Tuesday's Tech Winners & Losers
Updated from 11:56 a.m. EDT
Tech stocks were moving modestly lower Tuesday, as traders weighed earnings information and waited for interest rate news from the Federal Reserve.
Shares of Teletech (TTEC - Get Report) jumped 12% after the outsourcing provider posted second-quarter earnings that topped expectations. The company posted adjusted earnings of $17.4 million, or 24 cents a share, on revenue of $329.8 million. Analysts polled by Thomson Financial expected earnings of 22 cents a share.
Separately, Teletech boosted its share repurchase plan by $50 million, bringing the total amount left under the buyback program to about $67 million. "This increased purchase authorization reflects our continued confidence in the long-term growth prospects of our business and in our leading industry position," the company said. Shares closed up $3.63 to $33.86.Meanwhile, shares of II-VI (IIVI - Get Report) climbed 21.5% after the tech company swung to a fourth-quarter profit. The company earned $11.3 million, or 37 cents a share, on revenue of $72 million. Analysts expected earnings of 32 cents a share on revenue of $68.3 million. Looking ahead, II-VI sees first-quarter earnings of 28 cents to 32 cents a share on revenue of $72 million to $75 million. Analysts project earnings of 31 cents a share on revenue of $67 million. Shares closed up $5.47 to $30.97. Elsewhere, Silicon Image (SIMG - Get Report) rose 8.6% after Jefferies upgraded the chipmaker to hold from underperform. Jefferies maintained its $5 price target, but cut its 2008 earnings estimate to 35 cents from 42 cents a share. Shares closed up 42 cents to $5.28. J2 Global Communications (JCOM - Get Report) rose 2.7% after the communications-services company posted mixed second-quarter results. The company earned $17.1 million, or 33 cents a share, on revenue of $54 million. Excluding items, the company earned 36 cents a share. Analysts expected earnings of 35 cents a share on revenue of $54.3 million. Looking ahead, J2 sees third-quarter earnings of 36 cents to 37 cents a share on revenue of $56 million to $57.5 million. Analysts project earnings of 36 cents a share on revenue of $56.6 million. Jefferies, meanwhile, downgraded the stock to hold from buy. The broker also cut its price target on the stock to $33 from $35. The firm now sees 2008 earnings of $1.80 a share, down from its earlier estimate of $1.84 a share. Shares gained 94 cents to $35.65. Finally, shares of Clearwire (CLWR) tumbled 14.5% after the wireless broadband company posted a wider-than-expected second-quarter loss. The company reported a loss of $118.1 million, or 72 cents a share, on revenue of $35.5 million. Analysts expected a smaller loss of 59 cents a share. During the year-earlier quarter, the company reported a loss of $76.8 million, or $1.01 a share, on revenue of $26.8 million. Shares closed down $4.29 to $25.23. As for the broader technology sector, the Nasdaq 100 was up more than 7 points to 1961.64.
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