Motley Fool
0
All posts from Motley Fool
Motley Fool in Motley Fool,

Why Unisys Shares Plunged Today

What happened

Unisys (NYSE: UIS) stock plunged today, down by 15% as of 12:00 p.m. EDT, after the company reported second-quarter earnings results.

So what

Revenue in the second quarter fell to $666 million, in part due to lower revenue in the company's technology segment, which was largely expected by management. That translated into a net loss of $42 million, or $0.83 per share.

Image source: Unisys.

Non-GAAP operating margin was 4%, and Unisys closed a $440 million senior notes offering during the quarter. The company ended the quarter with $571 million cash and equivalents.

Now what

"For our first half, our results continued to indicate progress against our key strategic and financial goals," said CEO Peter Altabef in a statement. "While we saw some year-over-year variability during the second quarter, in part due to a very difficult compare for our Technology segment, we continue to see improvement in our go-to-market efforts."

Unisys is reaffirming its full-year 2017 guidance, which calls for revenue in the range of $2.65 billion to $2.75 billion, with a non-GAAP operating margin of 7.25% to 8.25%. Adjusted free cash flow for the year is expected to be $130 million to $170 million.

10 stocks we like better than Unisys
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*

David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Unisys wasn't one of them! That's right -- they think these 10 stocks are even better buys.

Click here to learn about these picks!

*Stock Advisor returns as of August 1, 2017

Evan Niu, CFA has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.