Technology stocks were slightly lower, with shares of Google (
) underwater due to increased Chinese censorship before the 25th
anniversary of the Tiananmen Square protests and Apple (
) shares trading defensively ahead of its developers' conference
starting Monday in San Francisco. Shares of technology companies in
the S&P 500 were down about 0.2% this afternoon.
In company news, Broadcom Corp. (
) shares rose Monday, with shares of the chipmaker rising to an
11-month high and climbing close to its 52-week high after saying
it is exploring strategic options for its cellular baseband
business, including a potential sale or wind-down.
The company said it hired J.P. Morgan to assist with those
evaluations, also saying disposing the unit could reduce its
research and development as well as its selling, general and
administrative costs by around $700 million per year. About $100
million of those anticipated savings would result from expected
reductions in stock-based compensation.
BRCM expects it would reinvest around $50 million of its future
savings each year into its broadband, infrastructure and
connectivity businesses, bolstering its plans with small cells,
embedded processing and low-power connectivity.
BRCM shares were ahead about 9.7% at $34.97 each in recent
trade, earlier climbing to an intra-day high of $36.04 a share - or
just 16 cents off its 52-week high. The stock has declined slightly
more than 2% in value over the past 12 months.
In other sector news,
(+) INUV, (+9.5%) Retains compliance with NYSE listing standards
for financial stability.
(-) NEON, (-9.9%) Files to sell 5 mln shares of its common stock
in an underwritten offering.
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