Box Spikes on IBM Partnership, Fitbit Tanks as Analyst Advises Taking Profits

NEW YORK (TheStreet) -- Box (BOX) spiked after announcing a cloud partnership with IBM (IBM). Fitbit (FIT) tanked after an analyst advised investors to take profits. Semiconductor Manufacturing International (SMI) surged after announcing the formation of a new research and development company with its partners to create the next generation of chips.

Box surged 5.7% to close at $18.55.

The online storage company spiked after announcing a partnership with IBM, in which Box will share some of its cloud technology and develop new cloud solutions for corporate customers. The arrangement will also bring Box's service to corporate users of Apple's (AAPL) iPhones and iPads via IBM's partnership with the iconic computer maker.

Specifically, Box customers will have access to IBM's SoftLayer cloud platform to store their files, while iPhone and iPad users will receive Box's services through IBM's mobile apps, according to a report in the Wall Street Journal.


Fitbit tanked 5% to finish the session at $35.99.

The newly minted public company, which sells wearables for monitoring users health, plunged after Global Equities Research analyst Trip Chowdhry advised investors to take profits. Chowdhry described Fitbit's business as a "declining asset business," according to a report in Benzinga.Chowdhry, according to Benzinga, said that Fitbit's shares appear to be "hyper-inflated" following its public debut last week and that its IPO is likely to be as good as it will gets.

Meanwhile, Fitbit rival Jawbone struck a partnership with recipe recommendations app maker Yummly to provide a one-click meal upload feature from any Yummly recipe. Jawbone is another privately held company that investors may be wondering whey it will seek an IPO.

If you liked this article you might like

7 Essential Rules for Investing in Tech Stocks

Tim Cook, Mark Zuckerberg, Other Tech CEOs Denounce Trump's Decision to End DACA

'Cloud Wars' Intensify; Staples Shows Some Staying Power -- ICYMI Friday

Cloud Software Is Booming -- Just Ask Workday and Salesforce

Cloud Software Is Booming -- Just Ask Workday and Salesforce