'Fast Money' Recap: Tech Talk
NEW YORK (TheStreet) -- The S&P 500 rallied again on Tuesday, closing higher by 0.72%.
On CNBC's"Fast Money" TV show, guest Rick Sherlund, analyst at Nomura Securities, said Microsoft (MSFT) could generate $1 billion to $2 billion in revenue with the addition of Office 365 to Apple's (AAPL) iPad.
He added that the move could give current Office users a reason to upgrade to, or stay subscribed to, Office 365. He also said it should help investor sentiment for Microsoft. He called Oracle's (ORCL) earnings report "soft" but not "really bad."
Tim Seymour, managing partner of Triogem Asset Management, said the move may not benefit Microsoft as much as some investors think. He was a buyer of Oracle.
Guy Adami, managing director of stockmonster.com, questioned how International Business Machine (IBM) would trade in reaction to Oracle's earnings report. He suggested that IBM has only traded higher because of the strength in the broader market. He was a buyer of Oracle at $36.50.Brian Kelly, founder of Brian Kelly Capital, said Oracle (ORCL) has failed to embrace newer technology, which hurt the company's recent earnings report. Shares of GameStop (GME) slid 3.5% on Tuesday after Wal-Mart (WMT) announced it will accept video game trade-ins. Steve Grasso, director of institutional sales at Stuart Frankel, said that this news is the first time he's truly been worried for GameStop because Wal-Mart is such a large company and already has everything that customers need in one location. Adami said GME does not have a high valuation but needs to hold $35 or it could be headed much lower. Seymour agreed. Adami said it looks like Twitter (TWTR) is headed to $48. Seymour added that Twitter is struggling to grow globally, while the stock's trading volume is in decline. Fossil (FOSL) announced it would partner with Google (GOOG) and offer wearable Android devices and clothing. Kelly said investors should consider buying Guess? (GES), as it may be the next to offer a similar service. Seymour said Fossil has a favorable valuation.
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