Shares of Google (NASDAQ:GOOG) head nearly 8% higher in pre-market trading after the company announced strong earnings. Net income for Google Inc. rose to $2.73 billion ($8.33 per share) vs. $2.17 billion ($6.72 per share) in the same quarter a year earlier. This marks a rise of 25.9% from the year earlier quarter. Bloomberg reports that the IRS is auditing Google and how it avoided taxes by shifting profits offshore. Microsoft (NASDAQ:MSFT) and Yahoo (NASDAQ:YHOO) are also higher in early trading.
Investing Insights: Google Inc. Earnings Cheat Sheet: Increased Profit Helps Beat the Street.
Mattel Inc. (NASDAQ:MAT) is trading lower despite reporting that earnings rose 6.2% based on sales growth in all brands. The company also announced a $500 million stock repurchase program. The company competes with toy maker Hasbro, Inc. (NYSE:HAS).
Wal-Mart (NYSE:WMT) is attracting attention as US retail sales jumped 1.1% in September. It is the first increase in seven months. Consumers are returning to more autos, clothing, and home furnishings. Despite the good news, Macy’s Inc (NYSE:M) is down .30% before the opening bell. Target (NYSE:TGT) and Costco (NASDAQ:COST) will also be on trading screens as a stronger consumer should bode well for the companies.
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