After reporting second-quarter results late Monday, Clearwire's stock declined significantly this morning.
In trading today, it fell to as low as $23.65 a share from a previous close of $29.52. It rebounded slightly trading at around $25.29, or down $4.23, around mid-day.
In today's story, we reported that Clearwire increased revenues 32.4 percent to $35.5 million compared with the same period a year ago -- beating analyst expectations of $33.3 million, according to Thomson Financial. But the company showed a loss of $118 million, or 72 cents a share, much wider than the 59 cents analysts expected.
In reaction to yesterday's results, the AP reported that two analysts downgraded the stock.
Stifel Nicolaus analyst Christopher King cut his rating to "hold" from "buy," noting shares rose past his $27 target price. King also said despite the progress the company showed during the quarter, the stock has few reasons to rise in the coming months, especially given jittery market sentiments.
Pali Research analyst Walter Piecyk also cut his rating, to "neutral" from "buy," saying the quarterly results were below his expectations.
In contrast, Jonathan Schildkraut, an analyst at Jefferies, which acted as co-manager in Clearwire's initial public offering, maintained his "hold" and a price target of $34 a share.
Schidkraut said that results were largely in line with expectations. "Significantly, CLWR's original 25 markets demonstrated continued scaling, with the group producing gross margins of 75% and achieving positive EBITDA," he said.