Updated
Updated · CNBC · Jul 28
Corning Shares Plunge 18% as Q3 Revenue Outlook Misses $5 Billion Consensus
Updated
Updated · CNBC · Jul 28

Corning Shares Plunge 18% as Q3 Revenue Outlook Misses $5 Billion Consensus

1 articles · Updated · CNBC · Jul 28

Summary

  • Corning sank 18% on Tuesday, putting the stock on pace for its worst day since July 2002 after investors focused on a softer current-quarter sales outlook.
  • A 16% core-revenue growth forecast implied $4.9 billion to $5.0 billion for the quarter, below Wall Street's $5.0 billion consensus even though Corning beat on both earnings and revenue.
  • Corning reported adjusted EPS of 78 cents versus 76 cents expected, while revenue reached $4.74 billion against estimates of $4.61 billion.
  • Marvell, Lumentum, AXT and Coherent all fell double digits as Corning's warning rippled through optical-component names tied to AI data-center spending.
  • Corning has become a key supplier to AI infrastructure buildouts through networking solutions and fiber-optic cable, including a June multiyear data-center deal with Amazon.

Insights

Why did a tiny revenue miss erase billions in value for a company dominating the AI fiber-optic boom?
Could Wall Street's panic over short-term guidance blind investors to a massive upcoming AI infrastructure shortage?