Citrix announces it will buy XenSource for $500 million; shares initially drop as investors are skeptical about the ability for Citrix to compete with industry leader, VMware.
Citrix releases news that a review board found the possibility of accounting errors related to stock options granting dating from 1996 to 1998. Investors lose confidence as restated financials will likely be lower; the market adjusts and shares fall.
Citrix raised its outlook for 2007 above analyst estimates; market conditions, however, made investors skeptical about the likelihood of this and shares fell.