Tech Winners & Losers: Amazon.com

Tech stocks slipped into the red Tuesday along with the major market indices as investors worried about the impact of inflation and higher energy prices.

Amazon.com(AMZN Quote) closed up $1.22, or 1.5%, to $82.92 after an analyst at Goldman Sachs(GS Quote) said in a research note that he believes the company can double its revenue over three to four years.

Shares of Alcatel-Lucent(ALU Quote) rose 26 cents, or 3.9%, to $6.99 after the company announced a $1 billion deal with China Mobile to provide it with mobile communication equipment and services.

Adobe Systems(ADBE Quote) fell $1.40, or 3.3%, to $41.45 after the company topped Street expectations for the second quarter. Investors, though, weren't satisfied with its outlook for the current quarter.

For the third quarter, Adobe expects revenue of $855 million to $885 million and EPS, excluding items, of 45 cents to 47 cents. Analysts were expecting a top line of $878 million and EPS, less items, of 45 cents.

Cadence Design Systems(CDNS Quote) lost 75 cents, or 6.5%, to $10.84 after it disclosed that it has bid $1.5 billion to acquire Mentor Graphics(MENT Quote). The bid was rejected. Cadence has offered $16 a share for Mentor, a 30% premium over Monday's closing price of the stock. Meanwhile shares of Mentor jumped $2.67, or 21.6%, to $15.

Shares of Citrix Systems(CTXS Quote) were down $1.85, or 5.5%, to $31.75 after the company's worldwide head of marketing and sales left to take the top job at IT security company Sourcefire(FIRE Quote). John Burris left Citrix after nearly nine years at the company. An analyst at Friedman Billings downgraded the stock to market perform from outperform.