3 Stocks I Saw on TV
Microsoft ( MSFT) plunged in after-hours trading Thursday, casting a shadow on a day that saw the Dow Jones Industrial Average move pass 9,000 and the Nasdaq extending its winning streak extend to 12 days. For the day, the Dow rocketed 188.03, or 2.12%, to 9069.29, while the S&P 500 rose 22.22, or 2.33%, to 976.29. The Nasdaq jumped 47.22, or 2.45%, to 1973.60. But the euphoria was gone in after-hours trading with the slide in the shares of Microsoft ( MSFT), Amazon.com ( AMZN) and American Express ( AXP). For a break-out of stocks that were recently mentioned in the "Fast Money" show, check out Dan Fitzpatrick's "3 Stocks I Saw on TV."
The three stocks drew the attention of the trading panel of CNBC's "Fast Money" TV show. Melissa Lee, the moderator of the show, asked the panelists and experts whether the poor showing of these stocks could lead to a sell-off on Friday. Jim Goldman, a CNBC reporter, said Microsoft's report was "ugly" from top to bottom. The software giant's revenues fell to $13.1 billion for the quarter, 17% below analysts' estimates while net income was $3.05 billion compared to $4.3 billion a year ago. CFO Christopher Liddell said the company expects tough economic times for the rest of 2009 while expressing some optimism for 2010, Goldman said. Goldman said Microsoft still has some ammunition down the road, with the launch of Windows 7, a new Office Suite and new server software. Still, Karen Finerman was flabbergasted by the revenue miss, saying a miss of that magnitude is hard to make up with cost-cutting.