Heavy Hitters: Netflix Surges 8%, Apple Nears $500
Shares of Teradata (NYSE:TDC) plunged more than 11 percent in late afternoon hours. Teradata increased its share buyback plan by $300 million, but lowered its 2013 earnings guidance. “Although we were disappointed with our preliminary results for the third quarter of 2013, we were pleased with our performance in Europe and in the U.S., which are our two largest markets. We remain confident in our competitive position in all the markets we serve over the long term,” said Mike Koehler, president and chief executive officer, Teradata. Full-year 2013 revenue is now expected to be approximately the same as 2012.
Netflix (NASDAQ:NFLX) shares surged almost 7.8 percent on Monday and continued to edge higher in late afternoon trading. In surprising news, it looks like Netflix and U.S. cable providers may be considering lucrative tie-up contracts, as the Wall Street Journal highlights rumors that note Netflix has offered the idea of making its streaming video service available as an app on U.S. providers’ set-top boxes, similar to a strategy it already employs in the U.K. Though the talks are still very much in their preliminary stages, should they eventually come to fruition, Netflix and cable companies’ relationships would change dramatically, as they now compete bitterly for consumers, but soon could agree on a plan where both parties win.
Shares of Apple (NASDAQ:AAPL) edged higher in late afternoon hours and almost hit $500 again. According to a new report from market research firm Strategy Analytics via Apple Insider, the popularity of Apple’s mobile devices have qualified the company as one of the biggest tablet and smartphone processor makers in the world by revenue. Although Apple does not actually have its own chip fabrication plant, Strategy Analytics used the “market-level average selling prices” of processors and Apple’s mobile unit sales numbers to calculate the amount of revenue that the company made from its mobile device processors, reports Apple Insider. According to this classification method, Apple is the second largest smartphone processor maker by revenue, with a 15 percent share of the total market revenues of $4.4 billion.
JPMorgan Chase (NYSE:JPM) shares closed higher on Monday and continued to rise in late afternoon hours. JPMorgan Chase board member Laban P. Jackson said that Chief Executive Jamie Dimon deserves shareholders’ backing even though soaring legal costs helped the first quarterly loss of his tenure to occur. On Sunday at the National Association of Corporate Directors’ annual conference, Jackson remarked that, “He’s the best manager I’ve ever seen, and I’m old. He has, as we all do, flaws.” In September, JPMorgan Chase agreed to pay $920 million in penalties to resolve probes of a multibillion-dollar trading loss, one of several headaches that forced the lender to reserve $28 billion for legal costs since early 2010. Shares of JPMorgan Chase are up nearly 20 percent year-to-date.
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