Stanley Black & Decker (SWK) shares plunged as the toolmaker posted worse-than-expected results and narrowed its guidance, citing falling consumer demand and a slowdown in the auto sector.

The company reported third-quarter diluted earnings per share (EPS) of $0.60, with revenue down 5.1% to $3.75 billion. Analysts surveyed by Visible Alpha were looking for $0.87 and $3.80 billion, respectively.  Sales at the Tools & Outdoors division declined 3% to $3.26 billion as volumes fell on a weak consumer and do-it-yourself (DIY) backdrop. Sales at the Industrial unit tumbled 18% to $488 million because of what the company called “market softness in automotive.”

Stanley Black & Decker now sees adjusted EPS in a range of $3.90 to $4.30 as compared to its previous outlook of $3.70 to $4.50. 

The news sent shares of Stanley Black & Decker into negative territory for the year, with the stock recently off about 8%.

Gross margin improved to 29.9% from 26.8% a year earlier, which Stanley Black & Decker attributed to supply-chain improvements.

CFO Patrick Hallinan said that the company’s top priorities “remain delivering margin expansion, cash generation and balance sheet strength to position the company for long-term growth and value creation."