Outdoor LED panel of a stock graph
Markets

DuPont Shares Plunge Following Lowered Forecast (DD)

Chemicals, plastics, fibers, and coatings maker E.I. du Pont de Nemours & Company ( DD ), commonly known as DuPont, on Friday reduced its 2011 full-year earnings outlook, sending its shares lower in premarket trading.

The Wilmington, DE-based company said it now expects full-year 2011 profits to range from $3.87 to $3.95 per share, down from a previous outlook of $3.97 to $4.05.

On average, Wall Street analysts had been expecting higher earnings of $4.03 per share for the year.

CEO Ellen Kullman commented, "We are seeing slower growth in certain segments during the fourth quarter, driven by global economic uncertainty. This uncertainty is contributing to ongoing conservative cash management in some supply chains." The company also noted that consumer electronics demand and housing/construction markets remain weak.

DuPont shares plummeted $2.51, or -5.6%, in premarket trading Friday.

The Bottom Line

Shares of DuPont ( DD ) have a 3.53% dividend yield, based on last night's closing stock price of $46.52. The stock has technical support in the $39-$44 price area. If the shares can firm up, we see overhead resistance around the $48-$50 price levels.

E.I. du Pont de Nemours & Company ( DD ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Created by Dividend.com


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

Stocks

Latest Markets Videos