Why CalAmp Stock Dropped Today
Shares of CalAmp (NASDAQ: CAMP) fell 18.7% on Friday after the machine-to-machine communications company announced strong fiscal third-quarter 2020 results but followed with disappointing guidance.
On the former, CalAmp's revenue climbed 9% year over year to $96.6 million, as a 7.8% decline in telematics systems revenue (to $63.2 million) was more than offset by 67.5% growth in software and subscription services sales to $33.4 million. That translated to adjusted net income of $5 million, or $0.14 per share, down sharply from $8.9 million, or $0.25 per share a year earlier. Both the top and bottom lines were within guidance provided in September for per-share earnings of $0.11 to $0.17 and revenue of $92 million to $98 million.
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Source Fool.com
