ROUND ROCK, Texas – Shares of Dell Inc. (DELL) plummeted Friday to nearly a five-year low after the world's largest computer maker lowered its fiscal second-quarter earnings outlook below Wall Street's estimates, due mainly to aggressive price cuts in a slowing worldwide commercial market.
Dell's shares plunged $2.80, or 13 percent, to $19.30 in early trading on the Nasdaq Stock Market.
The company said it expects second-quarter earnings between 21 cents and 23 cents per share on sales of about $14 billion.
Analysts, on average, had been looking for earnings of 32 cents per share on sales of $14.23 billion, according to a poll by Thomson Financial.
Dell said it will post its financial results for the second quarter on Aug. 17.