Symmetry Medical drops sharply on 2013 outlook cut

Symmetry Medical cuts full-year forecast, gives 2Q outlook below Street's view; stock drops

Associated Press

NEW YORK (AP) -- Shares of Symmetry Medical Inc. hovered near a 52-week low on Tuesday after the medical device company lowered its full-year adjusted earnings and revenue forecasts and provided second-quarter guidance below Wall Street's expectations.

THE SPARK: Symmetry said Monday after the market closed that it now anticipates 2013 adjusted earnings in a range of 40 cents to 50 cents per share, on revenue between $400 million and $415 million. Its prior outlook was for adjusted earnings of 64 cents to 76 cents per share on revenue between $420 million and $440 million.

Analysts polled by FactSet, on average, had expected earnings of 54 cents per share on revenue of $421.5 million. Projections were lowered after Symmetry's cut, and the consensus is now for adjusted earnings of 41 cents per share, on revenue of $412.1 million.

The company said that it cut its full-year forecast based on actual results for May, projected results for June and revised expectations for the second half of the year.

For the second quarter, Symmetry predicts adjusted earnings of 6 cents to 8 cents per share on revenue in a range of $98 million to $100 million. Wall Street was expecting earnings of 13 cents per share on revenue of $103.6 million. The average projection dropped after the statement to 9 cents per share, on $100.3 million in revenue.

SHARE ACTION: Down $1.43, or 15.6 percent, to $7.74 in midday trading. Over the past year, the shares have traded between $7.48 and $12.83. The stock closed Monday off 13 percent for the year to date.

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