3.8800 0.00 (0.00%)
After hours: 4:53PM EDT
|Bid||3.8600 x 1300|
|Ask||4.0100 x 2200|
|Day's Range||3.8100 - 4.0000|
|52 Week Range||3.2600 - 9.4800|
|Beta (3Y Monthly)||1.19|
|PE Ratio (TTM)||N/A|
|Earnings Date||Aug 5, 2019 - Aug 9, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||10.08|
NeoPhotonics reduced its second-quarter sales guidance from a range of $88 million to $93 million to a range of $75 million to $80 million vs. a $90.4-million consensus estimate. On May 15, the Trump administration added Huawei to a list of companies that U.S. firms can no longer trade with unless they have a license. "This action creates a material impact on NeoPhotonics and many others in the optical communications market and related industries.
on Thursday cut its second-quarter guidance amid lower revenue expectations resulting from the U.S. ban on business with Huawei Technologies, the Chinese telecom giant. NeoPhotonics said it now expects an adjusted per-share loss of between 5 cents and 15 cents, and revenue of between $75 million and $80 million vs. previous guidance of a per-share loss of between 4 cents and 6 cents and revenue of between $88 million and $93 million. The U.S. Bureau of Industry and Security, part of the U.S. Commerce Department, earlier this month placed Huawei and dozens of its affiliates on an "Entity List" that greatly restricts its ability to buy components from U.S. companies.
Shares of NeoPhotonics Corp. rose 1.5% in premarket trade Thursday, after the optical components maker revised its second-quarter guidance lower as a result of the U.S. ban on business with China's telecom giant Huawei Technologies. NeoPhotonics now expects an adjusted loss per share of 15 cents to 5 cents, revenue of $75 million to $80 million and adjusted gross margin of 22% to 26%, versus previous guidance of and adjusted per-share loss of 6 cents to a profit of 4 cents, revenue of $88 million to $93 million and adjusted gross margin of 25% to 29%. The FactSet consensus was for a per-share loss of 3 cents and revenue of $87.8 million. "This action creates a material impact on NeoPhotonics and many others in the optical communications market and related industries," said Chief Executive Tim Jenks. "We are fully complying with the restrictions and have ceased shipments of products subject to [U.S. Export Administration Regulations]." The stock has tumbled 48.8% over the past three months through Wednesday, while the S&P 500 has gained 2.3%.
NeoPhotonics Corporation (NPTN), a leading designer and manufacturer of optoelectronic solutions for the highest speed communications networks in telecom and datacenter applications, today announced an updated business outlook for the second quarter of 2019 as well as a write-down of certain inventories as a result of the U.S. Bureau of Industry and Security (BIS) of the U.S. Department of Commerce placing Huawei Technologies Co. and certain of its affiliates on the Bureau’s Entity List with an effective date of May 21, 2019. Companies may not provide products and technologies subject to U.S. Export Administration Regulations (EAR) to organizations on the “Entities List” without a license. “This action creates a material impact on NeoPhotonics and many others in the optical communications market and related industries.
Understanding the Impact of Trump’s Huawei Ban on US StocksHuawei banLast week, Donald Trump blacklisted Chinese telecom giant Huawei Technologies amid rising US-China trade tensions, restricting US companies’ transfer or supply of any
Stocks of companies doing significant business with Huawei fell Monday. Shares are falling in reaction to Trump administration efforts to prevent companies from doing business with the Chinese telecom giant.
Shares of optoelectronics company NeoPhotonics Corp. were up more than 10% in Monday trading after B. Riley analyst Dave Kang upgraded the stock to buy from neutral, arguing that the uncertainty over a U.S. ban on sales to Huawei Technologies Co. has been "de-risked." Shares dropped more than 30% last week after the ban was announced. "One of the reasons for our renewed bullishness is that we believe the Huawei ban could be another leverage point for President Trump, who is set to meet with China's President Xi at the G20 Summit in late June, and as such, we believe the ban could be fairly brief," Kang wrote. "Furthermore, we believe the Huawei ban will pressure NeoPhotonics management to weigh strategic options, including the potential sale of the company." The upgrade comes as fellow optoelectronics company Lumentum Holdings Inc. lowered its outlook as a result of the Huawei ban and as companies like Alphabet Inc.'s Google began to comply with the order. NeoPhotonics shares are still off 35% on the year, as the S&P 500 has risen 14%.
Semiconductor makers and optical component suppliers were among the biggest decliners on Friday. NeoPhotonics Corp., whose products help transmit data in telecom networks, fell as much as 28%, following a 21% decline on Thursday.
The Trump administration putting Huawei -- and dozens of its affiliates -- on an export blacklist means “the U.S. government has halted China’s 5G push,” and is transforming the trade war “into a digital one,” Sean Darby, Jefferies’s chief global equity strategist, wrote in a note. The move may have ramifications well beyond the tech sector as well, analysts at MKM wrote.
plunged nearly 25% on Friday after the optical communications equipment maker received a downgrade from an analyst at MKM Partners, who cited increased uncertainty relative to the company's largest customer, Huawei. NeoPhotonics stock was down 24.67% to $3.42 on the Nasdaq Stock Market after MKM Partners analyst Michael Genovese cut his rating on the company to neutral from buy and slashed his price target in half - to $4.50 from $9 - noting that Huawei accounted for almost half of NeoPhotonics' sales in 2018.
Shares of NeoPhotonics Corp. were indicated down nearly 7% in premarket trade, extending the previous session's 21% plunge, after MKM Partners analyst Michael Genovese cut his rating on the optical equipment maker and slashed his price target in half, following the Trump administration's moves to ban business with China's Huawei Technologies. Genovese downgraded NeoPhotonics to neutral from buy, and lowered his stock fair value estimate to $4.50 from $9.00, given that Huawei is the company's largest customer, representing about 46% of sales in 2018. He said he "holds out hope" that there is a 50% probability that the ban is walked back as part of a trade agreement, which would then turn the recent selloff into a great buying opportunity. The stock has tumbled 38.5% over the past three months, while the Nasdaq Composite has gained 5.7% and the S&P 500 has edged up 3.6%.
President Trump's move to curb Chinese firm Huawei's access to U.S. technology drove down shares in several U.S. tech firms, including NeoPhotonics, Lumentum, Xilinx, and other suppliers.
Lockheed Martin, Rite Aid, Avid Technology, NeoPhotonics and EXFO highlighted as Zacks Bull and Bear of the Day
Today we've highlighted three stocks that fall into the broad "technology" sector. Each of these three stocks is currently trading for less than $10 a share and holds a Zacks Rank 1 (Strong Buy) or 2 (Buy) at the moment.
NeoPhotonics Corp (NYSE: NPTN ) reported first-quarter revenue in-line with the consensus estimate Thursday, while missing expectations on the EPS front. With its 400G product expected to ramp only in ...
NeoPhotonics Corp. shares are down 5.4% in morning trading Friday after the optoelectronics company posted a sizable miss on the bottom line the prior afternoon. "NeoPhotonics gross margin continued to underperform, in what was otherwise a largely uneventful [report]," wrote Raymond James analyst Simon Leopold, who rates the stock at market perform. "Management did not refute potential inventory builds from Chinese customers but considered these moderate and largely linked to expected regional activity." Needham analyst Alex Henderson said there was "some improvement in the outlook," though it was clouded by issues with mix and foreign exchange. "Even as demand out of China is improving, the mix has surprised with a shift to 100G/200G older products for longhaul backbones," he wrote. "This put a bit of unexpected pressure on GMs which came in at 22.5% below our forecast of 26%." Henderson has a strong buy rating on the shares and a $12 target. The stock has fallen 14% over the past three months, while the S&P 500 has gained 8%.