Corning Stock Sinks as Results, Q3 Outlook Underwhelm

Shares of Corning (GLW), a beneficiary of nan artificial intelligence (AI) boom, tumbled Tuesday aft nan specialty solid maker's second-quarter results and current-quarter guidance missed analysts' expectations.

The company's shares soared earlier this period aft it lifted its second-quarter adjusted net guidance connected AI fueling request for its optical products. But connected Tuesday, its shares plunged 8.5% arsenic of 12:30 p.m. ET connected GAAP Q2 results that missed estimates and a disappointing third-quarter outlook. 

Corning said that it expects halfway income to turn to astir $3.7 cardinal successful nan 3rd quarter, pinch halfway earnings per stock (EPS) successful nan scope of $0.50 to $0.54. Analysts polled by Visible Alpha had been expecting $3.75 cardinal and $0.55, respectively.

Q2 GAAP Results Also Miss; Adjusted Figures Better

For nan 2nd quarter, Corning reported EPS of $0.12 connected gross of $3.25 billion, while analysts were looking for $0.33 and $3.36 billion, respectively.

However, Corning's adjusted Q2 figures were stronger. It posted halfway EPS of $0.47, topping its ain raised guidance, connected $3.6 cardinal successful halfway sales, which matched its revised expectations. The halfway EPS fig matched Visible Alpha estimates and halfway income narrowly hit them.

Chief Executive Officer (CEO) Wendell Weeks said nan results were "driven chiefly by nan beardown take of our caller optical connectivity products for generative AI."

Despite their slump Tuesday, Corning shares person gained 28% year-to-date.