NEW YORK (AP) — Shares of Nuance Communications Inc. are rising in premarket trading Wednesday as the voice and language technology company boosted its first-quarter forecast.
Late Tuesday Nuance said that it expects quarterly adjusted earnings in a range of 23 cents to 24 cents per share. Revenue is expected to be between $467 million and $471 million, with adjusted revenue between $487 million and $491 million.
The company's prior guidance was for adjusted earnings in a range of 18 cents to 21 cents per share on adjusted earnings between $477 million and $487 million.
Analysts surveyed by FactSet expect earnings of 20 cents per share on revenue of $482.9 million.
Tom Roderick of Stifel Nicolaus said in a client note that based on the revised outlook, Nuance's revenue will likely be mostly flat with the previous five quarters.
"A flat quarter is certainly better than further top-line deterioration, as was expected going in to this quarter," he wrote.
The analyst maintained a "Hold" rating.
The company's stock gained $1.36, or 9.1 percent, to $16.25 in premarket trading about three hours before the market open.