BUZZ-Sophos: tumbles on tech fallout and leverage worries

** Cyber-security company Sophos falls 9.2 percent, taking two-day losses to more than 16 percent

** Traders flag continuing worries over leverage after the blow-up at peer Micro Focus, that fell 46 percent on Monday, and general weakness across the tech sector

** Sophos was also hit on Monday after a note from Northern Trust Capital Markets, which turned negative on the company for the first time since IPO in June 2015

** Said stock has a "grand slam" of red flags that include high leverage, an acquisitive strategy and risk of top-line and cost pressures, many of which are similar to Micro Focus

** "It is an easy story to understand and buy into as Europe’s only mid-cap pure play on the cyber security mega theme," said Ameet Patel, an analyst at Northern Trust

** "That’s all very well as long there is no change in the narrative and strong growth momentum – but the slowdown in growth reported in Q3 rang alarm bells for us"