Why Shares of NeoPhotonics Are Surging Today
Shares of optoelectronic-solutions provider NeoPhotonics (NYSE: NPTN) soared on Tuesday after the company reported third-quarter results that weren't as bad as analysts expected. NeoPhotonics beat estimates for both revenue and earnings, and its guidance was in line with expectations. The stock was up 20% at 12:15 p.m EST.
NeoPhotonics reported third-quarter revenue of $71.1 million, down 31.2% year over year but a little more than $1 million higher than the average analyst estimate. The big decline in revenue was the result of weak demand in China, an issue that has roiled the industry this year. Last month, the company announced restructuring actions aimed at bringing down costs amid a weak demand environment.
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Source: Fool.com
