Volterra Semiconductor shares drop after 2nd-quarter results fail to cheer investors

Volterra Semi shares drop after 2Q results

NEW YORK — Shares of chip maker Volterra Semiconductor Corp. stumbled Tuesday after the company’s second-quarter results failed to dazzle investors.

THE SPARK: The company’s net income topped Wall Street expectations. But revenue of $40.2 million, although up 77 percent year over year, only matched the average forecast from analysts.

THE ANALYSIS: JMP Securities analyst Alex Gauna has an “Outperform” rating on Volterra shares, but said the company’s revenue did not grow as fast as he expected.

Gauna said slower adoption of the Fremont, Calif., company’s new chip design for notebook computers left revenue below his target of $41 million for the quarter.

SHARE ACTION: Volterra shares fell $3.68, or 13 percent, to $23.97.