We thought that yesterday was a bad day for
TheStreet.com's Internet Sector Index
after 21 out of 25 stocks ended in the red. Today only one DOT component showed any sass, though barely.
ended 31 cents higher.
After the bell, the electronic-security firm reported third-quarter financial results that bettered revenue by 29% and beat Wall Street expectations by a penny.
Among the biggest weights on the DOT were search engine
which lost 14%, Internet security firm
Check Point Software
which fell 11% and
which lost 13%. After hitting its 52-week-low of $56.62, Yahoo! was beginning to wear that exclamation point ironically.
There were other notable dot-com losers but why rub it in? Okay, you asked for it.
kicked the DOT while it was down. The tired index ended the day 6% lower at 520.45.
turned lower in midafternoon trading, ending the session 3% in the hole after an earlier attempt to buck the broad downturn in tech stocks. The network-equipment maker reports earnings tonight after the bell.
The Nasdaq limped painfully lower today, settling its battered bones 93.81, or 3% lower at 3074.68. It's notable winner today was chipmaker
, up 5%, benefiting from the misfortunes of primary competitor,
Advanced Micro Devices
, after AMD's price targets and EPS outlook were cut by several analysts. (For more on this look below).
2:18 p.m.: Chips Looked Briefly Like a Bright Spot. Alas, No More
The semiconductor sector has been a microcosm of the broader tech market today, battling to post gains amid Mideast unrest and persistent valuation concerns. The battle lately was a failing one.
lead the way higher after reporting first-quarter earnings of 54 cents a share and beating analyst estimates of 51 cents, as well as its year-ago result of 19 cents. Its earnings, coupled with a positive earnings report late Wednesday from
Advanced Micro Devices
, lifted the
Philadelpia Stock Exchange Semiconductor Index
like a caffeine boost from a morning cup of coffee.
But as unease spread through the markets, the index lost its vigor . The
Philadelphia Stock Exchange Semiconductor Index
, as the index is known, drooped 1.2% to 697.9, after falling to an intra-day low of 692.5 earlier.
KLA-Tencor, a chip equipment maker, was lately off 4.1%.
Despite Advanced Micro Device¿s better-than-expected earnings,
lowered its 12-month price target on the company.
followed suit, cutting its price target to $25 from $30 and lowering its fourth-quarter earnings per share estimates and its 2001 EPS outlook. AMD was lately trading 4.3% lower to $22.50.
separate article on Advanced Micro Device's earnings.
The chip sector has been under pressure as investors try to figure out just how much growth is slowing.a
was also pulling down the semiconductor sector after
Deutsche Banc Alex Brown
Banc of America
lowered their ratings to buy from strong buy. Banc of America also lowered its price target to $40 from $60. Motorola makes both cell phones and chips.
Credit Suisse First Boston
lowered their 2000 and 2001 earnings estimates for the company, which shook the market yesterday with an earnings warning. It was lately falling 5% to $20.38.
were struggling to lift the semiconductor sector, but they were outnumbered. Xilinx was on the road to recovery after Tuesday¿s
downgrade, which sent waves of panic through the semiconductor sector. It was lately up 6.4%. After being beaten up of late because of slowing growth, Intel was up 5.5%. It will release results on Oct. 17.
all took large bites out of the semiconductor index.