Why They’re Down Big: Quiksilver Inc (ZQK), Ciena Corp (CIEN), Matrix Service Co (MTRX)
While the market was basically flat on the day, there were several companies that got crushed , or in some cases, are getting crushed after hours. Some of the biggest moves were seen in Quiksilver Inc (ZQK), Ciena Corp (CIEN), and Matrix Service Co (MTRX).
Quiksilver Inc (ZQK) is no stranger to volatility and today it is seeing it after hours. The stock has been in steady, and sometimes rapid decline the past 9 months, falling from the $9 level since January. Today Quiksilver Inc (ZQK) closed trading at $2.83 down just 5 cents today, on volume of almost 6 million shares traded. While that doesn’t seem too bad, after hours ZQK is down a staggering 41 cents currently, down 14% in after hours trading. And the reason for the rapid drop after hours in Quiksilver Inc (ZQK) was the fact it missed Q3 earnings by 23 cents. Ouch.
Ciena Corp (CIEN) reported a decent Q3 earnings this morning, at least theoretically. CIEN beat estimates by 3 cents, bringing in 32 cents per share. They also squeaked ahead of revenue estimates by about 3 million. Revenue was $603.6 Million. And yet, investors were not pleased with these results, punishing the stock today, knocking it down by almost 10%. Ciena Corp (CIEN) closed trading at $18.51, down $1.95 on the day. The 52 week high on CIEN is $27.93, while the low is $18.00. Volume was a massive 15.65 million shares versus it’s average daily volume of 2.7 million.
So why the big drop in Ciena Corp (CIEN) if earnings beat estimates? The dreaded Q4 outlook. The company warned revenues could be as much as $60 million less than estimates on the street.
Matrix Service Co (MTRX) was one stock that took a very large beating today. MTRX share price dropped 21.5% today. Matrix Service Co (MTRX) announced poor earnings yesterday and was punished today for that, plus it’s revised forward estimates which were much lower than the street estimates.
Matrix Service Co (MTRX) closed trading at $22.86 today, down $6.27, on volume of 3.5 million shares. MTRX usually trades a paltry 200,000 shares a day.
Matrix Service Co (MTRX) investors that didn’t bail can breathe slightly easier, as the stock is up a whole 17 cents after hours!
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