ShoreTel, Inc. (NASDAQ:SHOR) Beats Expectations, Up 10.80%

Posted by Ryan Mandell May 1, 2013 0 Comment 843 views

Northern, WI 05/01/2013 (GDPInsider) –  ShoreTel, Inc. (NASDAQ:SHOR) began trading today at 4.13 and is quickly up 10.80% on the previous close of 3.61. The stock is rallying from better than expected for its Q3 2013 fiscal earnings results. Q3 revenues were up 39% or $78.3 million on figures recorded for the corresponding quarter in 2012. CEO Peter Blackmore commented on the continued growth in the Cloud and Premise divisions of the company. Revenues from Premise support plus for the quarter was $27 million and Blackmore mentioned that recurring revenues in the company was close to $110 million at an annual run rate.

SHOR recorded a small non-GAAP operating profit as a result of 5% sequential growth in total revenues. “Overall, I am very pleased with the quarter, which was marked by solid execution both operationally and financially. We continue to see benefits from further integration of our Cloud and Premise businesses,” said Blackmore in the earnings release. The outlook in the business communications sector looks positive and Blackmore pointed to the deep integration of the engineering functions in its offerings. “We have made progress with the integration of our engineering function, in conjunction with the development of a combined strategic roadmap for both Cloud and Premise,” cited Blackmore.

Shore is trading 6.00% above its 50-day simple moving average and 12.54% above its 20-day simple moving average. The stock is down 25.24% on its 52-week high of 5.31 but up 22.15% on its 52-week low of 3.25. Analysts have set a target price of 6.21 and the stock has a RSI of 66.06. The technical chart shows a southward trend which has prevailed since mid-February 2013. The company has a market cap of $212.05 million and there are 58.74 million shares outstanding. Institutions own 52.21% of the stock; however, their share of transactions has dropped 6.32%. Insiders own 2.58% of the stock and account for 3.41% of the transactions.

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About Ryan Mandell

Ryan Mandell is our senior staff writer covering the White House for Political Report, Ryan also coordinates with the main newsroom news items and contributing write-ups on cultural, social and political activities. Ryan holds an undergraduate degree in journalism, a Doctorate in international relations and a Master Degree in mass communications with an emphasis in print journalism. Ryan also covered the International Society of Social Defense congress in Spain in 2007 and taken part in the Global Forum on economic policies

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