HTC stock flatlines following revised Q3 earnings projections
A day after HTC announced that the company is planning to lose NT$5.51 to NT$5.85 per share during the third quarter, HTC’s stock has taken a nose dive. The stock price flatlined at NT$63, a 10% drop from the previous day. With HTC’s stock trading at NT$63, its market capitalization has been lowered to $1.65 billion US dollars.
HTC is hoping that job cuts and a product scale-back will help get things back on track, but analysts are projecting at least 18 months of turmoil for HTC. In the time, HTC will need to revamp its go-to-market strategy which will dictate the future of the company. A few years back, HTC said that it would cut the number of devices that it released, but that shift never materialized. HTC has created two distinct smartphone brands, but neither of them appears to have a clear flagship offering. That will need to change.
If you’re planning to support HTC over the next year or two, we suggest you hold on tights. Things are going to get a bit bumpy.
Source: Yahoo Finance