How Infinera Corp. Stock Fell 28% in August

Shares of Infinera (NASDAQ: INFN) fell 27.9% in August 2017, according to data from S&P Global Market Intelligence. The plunge started with a sharp drop in early August, when a mixed second-quarter report plus a weak forward guidance led to a 17% share price drop the next day.

In the second quarter, Infinera's sales fell 32% year over year to land at $177 million. The maker of fiber-optic networking equipment for long-range and data center connections also reported an adjusted net loss of $0.15 per share, down from positive adjusted earnings of $0.21 per share in the year-ago quarter. Analysts were looking for a $0.16 loss per share on roughly $181 million in top-line revenue.

Looking ahead, Infinera painted a third-quarter revenue target near $190 million and management expects to see a non-GAAP net loss of approximately $0.16 per share again. Both of these guidance targets were worse than Wall Street's projections at the time.

Source: Fool.com