Techs Gain Despite Lexmark Warning

By Paul Shread | July 09, 2007
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The Nasdaq notched its fourth straight multi-year high Monday despite a profit warning from Lexmark .

Lexmark shares fell 6% after the company said earnings will come in well below estimates, squeezed by pricing pressures and development costs. The news also weighed on shares of printer rival and Dow component HP . Lexmark will report full results July 24.

Imation , Orbotech and Nu Horizons also fell on warnings, while SigmaTel soared 24% after raising sales guidance.

Technology earnings will begin in earnest next week, with Intel and Yahoo set to report July 17.

Intel gained 1.1% on news of a $219 million stake in EMC's VMware unit, which is prepping for an IPO.

Amazon and SanDisk led the Nasdaq to a fresh 6 1/2-year high, rising more than 4% each.

The Nasdaq climbed 3 to 2670, the S&P 500 added 1 to 1531, and the Dow rose 38 to 13,649. Volume rose to 2.68 billion shares on the NYSE, and 1.9 billion on the Nasdaq. Advancing issues led by a 16-15 margin on the NYSE, while decliners led 15-14 on the Nasdaq. Upside volume was 49% on the NYSE, and 53% on the Nasdaq. New highs-new lows were 318-46 on the NYSE, and 246-64 on the Nasdaq.