Autodesk shares drop more than 3% after disappointing guidance

Carl Bass, president and chief executive officer of Autodesk
David Paul Morris | Bloomberg | Getty Images
Carl Bass, president and chief executive officer of Autodesk

Shares of Autodesk dropped 3.5 percent Wednesday after the company reported disappointing guidance.

The design software company said it expected a fiscal fourth quarter earnings loss of 32 to 39 cents a share, more than the 31 cent loss expected by analysts polled by Reuters. The firm also gave a quarterly revenue outlook of $460 million to $480 million, below the Reuters consensus estimate of $487 million.

Autodesk did report a smaller-than-expected loss in the third-quarter of 18 cents a share, ex-items, while revenue of $490 million beat estimates.

Company officials said that their third quarter was bolstered by new model subscription additions and successful cost-control measures.

"We experienced robust demand in the third quarter building on the momentum of a very strong second quarter," said Scott Herren, Autodesk Chief Financial Officer, in a press release.

Despite Wednesday's drop, Autodesk's stock is up more than 19 percent year-to-date.

Autodesk 5-Day Chart