Here are some things going on today in your world of tech: Shares of Intel (INTC) are up 41 cents, or 1%, at $35.38, after the company yesterday afternoon reported Q2 results that topped analysts' expectations, and raised its year outlook, and despite the help from PCs in the quarter, bulls are pleased to declare Intel is “no longer a PC company." Intel’s report has failed to bolster the market, with indices broadly lower. Shares of Amazon (AMZN) are down $34.82, over 3%, at $1,011.18, continuing last night’s decline, after the company beat Q2 expectations, but missed by a wide margin with its earnings, and also forecasting operating profit below consensus this quarter. Most bulls on the stock are inclined to shrug and accept it when reviewing the rising spend. Some of last night’s reports need more defending. Shares of hard disk drive maker Western Digital (WDC) are down $7.20, or 7%, at $84.70, after the company yesterday afternoon beat with its own pre-announcement weeks earlier with its fiscal Q4 results, but disappointed with an outlook for revenue this quarter slightly below consensus. Western, you’ll recall, is headed back to court today in San Francisco with Japan’s Toshiba (6502JP) in their battle over Toshiba’s intended sale of its NAND memory chip unit. Several analysts are defending the shares today, including Karl Ackerman of Cowen, Shebly Seyrafi of FBN, and Mark Moskowitz of Barclays, who all raised their price targets. Moskowitz, reiterating an Overweight rating, and raising his target to $131 from $125, writing "While the Toshiba Memory saga remains the bigger story, we think WD's results and outlook should gradually refocus investors on the long-term story, which is a good one." Shares of MuleSoft (MULE) the San Francisco-based maker of what it calls a network for “application programming interfaces,” are down $3.66, or 14%, at $22.73, after the company yesterday afternoon reported its first quarterly results since its IPO on March 17 and beat expectations, but disappointed with its billings. The price is still above the $17 IPO price. Jefferies & Co.’s John DiFucci, who has a Buy rating on the stock, and a $29 price target, writing that soft billings meant only "39 net new customers added versus 60 in the prior period and 54 in the year-ago Q." He thinks "this is likely a case of a dynamic market with deals getting larger, which naturally extend sales cycles, and we expect this team to adjust appropriately going forward.” He advises taking "the opportunity to enter a stock with a vast opportunity before it." Shares of chip equipment vendor KLA-Tencor (KLAC) are down $3.91, or 4%, at $96.02, even though it beat quarterly expectations yesterday and forecast higher as well, as it sees an influx of orders from China for machines to make memory chips. The stock, however, is getting plenty of price target increases today, including from Cowen & Co.’s Timothy Arcuri, who has an Outperform rating and a $120 price target. Arcuri describes the report as a “beat and guide above w/record levels of orders/backlog” that "suggests favorable C2H:17 and '18 as memory exposure continue to grow and foundry/logic customer base broadens." "The issue now is multiple,” writes Arcuri, "which has seen massive compression relative to the market since prior to the LRCX deal, for reasons that we cannot understand as the company is MUCH better positioned today with a very stronger 10/7nm foundry logic cycle, growing memory exposure and a reinvigorated product pipeline." Read More Tech Today: Intel Rising, Amazon Falls, Defending Western, Lam, Mulesoft : http://ift.tt/2tLf0ph
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. Archives
January 2020
Categories |