Motorola Inc. Says Cellular Inventory Bulging: The company warned of a surprise short-term slowdown because of the situation, prompting investors to dump the stock. Shares fell $6.375 on the New York Stock Exchange to close at $57.875, but it hit as low as $56.75 during the session. It was the most active issue on the Big Board, with more than 17 million shares trading. The Schaumburg, Ill.-based company is one of the world's largest makers of cellular phones and has been a darling on Wall Street because of its stellar growth. In its earnings report last month, it said fourth-quarter sales rose 29%, that earnings per share jumped 48%, and that it expects strong growth in 1995. But the company also said that although cellular phone sales rose strongly in the quarter, it produced far more than the market could absorb.
Times Staff and Wire Reports
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