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Hot Stocks: Foundry melts
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December 19, 2000: 8:03 p.m. ET
Foundry Networks plummets after warning, affecting other networking stocks
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NEW YORK (CNNfn) - A fourth-quarter warning by Foundry Networks set off a chain reaction of downslides in the Internet networking stocks in after-hours trading Tuesday.
Foundry Networks announced its fourth-quarter earnings would miss analysts' estimates.
Jabil Circuits fell after the company reported its fiscal first quarter earnings missed Street expectations.
Tuesday's after-hours losers
Foundry Networks Inc. (FDRY: Research, Estimates) down $13.62 to $17. The maker of Internet networking products said Tuesday it expects to report fourth-quarter earnings below analysts' expectations, citing a recent shift in spending on communications infrastructure.
Extreme Networks (EXTR: Research, Estimates) down $11.69 to $36.88. Juniper Networks (JNPR: Research, Estimates) down $8.94 to $104.81. Cisco (CSCO: Research, Estimates) down 81 cents to $40.94. Redback Networks (RBAK: Research, Estimates) down $6.12 to $49.75. Other networking stocks fell on Foundry's warning.
Jabil Circuit Inc. (JBL: Research, Estimates) down $5.81 to $22. The contract electronics manufacturer, on Tuesday said first-quarter 2001 earnings fell short of expectations because of shortages of key components.
Solectron (SLR: Research, Estimates) down $2 to $29.75. The world's largest contract electronics manufacturer Monday reported fiscal first-quarter earnings of 29 cents a share, beating expectations by a penny.
Electro Scientific Industries (ESIO: Research, Estimates) down $1 to $25.12. The electronics manufacturing equipment maker reported fiscal second-quarter earnings of $1 a share, well above the consensus analyst estimate of 87 cents a share.
Tuesday's after-hours newsmakers
Nike (NKE: Research, Estimates) unchanged at $47.56. The sports apparel maker on Tuesday reported a higher second-quarter profit that met forecasts, driven by strong revenue growth in the U.S. and Asia, despite European results that were punished by the effects of the strong dollar.
St. Joseph Light & Power (SAJ: Research, Estimates) down 13 cents to $22.25. UtiliCorp United (UCU: Research, Estimates) said late Monday it hopes to complete its acquisition of St. Joseph, an electric and natural gas utility, by the end of the year.
Conseco (CNC: Research, Estimates) down 6 cents to $10.50. The financially strapped insurer will sell its share of a Cincinnati-area riverboat casino for $260 million to principal owner Argosy Gaming (AGY: Research, Estimates), but said its fourth-quarter earnings will miss Wall Street estimates.
Great Plains Systems (GPSI: Research, Estimates) unchanged at $32.88. The maker of business-management software fell despite reporting fiscal second-quarter earnings that beat Wall Street estimates by a penny.
Family Dollar Stores (FDO: Research, Estimates) unchanged at $19.50. Goldman rated the discount retailer "market outperform" and cut it from its "recommended" list. Deutsche Bank Alex. Brown also downgraded the company to "buy" from "strong buy."
PLX Technology (PLXT: Research, Estimates) unchanged at $4.50. The communications software company warned Monday it was reducing fourth-quarter revenue expectations due to softening demand and the rescheduling and delay of orders from its customers.
Ciena (CIEN: Research, Estimates) down 94 cents to $72. 25. The optical network systems developer said it would buy Cyras Systems for $2.6 billion in stock, adding that the deal should begin contributing to Ciena's bottom line in the second half of fiscal year 2002.
Dollar Tree Stores (DLTR: Research, Estimates) down 9 cents to $20.34. Goldman Sachs cut its earnings estimates for the discount variety store chain selling goods for a dollar or less after it warned Monday that fourth-quarter earnings will be well below Wall Street expectations due to disappointing holiday sales.
Rayovac (ROV: Research, Estimates) up 12 cents to $12.50. The battery maker warned of lower-than-expected sales and earnings for the current fiscal first quarter and all of fiscal 2001 due to weaker battery demand than the prior year, which was skewed by Y2K buying.
Cummins Engine (CUM: Research, Estimates) unchanged at $33.69. The diesel engine manufacturer warned it expects to post a fourth-quarter loss instead of the profit that Wall Street forecast, reflecting deteriorating demand for its engines.
Merix (MERX: Research, Estimates) up 6 cents to $12.38. The company, which makes products used in computer circuit boards, warned that a slowdown in customer demand will hurt results in the next two quarters.
SBC Communications (SBC: Research, Estimates) up 7 cents to $46.63. The No. 2 U.S. local phone company said a slowing economy and delays in offering long-distance services will dampen its financial results next year, putting its earnings and revenue growth at the low end of expectations. 
compiled by Mark Gongloff and Parija Bhatnagar from staff and wire reports
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