Websense Shares Plunged: What You Need to Know

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Internet security provider Websense (NAS: WBSN) have plunged by 11% today after the company reported fourth-quarter earnings.

So what: Revenue was a tad lighter than hoped at $92.7 million compared with the $94.43 million that the Street was looking for. On the contrary, net income slightly bested forecasts by coming in at $0.44 per share.

Now what: Websense's first-quarter and full-year 2012 guidance left more to be desired, with first-quarter revenue expected between $88 million and $91 million and earnings per share of $0.30 to $0.34. The numbers fall short of the $92.2 million and $0.39 per-share profit that the market was looking for. Full-year guidance was gloomy as well, with the upper ends also not stacking up to expectations.

Interested in more info on Websense? Add it to your watchlist byclicking here.

At the time thisarticle was published Fool contributor Evan Niu holds no position in any company mentioned. Click here to see his holdings and a short bio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.