Tech Stocks Tumble Continues Under Economic Pressures

By Kathleen A. Martin  |  Posted 2008-11-23 Email Print this article Print
 
 
 
 
 
 
 

WEBINAR: On-demand webcast

Take Advantage of Cloud Backup to Kick-Start Your Disaster Recovery REGISTER >

Hewlett-Packard's better than expected earnings, and Microsoft's committment to not layoff workers did little to save the tech sector's stock values last week.

The stock market offered a series of notable milestones last week. Thursday was the lowest point of the market since 2003, off 46.68 percent since a record high a little more than a year ago.

The market was down 19 percent for the month on opening Friday despite a rally on Tuesday with Hewlett-Packard (NYSE: HPQ) announcement regarding fourth quarter earnings and above street expectations for 2009. The market rewarded the tech giant by bumping its stock value 14 percent.

While opening down Friday, the market closed up over 494 points on the announcement by President-elect Obama naming Timothy Geithner as the next treasury secretary. Late day stocks soared bringing the market to a loss of only 5 percent week over week and 14 percent of the month. Overall, the market is down 39 percent for the year.

Technology stocks continued to slide with a series of double digit losses. Key highlights for the week include:

  • Microsoft (NASDAQ: MSFT) confirmed they are not cutting jobs and anticipate maintaining their spending on research and development. "Right now we're still on a plan to complete 100 percent of our college recruitment plan globally," CEO Steve Ballmer told The Associated Press. "The ability to get top talent has actually improved" as the world enters what could be a punishing recession.
  • Research in Motion (NASDAQ: RIMM) released the new Blackberry Storm through Verizon, competing head to head with Apple’s iPhone customers. RIM saw an increase of 12 percent in its stock price this week.
  • Dell (NASDAQ: DELL) reported mixed results in its third-quarter earnings. Dell reported its earnings fell 5 percent and sales also declined from a year ago, due to what executives described as "a challenging demand environment." The market responded by battering Dell’s stock nearly 15 percent.
  • Sun Microsystems (NASDAQ: JAVA) didn't see a significant bump in its stock value in the week following the announcement that it would eliminate up to 6,000 jobs or 18 percent of its workforce in a corporate restructuring.

The following are the week-over-week stock price closings for the top 50 technology vendors and 40 solution providers tracked by Channel Insider.

 

Leading Technology Vendor Stocks

Company 14-Nov 21-Nov Difference
Adobe Systems (ADBE) 22.34 21.38 -4.30%
Adtran (ADTN) 13.44 13.08 -2.70%
Alcatel-Lucent (ALU) 1.78 1.48 -16.90%
AMD 2.43 1.82 -25.10%
Apple (AAPL) 90.24 82.58 -8.50%
Arrow Electronics (ARW) 14.56 12.71 -12.70%
Avnet (AVT) 15.02 12.8 -14.80%
BMC Software (BMC) 25.02 23.41 -6.40%
CA 17.02 14.96 -12.10%
Canon (CAJ) 29.65 28.39 -4.20%
Check Point (CHKP) 20.01 19.65 -1.80%
Cisco Systems (CSCO) 16.62 15.17 -8.70%
Citrix Systems (CTSX) 22.95 22.89 -0.30%
Data Domain (DDUP) 17.55 15.8 -10.00%
Dell 10.89 9.3 -14.60%
EMC 9.98 9.3 -6.80%
FalconStor (FALC) 2.42 2.15 -11.20%
Foundry Networks (FDRY) 15.32 15.06 -1.70%
Google (GOOG) 310.02 262.43 -15.40%
HP (HPQ) 30.46 34.64 13.70%
IBM 80.33 74.88 -6.80%
Ingram Micro (IM) 11.73 9.43 -19.60%
Intel (INTC) 13.32 13.11 -1.60%
Juniper Networks (JNPR) 15.03 14.91 -0.80%
Lexmark (LXK) 23.97 24.04 0.30%
McAfee (MFE) 28.5 27.56 -3.30%
Microsoft (MFST) 20.06 19.68 -1.90%
Motorola (MOT) 4.08 3.28 -19.60%
NetApp (NTAP) 12.3 12.51 1.70%
Nokia (NOK) 12.59 12.93 2.70%
Nortel Networks (NT) 0.56 0.42 -25.00%
Novell (NOVL) 4.17 3.84 -7.90%
Oracle (ORCL) 16.9 16.38 -3.10%
Polycom (PLCM) 18.2 16.15 -11.30%
Rackspace (RAX) 6.24 6.1 -2.20%
Red Hat (RHT) 10.49 8.56 -18.40%
Research in Motion (RIMM) 40 44.8 12.00%
Salesforce.com (CRM) 26.4 22.32 -15.50%
SAP 35.24 31.15 -11.60%
ScanSource (SCSC) 17.32 15.38 -11.20%
Seagate Technology (STX) 4.87 4.4 -9.70%
Sun Microsystems (JAVA) 4.12 3.01 -26.90%
Sybase (SY) 24.98 23.65 -5.30%
Symantec (SYMC) 12.21 10.95 -10.30%
Synnex (SNX) 12.32 9.66 -21.60%
Tech Data (TECD) 19.46 15.28 -21.50%
VeriSign (VRSN) 18.64 17.57 -5.70%
VMWare (VMW) 20 18.94 -5.30%
Websense (WBSN) 16.43 14.75 -10.20%
Xerox (XRX) 6.36 5.25 -17.50%
       

Leading Solution Provider Stocks

Company 14-Nov 21-Nov Difference
Accenture 28.67 28.51 -0.60%
BT Global Services  18.5 18.72 1.20%
Computer Sciences Corp (CSC) 28.53 26 -8.90%
Northrup Grumman 40.34 37.93 -6.00%
Lockheed Martin  72.26 72.68 0.60%
Atos Origin 18.09 16.92 -6.50%
SAIC 18.74 18.09 -3.50%
Automatic Data Processing 35.12 35.25 0.40%
NTT Data Corp 21.58 21.34 -1.10%
Affiliated Computer Services  39.3 37.3 -5.10%
Unisys 0.64 0.49 -23.40%
Tata Consultancy Services 529.4 506.66 -4.30%
Harris Corp 33.04 30.06 -9.00%
ITT  40.99 37.8 -7.80%
Office Depot (Biz Solutions)  2.03 1.7 -16.30%
CGI Group 7.31 7.71 5.50%
BearingPoint Inc. 0.06 -

N/A

Insight North America 4.34 3.4 -21.70%
Convergys Corp.  5.43 4.39 -19.20%
Staples (N.A. Delivery) 17.09 15.64 -8.50%
Fiserv 32.75 30.07 -8.20%
Systemax 10.69 8.75 -18.10%
Perot Systems 11.72 11.58 -1.20%
OfficeMax (Corp. Sales)  4.92 4.8 -2.40%
WiPro Infotech 7.07 6.48 -8.30%
Citigroup (Transaction Services) 9.52 3.77 -60.40%
QinetiQ 155.25 145.75 -6.10%
Raytheon (TSC) 47.91 47.94 0.10%
Siemens 53.6 52.03 -2.90%
CAIC 41.68 39.78 -4.60%
PCConnection 4.07 3.39 -16.70%
Metavante 15.55 14.03 -9.80%
Cerner Corp 36.19 32.08 -11.40%
ManTech 49.59 47.27 -4.70%
Acxion 6.78 6.98 2.90%
McKesson 35.26 30.41 -13.80%
SRA International 13.44 14 4.20%
PCMall 3.2 2.73 -14.70%

 
 
 
 
 
 
 
 
 
























 
 
 
 
 
 

Submit a Comment

Loading Comments...
























 
 
 
 
 
 
 
 
 
Thanks for your registration, follow us on our social networks to keep up-to-date