Tech Stocks Narrowly Higher; Investors, Analyst Both Punish Blackberry After Buyout Evaporates
Top Tech Stocks
Technology stocks are slightly higher, with shares of technology companies in the S&P 500 climbing about 0.2%.
In company news, Blackberry ( BBRY ) shares are in free-fall after the struggling smart-phone manufacturer called off a planned sale of the company and instead accepted a $1-billion investment intended to keep the firm afloat while it again reviews its strategic options.
Would-be buyer Fairfax Financial Holdings today scrapped its take-over bid but together with unnamed institutional investors will purchase $1 billion of convertible debentures. CEO Thorsten Heins also agreed to step down in a a management shakeup that will also result in a new board chairman joining the company.
Shares were last trading at $6.45 each, down 17%, just 5 cents off their latest 52-week low. Analysts also are starting to reduce their investment ratings for BBRY shares, with National Banks dropping the stock to Underperform and slashing its price target to just $3 a share.
In other sector news,
(+) EXTR, (+17.3%) Non-GAAP earnings of $0.06 per share in fiscal Q1 beat analyst forecasts by $0.02. Revenue slips 0.3% from year-ago levels to $75.9 mln but still tops Capital IQ consensus by $1.2 mln.
(+) LUNA, (+4.2%) Signs agreement granting UltraTech International Incorporated ( UTEK ) an exclusive license to commercialize its new textile repellent technology. UTEK shares also are 4.7% higher this afternoon.
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