Pioneer shares slide 18% on bleak earnings outlook

(Adds analysts' comments, details)

By Edwina Gibbs

TOKYO, May 14 (Reuters) - Shares in Pioneer Corp (6773.T: Quote, Profile, Research) slid 17.5 percent on Wednesday, posting its biggest daily drop in more than two decades after the restructuring consumer electronics maker predicted a surprise fifth year of losses.

The gloomy outlook prompted Credit Suisse to cut its rating on the company to "neutral" from "outperform", saying the stock could fall to 900 yen in the short-term. It ended trade at 909 yen. But several analysts said that they were taking a favourable view of the company stepping-up its restructuring measures.

"We get the impression that management is making tough decisions. Such sacrifices may enable the company to achieve its 2010/2011 earnings targets and provide the platform for renewed growth," wrote Nomura Securities senior analyst Eiichi Katayama, who has a "reduce" rating on the stock.

Pioneer, which plans to end production of plasma TV screens, said earnings would be hit by hefty reform costs, a drop in plasma TV sales, and research and development costs for its car electronics division.

It forecast a net loss of 19 billion yen ($183 million) for the business year that started on April 1, compared with a Reuters consensus estimate of a 6 billion yen profit from 10 analysts.

That follows a net loss of 18 billion yen for the year just ended.