Infoblox (BLOX) has had a rough morning after management cut 2014 guidance with BLOX stock down over 45% Tuesday.
The technology company was downgraded by Sterne Agee and Wedbush Securities to neutral with $20 and $25 price targets respectively. The downgrades come after Infoblox changed its 2014 sales projection from $270 million-$276 million to $250 million-$254 million.
The company’s full-year net income is now at 30 cents to 34 cents a share which is a significant drop-off from analyst expectations of 52 cents a share. Needham & Company also downgraded Infoblox to ‘hold’ from ‘buy.’
TheStreet Ratings team rates the company as a ‘sell’ with a ratings score of D+. “Among the areas we feel are negative,” said TheStreet Ratings team. “One of the most important has been unimpressive growth in net income over time.”
BLOX stock is down about 47% in early trading Tuesday.