RealTime IT News

AMAT Comes Up Short

Applied Materials posted 47% year-over-year sales growth in its October quarter, but that was less than Wall Street was looking for.

AMAT's sales of $2.52 billion were shy of $2.56 billion forecasts, and earnings of 30 cents a share were a penny light.

The chip equipment maker also predicted a 5-10% sequential decline sales and a "short-term order pause" for the current quarter, sending its shares 2% lower in late trading. Wall Street was looking for a 2% sequential decline.

Also after the close, Network Appliance was little changed after its 35% sales growth topped expectations, while forward guidance was in line to a little shy of estimates.

Stocks rose once again during the day, as tough inflation talk from the Federal Reserve failed to put much of a dent in the market. The S&P 500 briefly cleared the 1400 level for the first time in six years.

Consumer inflation data and earnings from Dell and HP will dominate Thursday's headlines.

CDC and Daktronics gained on their results.

Comverse and Jabil fell on accounting issues.

The Nasdaq climbed 12 to 2442, the S&P 500 added 3 to 1396, and the Dow rose 33 to 12,251. Volume declined to 2.82 billion shares on the NYSE, and rose to 2.2 billion on the Nasdaq. Advancers led 20-12 on the NYSE, and 19-11 on the Nasdaq. Upside volume was 67% on the NYSE, and 64% on the Nasdaq. New highs-new lows were 361-16 on the NYSE, and 319-55 on the Nasdaq.