AuthenTec shares plunge on lowered guidance
Shares of AuthenTec (Nasdaq: AUTH) are plunging in pre-market trading after the fingerprint sensors provider lowered its revenue guidance for the third quarter and full year. The company also reduced its earnings forecast for the full year.
AuthenTec attributed the reduction in estimated revenue to an overstocked inventory position at a new customer and the impact of lower than expected sales of higher-end notebooks, which are more likely to be equipped with a fingerprint sensor as a standard or optional feature.
AuthenTec also said a “significant PC customer” does not plan to use its fingerprint sensors in its next design cycle in late 2009. AuthenTec anticipates an impact to its sales will occur in the second half of 2009.
Shares flopped 33%, or $2.09, to $4.30 in pre-market trading. For detailed price information and news stories on AuthenTec, click AUTH.
