Early A.M. Radar: Apple Can’t Leap Wireless Stock, Facebook Fades
Despite reaching new lows during regular trading, Facebook (NASDAQ:FB) shares closed 5 percent higher on Thursday. S&P Capital IQ analyst Scott Kessler reiterated his Sell rating on the social-media giant. He also reduced his price target from $30 to $27. In early morning market trading, shares traded down nearly 1 percent.
Leap Wireless International Inc. (NASDAQ:LEAP) fell 1.2 percent after the closing bell. The company will be the first prepaid carrier in the United States to sell the Apple Inc. (NASDAQ:AAPL) iPhone. Leap will sell the iPhone 4S and iPhone 4 starting in late June, but will not offer any subsidies on units. The 16GB 4S model will cost $499, while the 8GB iPhone 4 will be priced at $399, both without any contract. Competitors such as Verizon Communications Inc. (NYSE:VZ) and AT&T Inc. (NYSE:T) edged slightly higher in late trading.
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After surging more than 6 percent on Thursday, shares of Zynga Inc. (NASDAQ:ZNGA) edged slightly lower in extended trading. The social-gaming company received an upgrade from Neutral to Outperform by Baird analyst Colin Sebastian. He explained, “While we recognize that growth has slowed for both Facebook and Zynga, we believe that long-term secular shifts in content consumption, along with significant growth opportunities on smart devices from Apple and Google Inc. (NASDAQ:GOOG) are too compelling to ignore.”
Walt Disney Co. (NYSE:DIS) shares edged slightly higher in late trading after closing 1.13 percent higher on Thursday. The entertainment superstar named Alan Horn as the new head of its movie studio, replacing Rich Ross after the John Carter debacle.
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