim shares tumbled $11.13, or 26 percent, to $31.88 Tuesday after Morgan Stanley Dean Witter cut the wireless products maker from an “outperform” rating to “neutral.”

First Call Corp. consensus expects Proxim (Nasdaq: PROX) to earn 16 cents a share in its fourth quarter.

Last quarter, it raked in $3.7 million, or 13 cents a share, on sales of $29.3 million.

Its shares hustled up to a 52-week high of $88 in March before falling to a low of $28.50 in May.

Competitor Western Multiplex (Nasdaq: WMUX) was up $1.63 to $8.50 while Netro (Nasdaq: NTRO) fell 56 cents to $6.38.

Eleven of the 12 analysts following Proxim rate it either a “buy” or “strong buy.”