SonicWall rises after 4th-qtr results, 1st-qtr revenue outlook beat analyst views

SonicWall shares climb after 4Q report

SAN FRANCISCO — Shares of SonicWall Inc. climbed Friday after the network security technology company reported fourth-quarter results that beat analyst expectations.

The company also predicted first-quarter revenue above Wall Street predictions. SonicWall shares rose 63 cents, or 8.1 percent, to $8.39 in afternoon trading. The stock has traded between $3.64 and $8.80 in the past year.

Late Thursday, SonicWall said its fourth-quarter profit rose 43 percent year over year to 9 cents per share, or 11 cents per share excluding one-time items. Analysts polled by Thomson Reuters expected adjusted earnings of 10 cents per share.

The company’s revenue was nearly flat as $54.1 million. Analysts predicted revenue of $52.2 million.

SonicWall forecast first-quarter adjusted earnings of 9 cents or 10 cents per share on revenue of $52 million to $54 million. Analysts predict adjusted earnings of 10 cents per share on $50.2 million in revenue.

In a note to clients, Lazard Capital Markets analyst Joel Fishbein Jr. reiterated his “Buy” rating and $11 price target on the stock.

“New business remains healthy, as evidenced by 20 percent deferred revenue growth in the quarter, and we expect subscription revenue to pick up in the back half of 2010 and into 2011,” he said.