Though Apple has been in the doldrums lately, one of its suppliers is doing exceptionally well, as Qualcomm ( QCOM) reported better-than-expected earnings on Wednesday. The San Diego-based company reported earnings of 89 cents a share on $4.87 billion in revenue for its fiscal fourth quarter, up 18% year over year and 5% sequentially. Analysts polled by Thomson Reuters expected the chipmaker to earn 82 cents a share on $4.66 billion in revenue. Qualcomm also said it expects a strong first quarter, as smartphone demand, particularly at the high end, continues to be robust. The company anticipates revenue between $5.6 billion and $6.1 billion, and non-GAAP EPS from $1.08 to $1.16. Analysts surveyed by Thomson Reuters were looking for revenue of $5.30 billion and EPS of $1.00. Shares gained 3.9% over the week to close at $61.62.
Cloud computing company Rackspace ( RAX) reported third-quarter earnings that were in line on Tuesday, as revenue rose 27% year over year. Rackspace reported earnings of $27.2 million, or 19 cents a share, on revenue of $335.9 million. Analysts polled by Thomson Reuters were looking for earnings of 19 cents a share on revenue of $335.9 million. Rackspace shares closed the week down 9.1% at $60.48.
Not all is rosy on the earnings front, as Groupon ( GRPN) badly missed earnings estimates on Thursday amidst concerns over the viability of its business. The company is transitioning itself from a daily deals site, and focusing on its Goods business, which has lower margins. Groupon reported break-even earnings on $568.8 million in revenue. Analysts polled by Thomson Reuters were looking for earnings of 3 cents a share on $590.1 million in revenue. Revenue rose 32% year over year, but Wall Street was looking for more. Groupon provided fourth-quarter revenue guidance, that at the midpoint, was better than Wall Street's forecast. Analysts expected Groupon to generate $633.87 million in revenue, earning 4 cents a share. Groupon expects revenue to be between $625 million and $675 million. Shares of Groupon plunged 28% this week to finish at $2.76.
Pricline.com ( PCLN) made a surprise acquisition of Kayak Software ( KYAK) for $40 per share in cash and stock late on Thursday. Shares of Priceline.com closed the week 1.4% lower at $625.87, while Kayak soared 11.8% to finish at $39.67.
Next week we have earnings from Cisco ( CSCO), Dell ( DELL), Intuit ( INTU) and others in tech. Enjoy your weekend! Interested in more on Priceline.com? See TheStreet Ratings' report card for this stock. -- Written by Chris Ciaccia in New York >Contact by Email. Follow @Commodity_Bull