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RealTime IT News

Adobe Beats, PalmOne Warns

Adobe continued its strong run after the close on Thursday by beating Wall Street estimates and raising guidance once again.

PalmOne , meanwhile, continued a streak of its own by warning that results will come in well below expectations for the second straight quarter.

Adobe reported pro forma earnings of 53 cents a share, 3 cents above estimates, and revenues of $472.9 million topped $462.3 million forecasts. Adobe forecast second-quarter earnings of 51-55 cents a share on revenues of $475-$495 million, both above estimates. The company also set a 2-for-1 stock split, and its shares gained 1.5% after hours.

PalmOne reported pro forma earnings of 21 cents a share on revenues of $285.3 million, slightly better than expected, but the company slashed forward guidance well below expectations. The stock fell 15% after hours after rising 5% during the day.

Also after the close, Jabil met estimates and raised guidance, and 3Com topped forecasts.

Stocks treaded water during the day, as oil prices finally stopped rising.

The Nasdaq edged higher to 2016, the S&P 500 added 2 to 1190, and the Dow slipped 6 to 10,626. Volume declined to 1.58 billion shares on the NYSE, and 1.77 billion on the Nasdaq. Advancers led 19-13 on the NYSE, while breadth was even on the Nasdaq. Upside volume was 59% on the NYSE, and 48% on the Nasdaq. New highs-new lows were 61-79 on the NYSE, and 48-88 on the Nasdaq.

MCI slipped on Qwest's latest offer, while Retek surged after SAP topped Oracle's buyout offer.

Digital River and Audible rose on their outlooks.

Cray plunged 26% after delaying its 10-K filing, and Lexar plunged by an equal amount on a warning.

McLeod lost half its value after the company said it is looking for a buyer.