WESTPORT, Conn. (AP) -- Shares of Terex Corp. tumbled Monday after the machinery products maker cut its full-year 2013 guidance below Wall Street's estimates, saying that sales growth has been weaker than it previously expected.
The Westport, Conn., company expects an adjusted profit of $1.90 to $2.10 per share for the year. It previously projected earnings of $2.40 to $2.70 per share.
Analysts, on average, expect a profit of $2.51 per share, according to FactSet.
Terex also issued a second-quarter adjusted profit prediction of 50 to 60 cents per share, significantly below the analysts' estimate of 83 cents per share.
Terex Chairman and CEO Ron DeFeo said demand for its construction, material handling and port solutions, and cranes operations have been weaker than expected.
DeFeo added that the North American market continues to improve but at a slower pace. Meanwhile the European market "remains challenging overall," and the markets in the rest of the world are mixed, he said.
DeFeo said the company's cost cuts remain on track and he continues to expect that the second half of 2013 will show improved results over 2012.
In afternoon trading, Terex fell $2.86, or 9 percent, to $28.89 after dropping as low as $26.71 earlier in the day. Over the past 52 weeks, the stock has traded between $14.05 and $37.12.