eBay Caps a Big Day for Techs

Tech stocks were back in favor with investors on Wednesday, and eBay kept the momentum going after the bell with better than expected results.

eBay shares leapt 10% in late trading — on top of a 5% gain during the day — on fourth quarter sales that rose 29% to $1.72 billion, ahead of $1.67 billion estimates. Earnings of 31 cents a share were three cents better than Wall Street analysts expected, and the online auction king’s first-quarter sales guidance of $1.67-$1.72 billion was in line with $1.7 billion forecasts.

“All three of the company’s business units delivered impressive results this quarter, including record net revenues from our Marketplaces business, strong total payment volume on PayPal, and a triple-digit increase in the number of Skype users,” CEO Meg Whitman said in a statement.

Tech stocks surged during the day on Sun Microsystems’ return to profitability and news that Yahoo will soon roll out its new advertising platform.

But AMD shares slumped 8% on news that the chipmaker’s price war with Intel took its toll in the fourth quarter. QLogic fell 5% on its results.

Corning , Check Point , Hyperion , Parametric , RF Micro and Seagate gained on their results.

Adobe rose 6% on a new CFO.

The Nasdaq soared 35 to 2466, the S&P 500 rose 12 to 1440, and the Dow gained 88 to a record 12,621. Volume declined to 2.78 billion shares on the NYSE, and rose to 2.3 billion on the Nasdaq. Advancers led 22-10 on the NYSE, and 20-10 on the Nasdaq. Upside volume was 73% on the NYSE, and 83% on the Nasdaq. New highs-new lows were 296-17 on the NYSE, and 143-42 on the Nasdaq.

News Around the Web