Housecall shares sink after profit warning .
NEW YORK 1996-08-29
Shares in home healthcare services company Housecall Medical Resources Inc fell more than 50 percent on Thursday after the company said it expected a net loss for the fiscal fourth quarter .
Morgan Stanley said it downgraded the stock to underperform from outperform .
Housecall was off 7-3/8 to 7-1/8 in morning trading .
The Atlanta-based company went public in April at $ 16 a share .
Wall Street had expected the company to earn $ 0.17 a share in its fourth quarter , ended June 30 , according to First Call .
Housecall said fourth quarter earnings and revenues were expected to fall short of expectations .
It said its non-Medicare infusion therapy , hospice and nursing services businesses failed to meet budgeted revenues .
It also cited a limitation on Medicare reimbursement for some services provided during the quarter .