Pitney Bowes Inc. (NYSE:PBI) stock was hit hard today on an earnings miss for the third quarter of the year.
The bad news for PBI stock starts with earnings per share of 33 cents for the third quarter of 2017. This is a drop from its earnings per share of 44 cents from the same time last year. It also came in well below Wall Street’s earnings per share estimate of 42 cents for the quarter.
Another blow to PBI stock came in the form of a guidance cut. The tech company says that it is now expecting earnings per share for 2017 to range from $1.38 to $1.46. This is a large drop from its previous guidance range of $1.70 to $1.78. It also won’t have Pitney Bowes Inc. meeting analysts’ earnings per share estimate of $1.68 for the year.
Pitney Bowes Inc.’s outlook reduction also spread to its free cash flow for 2017. It was previously expecting free cash flow for the year to range from $400 million to $430 million. However, now it is looking for free cash flow to range from $350 million to $380 million in 2017.
On top of its poor report for the third quarter of the year, Pitney Bowes Inc. also notes that it is currently exploring strategic alternatives. Marc Lautenbach, President and CEO of Pitney Bowes Inc., says this may allow it to “further unlock shareholder value.”
Pitney Bowes Inc. reported revenue of $842.82 million in its third quarter of the year. This beat out Wall Street’s revenue estimate of $831.45 million for the quarter, but wasn’t enough to save PBI stock today.
PBI stock was down 18% as of Wednesday afternoon and is down 25% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.