After selling off 4% yesterday, shares of VMware Inc (NYSE:VMW) are 1% higher in pre-market trading. Goldman Sachs (NYSE:GS) added VMware to its conviction buy list, saying expectations are reasonable. The company reported third quarter earnings of $178 million (41 cents per share), compared to earnings of $85 million (20 cents per share) last year. Analysts were expecting earnings of 50 cents a share on revenue of $929.7 million.
Bank of America (NYSE:BAC) is trading more than 4% higher before the opening bell. The bank said its third quarter profit increased due to several large, one-time gains from accounting methods and asset sales.
Don’t Miss: 4 Bank Stocks Bucking the Downward Trend.
Despite reporting a loss, Goldman Sachs (NYSE:GS) is trading 1.4% higher Tuesday morning. The bank reported a loss of 84 cents per share, only the second quarterly loss in the history of the company. Last year, Goldman earned $2.98 per share. Other big banks such as Citigroup (NYSE:C) and JP Morgan (NYSE:JPM) are also trading higher.
AMR Corporation (NYSE:AMR) is down 5% in early trading after shares were halted yesterday. Morningstar believes the recent volatility in AMR is due to the carrier’s deal with pilots. “If there is no deal, that increases the likelihood it is going to look at bankruptcy or some other means to renegotiate those contracts.”
Investing Insights: Will Weak Bank Earnings Force Investors into Gold?