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TechStock Radar
E-mail: Rob@techstockprospector.com
Technorati
February 2010
Archives
 
Monday, February 08, 2010, 5:15 PM — by Rob DeFrancesco, TechStock Radar
Electronic Arts Stumbles Again

Electonic Arts (ERTS, $15.77 after hours) shares are off nearly 10% in after-hours trading following disappointing guidance for fiscal 2011 (March).

 

The company now sees EPS of 50 cents to 70 cents (below the consensus estimate of 74 cents) on revenue of $3.65 billion to $3.9 billion (below the consensus of $4.07 billion).

 

CEO John Riccitiello has lost all credibility on Wall Street because of the company’s constant guide downs. The positive spin from Riccitiello on the EA conference calls has become an absolute joke.

 
Monday, February 08, 2010, 9:07 AM — by Rob DeFrancesco, TechStock Radar
Amazon: Collins Stewart Sees $150

Collins Stewart ups Amazon.com (AMZN, $117.39) to ‘Buy’ with a price target of $150, saying the stock offers an attractive entry point after the recent pullback.

 

Besides the strength in the core business, the firm says the Kindle franchise is already bigger than what many analysts think, which means estimates are too low for this year.

 

Amazon trades at 41 times the 2010 consensus EPS estimate of $2.85.

 
Friday, February 05, 2010, 11:55 AM — by Rob DeFrancesco, TechStock Radar
Leap Wireless Off 5% on Deal Skepticism

Leap Wireless (LEAP, $13.77) shares are off more than 5% today after JP Morgan downgraded the stock to ‘Underperform’ and cut its price target to $10 from $12.

 

The firm acknowledges that Leap is probably on the block, but thinks any deal would be “challenging” because the company’s fundamentals are not appealing, especially at this valuation.

 

For more on Leap, see TechStock Radar—February 3, 2010.

 
Thursday, February 04, 2010, 11:08 AM — by Rob DeFrancesco, TechStock Radar
Equinix Stumbles

Equinix (EQIX, $95.34) is extending its recent losses today and is now down more than 13% from the January 6 high of $110.57.

 

There’s support from late November around $93.50. There’s also a gap on the price chart from November 4 at $89. The 200-day moving average is still trending up from $86.45.

 

The RSI is approaching oversold levels at 31.1.

 
Wednesday, February 03, 2010, 10:36 AM — by Rob DeFrancesco, TechStock Radar
Research in Motion Stabilizes

Research in Motion (RIMM, $66.91) shares have stabilized and are now back above the 50-day moving average of $63.87. The stock has rebounded from its January 26 low of $60.40.

 

The next level to watch on the upside is the January 14 high off $67.16. There’s more significant resistance at the 200-day moving average at $70.08.

 

Research in Motion trades at 13X the fiscal 2011 (February) consensus EPS estimate of $5.05.

 
Wednesday, February 03, 2010, 10:02 AM — by Rob DeFrancesco, TechStock Radar
Leap Wireless Jumps on Buyout Chatter

Leap Wireless (LEAP, $15.40) shares are up more than 16% this week after The WSJ reported the company hired Goldman Sachs to explore a possible sale.

 

Potential buyers include MetroPCS, AT&T and Verizon Wireless. However, some have speculated that even if a buyout did happen any deal premium could be small, especially given the recent rally in the shares.

 
Wednesday, February 03, 2010, 9:47 AM — by Rob DeFrancesco, TechStock Radar
Riverbed: Q4 Tops Estimates

Riverbed Technology (RVBD, $22.64) reported Q4 EPS of 21 cents, three cents above the consensus estimate, on revenue of $112.9 million (+22.4% y/y), vs. the consensus of $106.5 million.

 

For Q1, the company sees revenue of $106 million to $109 million (the consensus is $104.8 million) and EPS of 17 cents to 18 cents (the consensus is 17 cents).

 

Riverbed shares are off more than 4% this morning as guidance didn’t come in well above expectations.

 
Monday, February 01, 2010, 6:02 PM — by Rob DeFrancesco, TechStock Radar
Amazon Off 5% On Publisher Dispute

Shares of Amazon.com (AMZN, $118.87) finished down 5.2% after trading as low as $113.82 intraday on news that the company pulled all Macmillan e-books from its online store because of a dispute over pricing.

 

While Amazon lists mostly all of its digital books for $9.99, Macmillan’s new pricing plan starts at $12.99 and goes up to $14.99. It is scheduled to go into effect in March. Other publishers may follow Macmillan’s lead.

 

Amazon was able to quickly build its Kindle business by offering cheap e-books. The concern is that higher book prices and new competition from the likes of Apple will squash Amazon’s hold on the e-book market.

   
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