SWIR - This 5G and IoT Stock's Drop Looks Like a Buying Opportunity
Sierra Wireless ' (NASDAQ: SWIR) stock market surge came to a grinding halt last week after the company's second-quarter earnings report threw up a major red flag. The Internet of Things (IoT) and 5G chip specialist crashed after it failed to provide near-term guidance because of coronavirus-driven disruptions at a contract manufacturing facility in Vietnam that are hindering production.
Sierra Wireless pointed out that it could experience "a material negative impact on our financial condition and results of operations, including production capacity, revenue, gross margin percentage, gross margin dollars, profit, and cash in the third quarter of 2021." This forced the chipmaker to pull its Q3 guidance -- but savvy investors shouldn't lose sight of the big picture.
Image source: Getty Images
For further details see:
This 5G and IoT Stock's Drop Looks Like a Buying Opportunity