RealTime IT News

Computer Sciences Slumps on Outlook

Computer Sciences capped another down day on Wall Street Tuesday with a financial outlook that was below expectations.

CSC reported March quarter earnings of $1.16 a share on sales of $3.88 billion, beating forecasts. Sales were flat with the year-ago quarter. U.S. government sales were strong thanks to Department of Defense work, but commercial sales were down.

The IT services firm issued June quarter guidance of sales of $3.4-3.5 billion and earnings "in the mid-60 cent range." Analysts were looking for sales of $3.71 billion and earnings of 69 cents a share.

CSC shares declined 2.7% in after-hours trading.

Stocks gave back an early rally Tuesday to close in the red once again.

The Nasdaq fell 14 to 2158, the S&P 500 lost 5 to 1256, and the Dow fell 26 to 11,098. Volume declined to 2.67 billion shares on the NYSE, and 2.2 billion on the Nasdaq. Decliners led 17-14 on the NYSE, and 17-13 on the Nasdaq. Downside volume was 55% on the NYSE, and 66% on the Nasdaq. New highs-new lows were 30-123 on the NYSE, and 56-96 on the Nasdaq.

Dell lost ground on reports that it plans to open retail showrooms in Dallas and New York.

Sun slumped 5% on reports that it is considering layoffs.

Tech Data , Sycamore and ASML rose on their earnings news.

Palm tumbled 8% on a Bear Stearns downgrade.