Shares of Cadence Design Systems dropped 8.8% to $260 in post-market trading after the company’s outlook for the second quarter came in below Wall Street expectations.
Cadence, which makes electronic systems and software, guided Monday for quarterly adjusted earnings per share of $1.20 to $1.24, while analysts polled by FactSet expect earnings of $1.43.
The company also guided for revenue of $1.03 billion to $1.05 billion, ahead of the $977 million reported for the same period a year earlier. Analysts forecast higher revenue of $1.11 billion, according to FactSet.
Cadence Design’s outlook came after the company raised its outlook for the year after reporting that profit rose in the first quarter.