Tuesday's Tech Winners & Losers

Shares of Zoran(ZRAN) were among technology's losers Tuesday, slumping 10% after the chipmaker posted lower-than-expected third-quarter revenue and warned that fourth-quarter revenue would be well below current Wall Street forecasts.

The company, which won't report its earnings until it completes a review of its historical stock option practices, said third-quarter revenue rose to $129.4 million from $117.5 million a year earlier. But analysts polled by Thomson First Call expected revenue of $131.6 million, while Zoran's own guidance had called for revenue of $130 million to $134 million.

Looking ahead, Zoran sees fourth-quarter revenue of $95 million to $100 million, compared with analysts' target of $126.2 million. Shares were trading down $1.69 to $14.32.

Travelzoo (TZOO) shares vaulted 20% after the company's earnings more than doubled, topping Wall Street's expectations. The company, an online publisher of travel discounts, said its third-quarter net income rose to $4.6 million, or 28 cents a share, from $2.3 million, or 13 cents a share, last year. Analysts anticipated earnings of 24 cents a share. Travelzoo's revenue climbed 31% to $17.6 million, slightly shy of analysts' estimate of $18.2 million. Still, shares were up $6.59 to $38.99.

Lucent Technologies(LU) rose 7% after the telecom-equipment company posted fourth-quarter results that topped forecasts. For the period ended Sept. 30, the company earned $371 million, or 7 cents a share, on revenue of $2.56 billion. Results included a tax gain of a penny a share. Analysts expected earnings of 4 cents a share and revenue of $2.39 billion. During the year-earlier period, the company earned $372 million, or 7 cents a share, on revenue of $2.43 billion. Shares were trading up 16 cents to $2.50. Shares of Alcatel(ALA), which is set to buy Lucent, were adding 91 cents, or 7.6%, to $12.94.