EmailThe tech sector is trading lower today, trailing losses in the broader market. Semiconductors are showing relative weakness with the SOX trading 2.0% lower. BRCM (-6.5%) is a notable laggard in that chip index. Among other major indices, the SPY is trading 0.5% lower today, while the QQQ and the NASDAQ are trading 0.8% lower on the session. Among tech bellwethers, QCOM (-2.2%) and FB (-2.3%) are showing notable weakness.
In earnings, FLIR (-1.3%) lowered its Q2 and FY12 guidance. This morning, ALU (-19.0%) stated that it will not achieve FY adj. operating margin guidance and ININ (-5.6%) issued lowered Q2 guidance and sees risk to its FY12 margin ests. In news, Marissa Mayer, formerly from GOOG (-1.0%), was named the President and CEO of YHOO (-1.1%). Elsewhere, DGIT (+25.8%) announced its intentions to explore strategic alternatives. Among rumors, VMW (-5.1%) may spin out its cloud assets to keep up with MSFT (-0.7%), AMZN (-0.7%), and GOOG (-1.0%). The company's CEO also may be departing, according to reports. While there were no notable analyst upgrades this morning in the tech space, VMW (-5.1%) was added to Focus List at Credit Suisse. In downgrades, ALU (-19.0%) was downgraded to Hold at Deutsche Bank, QNST (-3.4%) was downgraded to Underperform at BofA/Merrill, and NOK (-5.6%) was downgraded to Underperform at Jefferies. INTC (-0.8%) and YHOO (-1.1%) are the notable names in tech scheduled to report quarterly results today after the close.
