This dramatic drop is over the top. This is more what companies do when they are looking at bankruptcy. This company is as the analytst said "ripping off the bandaid" and is only looking at one or two quarters that may not meet expectations. Otherwise it is still on track for 30% plus growth. So why doe it drop in half?
It drops for the same reason all stocks drop. The MM"s want to steal your shares and then after they have stolen enough shares, they will allow the PPS to rise again back to pre crash levels. This casino like all casino's is rigged in favor of the house(e.g. Goldman Sachs, Morgan Stanley, etc.). Plus, they like to suck in new money by trumpeting that the stock is "oversold" is a great "value" to get sucker money in. Then, it will go down another 10-15% over the next 3 months. Satisfied that they have milked the retail investor out of his life savings and have accumulated millions of shares at a fraction of the company's value, only then can the share price be allowed to go up again.