Sigma Designs drops after Reuters reports weak Q3 forecast

Shares of Sigma Designs, which leads the market for IPTV chips used in set-top-boxes, fell after Reuters was alone on Aug. 26 in reporting a weak Q3 revenue forecast from a conference call. Shares of Sigma, whose biggest customer is Motorola, closed down about 9 percent in after-market trade. The company’s weak outlook and results prompted at least two brokerages to cut their rating on Aug. 27, and the stock ended down as much as 16 percent. Bloomberg and Dow Jones did not cover the conference call.