Wall Street shrinking tech giantsâ€™ share prices

The tech sector is fizzling as big-name companies continue to struggle on Wall Street as earnings reports come in lower than expected.

Microsoft fell the most in more than four years after the company wrote off nearly $1 billion on its new tablet computer and reported declining revenue for its Windows operating system.

The Surface RT, Microsoft's tablet, has not had close to the success that Microsoft had hoped, spurring the company to cut prices by $150.  Microsoft dropped $4.04, or  11.4 percent, to $31.40 after reporting its earnings late Thursday.

That's the biggest one-day decline since the stock slumped 11.7 percent in January 2009.

Google dropped after its revenue fell below analysts' forecasts, partly because the Internet search leader's ad prices came in lower than expected. The most significant factor was revenue from mobile ads, which still lags behind other Internet ads in terms of profit.

Google fell $14.08, or  1.5 percent, to $896.60.

"You have a lot of companies that were priced for perfection," said Max Wolff, senior analyst & chief economist at Greencrest Capital. "Neither of them met expectations."

Despite the market's upswing this month, there has been a growing list of poor tech company results.  Intel and eBay also reported weak results this week, and chipmaker Advanced Micro reported a second-quarter loss because of a worldwide slump in PC demand.

Apple and Samsung phone sales have slowed, largely because the market is already saturated with smartphone owners.

Anda sedang membaca artikel tentang

Wall Street shrinking tech giantsâ€™ share prices

Dengan url

http://sedangapasaja.blogspot.com/2013/07/wall-street-shrinking-tech-giantsa.html

Sedang Saja