Tech Winners & Losers: Symantec
Tech stocks continued their climb on Thursday, helped by a narrower-than-expected decline in the GDP in the third quarter, which boosted the rest of the market.
The Nasdaq rose 35 points, or 2.1%, to 1693 in recent trading.
Shares of Symantec (SYMC) plunged 16% to $12.45 one day after the company posted a second-quarter earnings beat but fell well short of third-quarter revenue expectations.
The company sees third-quarter revenue between $1.45 billion and $1.5 billion, and earnings between 30 and 33 cents, excluding charges. Analysts were expecting third-quarter revenues of $1.61 billion and earnings of 36 cents.Shares of Alcatel-Lucent (ALU) were soaring 11.7% to $2.58 after the company narrowed its losses in the third quarter and reaffirmed guidance for the year. The company reported a loss of 40 million euros ($52.9 million) as sales fell and the company recorded charges of 81 million euros related to the Alcatel-Lucent business combination. Alcatel-Lucent said that its profitability remains "unsatisfactory" but reiterated its outlook for the year, expecting revenue to be down in the low- to mid-single-digit range. Motorola (MOT) shares slipped 5.5% to $5.16 after the company swung to a third-quarter loss and lowered its outlook for the year. The handset maker reported a loss of $397 million, or 18 cents a share, in the third quarter compared with a profit of $60 million, or 3 cents a share, in the year-ago period. Excluding one-time items, Motorola had a profit of 5 cents a share. Sales for the first quarter were down 15% to $7.48 billion, down 15% from a year earlier. For the full year, it now expects to book a profit of 5 cents a share to 7 cents a share, down slightly from its previous forecast.
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