Wednesday's Tech Winners & Losers
Updated from 1:58 p.m. EDT with new stock prices
Tech stocks were up Wednesday following strong earnings report from companies such as
EMC
(EMC)
,
VMware
(VMW) - Get Report
, and
Broadcom
(BRCM)
.
Shares of VMware gained $2.82, or 4.9%, to $60.84 after the company reported first-quarter revenue that
expectations.
Revenue rose 69.4% to $438.2 million, topping analysts' estimates of $422.4 million. Net income grew 4.9% to $43.1 million and earnings, excluding items, were 22 cents a share, in line with analysts' expectations.
The company reaffirmed its prior guidance for full-year revenue growth of 50% and said second-quarter revenue would rise 55%, or to $460 million, slightly short of Street estimates of $463.6 million.
EMC was up 30 cents, or 1.9%, to $15.89 after the
analysts' top-line expectations for the quarter.
Profit fell to $268.8 million, or 13 cents a share, in the quarter, from $312.6 million, or 15 cents a share, a year ago. Excluding items, EMC said it earned 23 cents in the quarter, slightly short of the average analyst estimate of 25 cents a share. Revenue, however, rose 17% to $3.47 billion and topped analysts' expectations of $3.45 billion.
Broadcom rose $3.84, or 16.3%, to $27.39 after the company delivered
for the current quarter due to better-than-expected demand for cable set-top box and broadband modem chips.
Networking company
Level 3 Communications
(LVLT)
jumped 54 cents, or 22.8%, to $2.91 after it reported
first-quarter loss and said its
because of the growing demand for Internet-based video leading to greater usage of its network services.
Chinese online gaming operator
Shanda Interactive
(SNDA)
was up $2.93, or 9.8%, to $32.80. Shanda
has partnered
with Chinese search giant
Baidu
(BIDU) - Get Report
to offer Web-based games to Baidu users. Shares of Baidu were down 44 cents, or 0.1%, to $349.66.
Yahoo!
(YHOO)
shed 46 cents, or 1.6%, to $28.08 though it
for the first quarter giving it a little more wiggle room in its battle against
Microsoft
(MSFT) - Get Report
, which has made a $31 a share hostile offer for the company.
Excluding the income related to the initial public offering of Alibaba.com in which Yahoo! has a 40% stake, the earnings report was
.
Microsoft
(MSFT) - Get Report
added $1.20, or 4%, to $31.45 as analysts said Yahoo!'s results were not strong enough to compel Microsoft to raise its bid for the company.
Microsoft CEO Steve Ballmer also
said Thursday that his company was willing to walk away from the deal if both sides cannot agree on the price.