Why Silicon Laboratories Stock Dropped Today
Shares of Silicon Laboratories (NASDAQ: SLAB) fell as much as 19% early Wednesday, then partially recovered to close down 5.4% as disappointing forward guidance overshadowed a better-than-expected quarter from the semiconductor specialist.
Silicon Labs' quarterly revenue declined 24.5% year over year to $203.8 million, translating to non-GAAP (adjusted) net income of just under $20 million, or $0.62 per share (up from $0.60 per share in the same year-ago period). Analysts, on average, were only expecting earnings of $0.61 per share on revenue of $200 million.
CEO Matt Johnson touted the company's strong execution, noting the company achieved a record number of design wins during the quarter. Quarterly revenue and earnings were also above the respective midpoints of the company's guidance provided in late July.
Source Fool.com
