Market Preview: A Whole Lot of Nothing
The company said it's modeling for earnings of 97 cents to $1.03 a share in the three months ending in August, below the current average estimate of analysts polled by Thomson Reuters for a profit of $1.08 a share.
Meanwhile, Red Hat beat Wall Street's profit expectations for a ninth straight quarter after the closing bell but the stock was being slammed because of billings fell short.
Billings, defined as revenues plus the change in deferred revenue, came in at $310 million. Wall Street was expecting $319 million, according to Mizuho Securities analyst Abhey Lamba, who has a buy rating on the stock. The stock was last quoted at $50.56, off 10.5%, on volume of 1.7 million.
--Written by Michael Baron in New York.
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