Technology Sector Review: Oracle and Intel in the Spotlight
Electronics brand owner VOXX International Corp (NASDAQ:VOXX) soared 23.7% after reporting FQ3 EPS of $0.38 and revenue of $206.8M (+26.7%), blowing past a Street forecast of $0.18 and $173.4M. VOXX’s gross margin rose 120 bps Q/Q and 770 bps Y/Y, to 28.9%. The shares closed at $10.89, up $1.86, or 20.6%, on the day. Its market capitalization is $251.28 million.
Cirrus Logic, Inc. (NASDAQ:CRUS): Cirrus Logic’s positive preannouncement helps iPhone chip suppliers outperform the NASDAQ. The shares closed at $19.64, up $2.67, or 15.73%, on the day. Its market capitalization is $1.26 billion.
More on WebMD Health Corp’s (NASDAQ:WBMD) warning: The company says a special committee of directors created to explore a sale has “terminated … discussions with potential acquirers and its process to review a potential sale.” WebMD’s high-profile shareholders might respond with an activist push to restart talks, since they are the ones who stand to take a big hit. The shares closed at $26.25, down $10.48, or 28.53%, on the day. Its market capitalization is $1.50 billion.
Apple Inc. (NASDAQ:AAPL): Despite warning of unrealistic expectations that leave little space for an upside surprise after it issues FQ1 results on Jan. 24, Cowen reiterates an Outperform rating on Apple. While some analysts surmise strong activations into FQ4 2011 iPhone sales in the mid-to-upper-30M, Cowen doesn’t support such a lofty figure, even though it raises its forecast from 26.5M to 30.5M. The shares closed at $423.24, up $1.51, or 0.36%, on the day. Its market capitalization is $393.36 billion.
Microsoft Corporation (NASDAQ:MSFT): At the expense of Android (NASDAQ:GOOG), which slipped from 60% to 47%, and Blackberry (NASDAQ:RIMM) which hit 6% compared to 8% in Q3, Apple’s (NASDAQ:AAPL) share of the U.S. smartphone market surged in Q4 jumping to 43% from 26%. The shares closed at $27.84, up $0.1, or 0.36%, on the day. Its market capitalization is $234.20 billion.
Oracle Corporation (NASDAQ:ORCL) is announcing the availability of its Big Data Appliance (BDA), a high-end solution for the fast-growing analytics market. The product features an integrated package of hardware and software out of the box, like Oracle’s Exadata and Exalogic machines. Although initial reactions to BDA were mixed, Larry Dignan believes its low price tag suggests Oracle means business. The shares closed at $26.97, down $0.06, or 0.22%, on the day. Its market capitalization is $135.55 billion.
While he’s maintaining his Reduce rating on Intel Corporation (NASDAQ:INTC), Nomura’s Romit Shah is impressed with the ultrabooks he’s seen at CES and argues that ultrabook proliferation could boost Atmel (NASDAQ:ATML) and Cypress (NASDAQ:CY), whose touch controller chips go into them. Shah believes the addressable market for touch controllers could grow by $300M-$500M if ultrabooks account for 40% of laptop sales, as Intel hopes. The shares closed at $25.59, up $0.12, or 0.49%, on the day. Its market capitalization is $130.30 billion.