Worst IPOs #3: CYAN (CYNI)
CYAN (CYNI) develops networking technology based on software-driven transport/switching, which allows for higher performance at data centers at a lower cost.
But growth has been uneven as CYNI relies on snagging large contracts with few telecom operators. That makes CYNI vulnerable to earnings misses, which happened in Q4. The company announced guidance for revenues of $30 million to $33 million — far short of the Street’s expectations of $46 million.
CYAN is still hopeful about the long-term, however. According to ACG Research, the target market for the company’s products is nearly $16 billion worldwide. For now, though, CYNI stock makes our list of the worst IPOs of 2013.