Why A10 Networks, CyberArk Software, and RH Slumped Today

Friday was another strong day on Wall Street, with key benchmarks pushing further into all-time high territory. The Dow finished higher by 85 points, setting a record for the second day in a row, and the S&P 500 joined it with a 0.5% gain. The beginning of earnings season has many investors feeling hopeful about the prospects for a strong start to the second half of the year, and several sectors that have seen share prices lag recently rebounded today, including technology and energy companies. Yet the gains weren't universal, and some stocks missed out on the record rally. A10 Networks (NYSE: ATEN), CyberArk Software (NASDAQ: CYBR), and RH (NYSE: RH) were among the worst performers on the day. Below, we'll look more closely at these stocks to tell you why they did so poorly.

Shares of A10 Networks plunged 16% after the networking company released preliminary financial results for the second quarter. A10 warned that its revenue would be roughly $10 million less than it had previously expected, representing a more-than-15% shortfall. The company also now expects to lose money for the quarter even on an adjusted basis, compared to its initial guidance for a modest profit. CEO Lee Chen said that several deals that it had been working on didn't lead to closed sales. It wasn't entirely clear to what extent that business was entirely lost or whether those sales might come in on a delayed basis, but investors will definitely be looking for more guidance when A10 offers its full financial results later this month.

Image source: A10 Networks.

Source: Fool.com