Shares of Alvarion Ltd. (Nasdaq: ALVR) fell as analysts lowered their 2008 earnings estimates for the provider of WiMAX and wireless broadband network solutions a day after the company announced strong fourth-quarter and year-end results.

Tel Aviv, Israel-based Alvarion announced on Tuesday that revenues for the fourth-quarter ended Dec. 31, 2007, jumped 32% to $66.3 million from $50.3 million a year earlier. Net income moved up to $3.1 million, or $0.05 per share, compared with $2.4 million, or $0.04 per share during the last three months of 2006.

Profit for the entire 2007 doubled to $0.14 per share from $0.07 per share in 2006.

“Alvarion’s 4Q represents a strong finish to the year, but a weak dollar led to high operating expenses and disappointing EPS guidance for 1Q,” wrote analyst Irit Elrad-Jakoby from financial service firm Susquehanna Financial Group in a research note released today.

The company forecasted first-quarter 2008 revenues between $63 million and $67 million, for a profit of between $0.00 per share and $0.03 per share.

“[Alvarion] is exposed to fluctuations in the U.S. dollar exchange rate,” the company said in a statement. “In addition, income is adversely affected by the decrease in interest rates.”

“Lower profitability through 2008 is a disappointing factor since operating leverage is one of the investment positives for 2008,” wrote Jakoby, who is lowering her earnings estimate for the first quarter to $0.02 per share from $0.04 per share. The analyst also lowered her earnings estimate for the entire 2008 year to $0.21 per share from $0.30.

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