Tech Stocks in Motion - TheStreet

Updated from 2:01 p.m. EST

Shares of

Cray

(CRAY) - Get Report

were among technology's losers Thursday, falling 25.9% after the company said it would delay its annual report because it needs more time to review and assess its internal controls.

The supercomputer maker said that it expects to file its 10-K report with the

Securities and Exchange Commission

on or before March 31, but said it expects to use the 45-day extension period permitted by the SEC to submit its Section 404 assessment that relates to the Sarbanes-Oxley Act. When the company completes its formal assessment, it expects that it will identify one or more material weaknesses in its internal controls. Cray believes that it will find that it suffered from inadequate review of third-party contracts and lack of software application controls and documentation.

Cray's "auditors have expressed their serious reservations to the company and its audit committee as to whether the company will be able to complete its assessment and whether the auditors will be able to render an opinion on either the company's assessment or its internal controls," Cray said. Shares traded down 78 cents to $2.23.

Progress Software

(PRGS) - Get Report

rose 7.5% after the software company posted first-quarter results that topped expectations. The company posted pro forma earnings of $10.7 million, or 27 cents a share, on sales of $97.7 million. Analysts polled by Thomson First Call expected earnings of 23 cents a share on sales of $93.9 million. A year ago the company earned $7.5 million, or 19 cents a share, on sales of $86.4 million. Strong sales at the company's ObjectStore and DataDirect units led to the first-quarter sales beat. Looking ahead, Progress forecast second-quarter pro forma earnings of 30 cents to 32 cents a share on sales of $98 million to $100 million. Analysts had been expecting earnings of 28 cents a share on sales of $97.9 million. Shares traded up $1.69 to $24.25.

Shares of

M-Systems

( FLSH) fell 3.1% after the maker of flash memory storage said it plans to sell $75 million in convertible notes. M-Systems, which is selling the notes as part of a private placement, said that it would use proceeds from the deal to fund general corporate purposes. Shares traded down 71 cents to $22.59.

Entegris

(ENTG) - Get Report

rose 5.3% after the company posted second-quarter earnings and sales that were better than expected. The company, which provides products used by the semiconductor industry, posted earnings of $4.5 million, or 6 cents a share, on sales of $85.1 million. Analysts expected earnings of 3 cents a share on sales of $80.8 million. A year ago the company earned $5 million, or 7 cents a share, on sales of $80 million. Looking ahead, Entegris forecast third-quarter earnings of 7 cents to 8 cents a share, which includes a 1-cent benefit related to its liquidation of Metron, on a slight increase in sales. Analysts are looking for earnings of 4 cents a share on sales of $82 million. Shares traded up 50 cents to $9.99.

Shares of

Digital River

(DRIV) - Get Report

rose 11.9% after the Web development services company raised its first-quarter earnings and sales guidance. The company now expects earnings of 33 cents a share on sales of about $53.5 million. Previously, the company expected earnings of 30 cents a share on sales of $48.5 million. On a pro forma basis, the company expects earnings of 50 cents a share, up from previous guidance of 40 cents a share. Analysts had expected pro forma earnings of 41 cents a share on sales of $48.6 million. Shares traded up $3.61 to $33.84.

Other technology movers included

Microsoft

(MSFT) - Get Report

, down 9 cents to $24.54;

Cisco

(CSCO) - Get Report

, down 4 cents to $18.03;

Intel

(INTC) - Get Report

, down 13 cents to $23.41;

Lucent

( LU), unchanged at $2.81;

Oracle

(ORCL) - Get Report

, up 14 cents to $13.16;

Sirius Satellite Radio

(SIRI) - Get Report

, up 14 cents to $5.38;

Apple Computer

(AAPL) - Get Report

, up $1.07 to $42.25;

Sun Microsystems

(SUNW) - Get Report

, up 4 cents to $4.23;

Applied Materials

(AMAT) - Get Report

, up 14 cents to $16.17;

Retek

( RETK), up $1.13 to $11.65; and

Research In Motion

( RIMM), up $2.25 to $81.21.