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By Brice Wightman
Stocks fell with a late day drop caused by hedge fund selling. Breadth was positive early on but turned negative at the drop. Applied Materials (AMAT) reported higher first-quarter income of $82 million, with revenue rising to $1.56 billion and orders up by 30%. AMAT expects another 30% increase in current-quarter orders with earnings reaching 7 cents per share on revenue of $1.29 billion. Twenty-five percent of new orders came from China and Asia last quarter. Chip-maker OmniVision (OVTI) posted earnings of 28 cents a share on revenue of $94.5 million, +22%. The company expects sales to reach $98 million with earnings of about 30 cents a share. Retailer Wal-Mart (WMT) reported earnings of $2.72 billion, + 8.4%, on sales of $75.2 billion.
Former Enron CEO Jeff Skilling was indicted Thursday in Houston on 42 counts, including securities fraud, conspiracy, insider trading and making false statements. Skilling resigned in 2001, before the scandal broke. His attorney Daniel Petrocelli said the government was making false accusations against his client.
After the close, Hewlett Packard (HPQ} reported a Q1 inline at 0.35. Revenues were $19.5 vs $19.3 billion estimate; net income was $930.6 million. Results in printing and imaging, the company's core business, were somewhat soft. The company affirmed its fiscal '04 outlook.
Serena (SRNA) beat by a penny, ex items, as did BEA Systems (BEAS). Guess (GES) beat by 0.05 and Ocular Sciences (OCLR) beat by penny and guided higher. Nordstrom (JWN) beat by 0.08 and guided higher for Q1 and FY '04. Univision (UVN) beat by a penny and guided inline.
KPMG said that Federal prosecutors are investigating some tax shelters that were sold by the company and that they are cooperating with the investigation.
Coca Cola (KO) CEO Doug Daft is stepping down at year end, saying he is leaving on his own and not being forced out. Daft has been Coke's CEO since 1999, and cut jobs and streamlined operations during his tenure. Company COO Steve Heyer is a possible replacement.
Dow -7.26 10664.73
S&P 500 -4.76 1147.06
Nasdaq -30.51 2045.96
The day's leading sectors were Pharmaceuticals (PPH) +0.48%, Chemicals (CEX.X) +0.39%, Homebuilders (HGX.X) +0.35% and Oil (OSX.X) +0.32%.
Weak today were Networking (NWX.X) -2.56%, and Gold & Silver (XAU.X) -1.96%,
Economic news releases included lower initial claims at 344K.
10-year Notes were +010 at 114 260
The dollar was +0.10 at 85.98
Gold was -2.36 at 409.14.
Volume was 1,516,498,000 on the NYSE, and 2,058,533,000 on the Nasdaq.
Market breadth was positive.
NYSE Issues
Advancing 1213 Up Vol 556
Declining 2074 Down Vol 921
Ratio 1.70 1.65
Nasdaq
Advancing 1093 Up Vol 366
Declining 2073 Dow Vol 1655
Ratio 1.89 4.52
Stocks in the news:
Target (TGT) posted strong earnings of $832 million or 91 cents on revenue of $15.57 billion. Higher margins offset higher expenses with same-store sales up 4.9%.
Intuit (INTU) posted an increase of 16% in earnings on revenue of $636.3 million. Earnings came in at $149.1 million. For the next quarter, INTU guided higher at $700 million, or about $1.14 cents a share.
Telecommunications maker Qwest (Q) reported a net loss of $307 million as revenue dropped 5.6% to $3.5 billion due to competition from local voice and wireless services.
For the first time, Bluefly (BFLY) reported a net income, with sales rising 42%. Earnings came in at $111,000 on sales of $14 million
Stocks fell with a late day drop caused by hedge fund selling. Breadth was positive early on but turned negative at the drop. Applied Materials (AMAT) reported higher first-quarter income of $82 million, with revenue rising to $1.56 billion and orders up by 30%. AMAT expects another 30% increase in current-quarter orders with earnings reaching 7 cents per share on revenue of $1.29 billion. Twenty-five percent of new orders came from China and Asia last quarter. Chip-maker OmniVision (OVTI) posted earnings of 28 cents a share on revenue of $94.5 million, +22%. The company expects sales to reach $98 million with earnings of about 30 cents a share. Retailer Wal-Mart (WMT) reported earnings of $2.72 billion, + 8.4%, on sales of $75.2 billion.
Former Enron CEO Jeff Skilling was indicted Thursday in Houston on 42 counts, including securities fraud, conspiracy, insider trading and making false statements. Skilling resigned in 2001, before the scandal broke. His attorney Daniel Petrocelli said the government was making false accusations against his client.
After the close, Hewlett Packard (HPQ} reported a Q1 inline at 0.35. Revenues were $19.5 vs $19.3 billion estimate; net income was $930.6 million. Results in printing and imaging, the company's core business, were somewhat soft. The company affirmed its fiscal '04 outlook.
Serena (SRNA) beat by a penny, ex items, as did BEA Systems (BEAS). Guess (GES) beat by 0.05 and Ocular Sciences (OCLR) beat by penny and guided higher. Nordstrom (JWN) beat by 0.08 and guided higher for Q1 and FY '04. Univision (UVN) beat by a penny and guided inline.
KPMG said that Federal prosecutors are investigating some tax shelters that were sold by the company and that they are cooperating with the investigation.
Coca Cola (KO) CEO Doug Daft is stepping down at year end, saying he is leaving on his own and not being forced out. Daft has been Coke's CEO since 1999, and cut jobs and streamlined operations during his tenure. Company COO Steve Heyer is a possible replacement.
Dow -7.26 10664.73
S&P 500 -4.76 1147.06
Nasdaq -30.51 2045.96
The day's leading sectors were Pharmaceuticals (PPH) +0.48%, Chemicals (CEX.X) +0.39%, Homebuilders (HGX.X) +0.35% and Oil (OSX.X) +0.32%.
Weak today were Networking (NWX.X) -2.56%, and Gold & Silver (XAU.X) -1.96%,
Economic news releases included lower initial claims at 344K.
10-year Notes were +010 at 114 260
The dollar was +0.10 at 85.98
Gold was -2.36 at 409.14.
Volume was 1,516,498,000 on the NYSE, and 2,058,533,000 on the Nasdaq.
Market breadth was positive.
NYSE Issues
Advancing 1213 Up Vol 556
Declining 2074 Down Vol 921
Ratio 1.70 1.65
Nasdaq
Advancing 1093 Up Vol 366
Declining 2073 Dow Vol 1655
Ratio 1.89 4.52
Stocks in the news:
Target (TGT) posted strong earnings of $832 million or 91 cents on revenue of $15.57 billion. Higher margins offset higher expenses with same-store sales up 4.9%.
Intuit (INTU) posted an increase of 16% in earnings on revenue of $636.3 million. Earnings came in at $149.1 million. For the next quarter, INTU guided higher at $700 million, or about $1.14 cents a share.
Telecommunications maker Qwest (Q) reported a net loss of $307 million as revenue dropped 5.6% to $3.5 billion due to competition from local voice and wireless services.
For the first time, Bluefly (BFLY) reported a net income, with sales rising 42%. Earnings came in at $111,000 on sales of $14 million