chinaman711
09-13-2007, 11:23 AM
Picked up a little for a trade with a stop at 4.23, tanked on earngs report last night--------Ahead of the Bell: Syntax-Brillian Falls
Thursday September 13, 9:01 am ET
Syntax-Brillian Shares Fall on Disappointing 1Q Guidance, Though Analysts Not Too Concerned
NEW YORK (AP) -- Shares of Syntax-Brillian Corp. dropped sharply in Thursday premarket trading, after the maker of Olevia high-definition televisions issued disappointing fiscal first-quarter guidance. Analysts, however, said the company is still enjoying strong demand.
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Shares dropped $1.33, or 21.7 percent, to $4.80 in premarket trading after ending the regular Wednesday session at $6.13.
After the closing bell Wednesday, the company issued a fiscal first-quarter revenue forecast well below Wall Street projections, blaming a severe tightening of credit in Asia that is squeezing its suppliers. The company said it expects revenue between $170 million to $180 million, up from $87 million a year ago, but well below Wall Street's $256.6 million estimate.
Robert W. Baird & Co. analyst Tristan Gerra, in a client note, noted the new guidance still suggests strong year-over-year performance, and reiterated an "Outperform" rating on the stock. Fundamentals are unchanged and still strong, as demand for Olevia televisions in Asia and the U.S. are outweighing the company's ability to produce, he wrote.
The analyst cut his target price on the stock to $12 from $15, noting the tighter credit conditions does lower near-term growth possibilities for Syntax-Brillian.
CIBC World Markets Corp. analyst Daniel M. Gelbtuch, in a client note, reiterated a "Sector Outperformer" rating.
"Though Syntax-Brillian's shift in focus away from credit-constrained Asia to North America is restraining near-term revenue growth, Olevia demand remains strong in both markets, and we view weakness as a buying opportunity," he wrote. "We believe the Olevia brand will continue to generate impressive traction, as Syntax-Brillian improves its ability to finance its torrid growth pace."
The company on Wednesday said it swung to a fiscal fourth-quarter profit as revenue more than tripled. Syntax-Brillian also said its chief financial officer Wayne Prat will resign, effective Sept. 30, to pursue another business opportunity.
Thursday September 13, 9:01 am ET
Syntax-Brillian Shares Fall on Disappointing 1Q Guidance, Though Analysts Not Too Concerned
NEW YORK (AP) -- Shares of Syntax-Brillian Corp. dropped sharply in Thursday premarket trading, after the maker of Olevia high-definition televisions issued disappointing fiscal first-quarter guidance. Analysts, however, said the company is still enjoying strong demand.
ADVERTISEMENT
Shares dropped $1.33, or 21.7 percent, to $4.80 in premarket trading after ending the regular Wednesday session at $6.13.
After the closing bell Wednesday, the company issued a fiscal first-quarter revenue forecast well below Wall Street projections, blaming a severe tightening of credit in Asia that is squeezing its suppliers. The company said it expects revenue between $170 million to $180 million, up from $87 million a year ago, but well below Wall Street's $256.6 million estimate.
Robert W. Baird & Co. analyst Tristan Gerra, in a client note, noted the new guidance still suggests strong year-over-year performance, and reiterated an "Outperform" rating on the stock. Fundamentals are unchanged and still strong, as demand for Olevia televisions in Asia and the U.S. are outweighing the company's ability to produce, he wrote.
The analyst cut his target price on the stock to $12 from $15, noting the tighter credit conditions does lower near-term growth possibilities for Syntax-Brillian.
CIBC World Markets Corp. analyst Daniel M. Gelbtuch, in a client note, reiterated a "Sector Outperformer" rating.
"Though Syntax-Brillian's shift in focus away from credit-constrained Asia to North America is restraining near-term revenue growth, Olevia demand remains strong in both markets, and we view weakness as a buying opportunity," he wrote. "We believe the Olevia brand will continue to generate impressive traction, as Syntax-Brillian improves its ability to finance its torrid growth pace."
The company on Wednesday said it swung to a fiscal fourth-quarter profit as revenue more than tripled. Syntax-Brillian also said its chief financial officer Wayne Prat will resign, effective Sept. 30, to pursue another business opportunity.