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Mid-Morning Market Update: Markets Open Higher; Hewlett-Packard Profit Beats Estimates

By: Benzinga
Posted: 11/27/2013 10:30:00 AM
Referenced Stocks: ADI;AMCBF;BLOX;FWLT;HPQ

Following the market opening Wednesday, the Dow traded up 0.14 percent to 16,095.50 while the NASDAQ surged 0.36 percent to 4,032.21. The S&P also rose, gaining 0.21 percent to 1,806.54.

Top Headline Yesterday, Hewlett-Packard Company (NYSE: HPQ ) reported stronger-than-expected fourth-quarter results.

Hewlett-Packard posted a quarterly net income of $1.4 billion, or $0.73 per share, versus a year-ago loss of $6.9 billion, or $3.49 per share. Excluding one-time charges, it earned $1.01 per share.

Its revenue dropped 3% to $29.1 billion. However, analysts were projecting a profit of $1 per share on revenue of $27.86 billion. For the fiscal first quarter, Hewlett-Packard expected an adjusted profit of $0.82 to $0.86 per share.

Equities Trading UP GW Pharmaceuticals plc (NASDAQ: GWPH ) shot up 9.91 percent to $38.47 after the company received regulatory approval for Sativex in Switzerland.

Shares of Hewlett-Packard Company (NYSE: HPQ ) got a boost, shooting up 7.61 percent to $27.00 after the company reported stronger-than-expected fourth-quarter results. Evercore Partners upgraded the stock from Underweight to Equalweight and raises the price target from $20.00 to $25.00.

Foster Wheeler AG (NASDAQ: FWLT ) was also up, gaining 6.27 percent to $30.53 on a report from The Times that rival Amec (OTC: AMCBF ) is considering a bid, according to sources. Goldman Sachs has reportedly been hired as advisor on a potential deal.

Equities Trading DOWN Shares of Infoblox (NYSE: BLOX ) were down 22.13 percent to $35.01 after the company issued a weak outlook for the second quarter.

58.com (NYSE: WUBA ) shares tumbled 11.47 percent to $33.02 after the company reported Q3 unaudited financial results.

Analog Devices (NASDAQ: ADI ) was down, falling 5.53 percent to $47.16 after the company reported downbeat revenue for the fourth quarter.

Commodities In commodity news, oil traded down 1.30 percent to $92.46, while gold traded up 0.74 percent to $1,250.70.

Silver traded up 0.54 percent Wednesday to $20.00, while copper fell 0.06 percent to $3.22.

Eurozone European shares were higher today. The Spanish Ibex Index rose 0.76 percent, while Italy's FTSE MIB Index gained 1.01 percent. Meanwhile, the German DAX surged 0.35 percent and the French CAC 40 jumped 0.37 percent while U.K. shares rose 0.12 percent.

Economics US jobless claims dropped by 10,000 to 316,000 in the week ended November 23. However, economists were estimating claims to increase to 330,000.

US durable goods orders dropped 2% in October, versus economists' expectations for a 2.2% fall.

The Chicago Fed National Activity Index declined to -0.18 in October, versus a prior reading of 0.14.

The MBA's index of mortgage application activity declined 0.3% in the week ended November 25.

The Bloomberg Consumer Comfort Index rose to -33.70 in the week ended November 24, versus a prior reading of -34.60.

The Reuter's/University of Michigan's consumer sentiment index climbed to a final reading of 75.1 in November, versus 73.2 in October. However, economists were expecting a final reading of 73.1.

The Conference Board's index of leading indicators gained 0.20% in October, versus economists' expectations for a 0.00% rise.

The Treasury is set to auction 3-and 6-month bills. The Treasury will also auction 7-year notes.

Data on farm prices will be released at 3:00 p.m. ET.

(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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