1. Most Discussed
  2. Gainers & Losers

Tech stocks - recovery underway?

  1. FallGuy

    2,070 Posts.

    Maybe there's still downside for major tech stocks but many of the smaller stocks are so beaten down pricewise that simply surviving and showing signs of uptrend will push the stocks up to true value. It could happen quickly though and consume all the upside potential once the market realises what is happening.

    From CNN Money:
    A positive outlook from software maker Oracle (ORCL: up $0.45 to $9.50, Research, Estimates) ignited enthusiasm for technology stocks after a bruising session for the sector Monday. Contrary to the general industry forecast, chief financial officer Jeff Henley late Monday forecast a turnaround in technology spending and reiterated the company's second-quarter earnings target. Henley also said positive growth in 2003 would end Oracle's two-year revenue decline.

    Cisco Systems (CSCO: up $0.71 to $12.87, Research, Estimates) CEO John Chambers said the order backlog for products to be shipped within 90 days -- a key gauge used by analysts to assess the health of company's business and the sector -- was up from its September level. Cisco shares were the most active on the Nasdaq.

    Telecom stocks were cheered by Vodafone (VOD: up $2.19 to $17.64, Research, Estimates)'s quarterly results. Europe's largest mobile phone operator said its first-half loss narrowed and also delivered a bullish outlook for the rest of the year.

    The strong performance from technology stocks Tuesday got some cautious Wall Street watchers sounding somewhat bullish.

    "With Cisco saying that its order backlog is growing [there are] good tentative first signs that the future is getting better," Jim Glickenhaus, market strategist with Glickenhaus & Co told CNNfn's The Money Gang. "But it will still be a slow dribble."

Before making any financial decisions based on what you read, always consult an advisor or expert.

The HotCopper website is operated by Report Card Pty Ltd. Any information posted on the website has been prepared without taking into account your objectives, financial situation or needs and as such, you should before acting on the information or advice, consider the appropriateness of the information or advice in relation to your objectives, financial situation or needs. Please be aware that any information posted on this site should not be considered to be financial product advice.

From time to time comments aimed at manipulating other investors may appear on these forums. Posters may post overly optimistic or pessimistic comments on particular stocks, in an attempt to influence other investors. It is not possible for management to moderate all posts so some misleading and inaccurate posts may still appear on these forums. If you do have serious concerns with a post or posts you should report a Terms of Use Violation (TOU) on the link above. Unless specifically stated persons posting on this site are NOT investment advisors and do NOT hold the necessary licence, or have any formal training, to give investment advice.


Thank you for visiting HotCopper

We have detected that you are running ad blocking software.

HotCopper relies on revenue generated from advertisers. Kindly disable your ad blocking software to return to the HotCopper website.

I understand, I have disabled my ad blocker. Let me in!

Need help? Click here for support.