Novell sinks to a 52-week low

Shares of open source software maker Novell Inc. sank to a 52-week low today after the company posted lower-than-expected fourth-quarter sales and issued disappointing 2007 guidance.

The Waltham company said on Tuesday that its fourth-quarter sales fell 15 percent to $244.9 million from $287.6 million a year earlier, partly due to sluggish sales of older products.

The company said it plans to increase investment in several areas, including research and development, and projected 2007 sales would be roughly flat with 2006 sales.

Shares of Novell, which have traded between $5.73 and $9.83 over the past year, were down 34 cents, or 5.4 percent, at $5.99 in afternoon trading on the Nasdaq. Earlier in the session shares fell to a new year low of $5.70.
(AP)