TriQuint, Alcatel-Lucent: Pre-Market Movers
NEW YORK (TheStreet) -- TriQuint(:TQNT) shares tumbled in pre-market trading on Wednesday as investors digested the semiconductor specialist's weak second-quarter guidance.
The Apple(:AAPL) partner beat the consensus revenue view with its first-quarter results and delivered an in-line profit for the first three months of the year.
For the second quarter, however, TriQuint sees revenue of between $170 million and $185 million and a loss of 10 to 15 cents a share. Analysts surveyed by Thomson Reuters were looking for sales of $222.95 million and earnings of 5 cents a share.
TriQuint shares are down 77 cents, or 13.95%, to $4.75 in pre-market trading.
In a statement, TriQuint CEO Ralph Quinsey blamed the weak guidance on a "challenging second quarter" in the mobile device market, citing the company's "largest customer."
"We're going through a period in Q2 that's a dip," added Quinsey, during an interview with TheStreet. "We expect to return to normal revenue levels in Q3 and have growth in the second half of the year based on good product traction."
TriQuint was also one of the most active Nasdaq stocks in pre-market trading on share volume of 344,666.
Alcatel-Lucent(:ALU) was another tech laggard, as investors responded to the company's first-quarter results, released before market open. The telecom equipment maker's revenue slipped 12.3% year-over-year and 22.7% sequentially as the Paris-based firm acknowledged difficult market conditions.
"Today's results reflect a slow start to the year while demonstrating good control on both cash and costs and a strong momentum in our next generation products portfolio," said Ben Verwaayen, the Alcatel-Lucent CEO, in a statement.
The CEO, however, acknowledged that Alcatel-Lucent's gross margin is not at the level he would have liked. "Since the last quarter of 2011, we have been negatively impacted by lower volume and by an unfavourable revenue mix, particularly in services," he added.
Alcatel-Lucent's gross margin was 30.3%, down from 35.3% in the prior year's quarter, and 34.4% in the fourth quarter.
The company's shares fell 26 cents, or 13.33%, to $1.69 before market open.
Electronic Arts(:EA), however, climbed $1.19, or 7.93%, to $16.20 as the stock rebounded from its recent low. The video game company was among the most active Nasdaq stocks with share volume of 464,325.
Apple(:AAPL) shares, which closed up 8.87% on Wednesday following the tech giant's blowout second-quarter results, were up 0.44% to $612.70 in pre-market trading.
--Written by James Rogers in New York.
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