Shares of Advanced Micro Devices (NYSE:AMD) are down 8% in late trading as the company cut its Q3 sales forecast due to manufacturing issues. The company also reduced its sales forecast from 10% to 4%-6% and lowered gross margins. Intel Corporation (NASDAQ:INTC) is trading slightly higher on the news.
Barnes & Noble (NYSE:BKS) is struggling to find a direction in late trading as investors weigh today’s Kindle Fire announcement by Amazon (NASDAQ:AMZN). “The Kindle Fire will have a 7-inch display and sell for $199, compared with $499 for Apple’s (NASDAQ:AAPL) cheapest iPad, Amazon executives said. The device, a souped-up version of the Kindle electronic-book reader, will run on Google Inc.’s (NASDAQ:GOOG) Android software.” Shares of Barnes & Noble were initially down after the bell, but since have paired losses.
After the closing bell, Merck & Co. (NYSE:MRK) announced it sold its 50% stake in an over-the-counter drug joint venture with Johnson & Johnson (NYSE:JNJ). Johnson & Johnson bought full ownership of the venture for a one time payment of $175 million.