Engineering software maker Autodesk, Inc. (ADSK) said late Thursday that its second quarter profit plunged 88% from last year, hurt by sharply lower sales amid the global economic recession.
The San Rafael-based company reported second quarter net income of $10.5 million, or 5 cents per share, down from $89.8 million, or 39 cents per share, in the year-ago period. Excluding one-time items, Autodesk saw an adjusted profit of 24 cents per share.
Revenue fell 33% from last year to $415 million.
On average, Wall Street analysts expected a lower adjusted profit of 19 cents per share, on slightly lower revenue of $413.7 million.
Looking ahead, Autodesk forecast third quarter profits of 4 to 9 cents per share, or 18 cents to 23 cents on an adjusted basis, on revenue of $400 million to $420 million. Analysts currently expect 21 cents per share on $419.1 million.
Autodesk shares rose $1.15, or 4.8%, in morning trading Friday.
The Bottom Line
Shares of ADSK are off 52-week highs of $38 a share. The stock has technical support in the $17-$20 price area. If the shares can continue today's momentum, we see overhead resistance around the $28 price level. We do not currently rate this non-dividend paying stock, but we do follow the company closely.
Autodesk, Inc. (ADSK) does not currently pay a dividend.
Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.
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