Here are some things going on today in your world of tech :
Shares of Broadcom (AVGO) are up $2.05, or 0.8%, at $249.03, perhaps because investors now see diminished prospects for its hostile bid for Qualcomm (QCOM), after the latter this morning published a copy of a letter sent by the U.S Treasury Department to it and to Broadcom saying that the government has concerns about the national security implications of a deal, and that the CFIUS body will be reviewing those concerns during the 30-day review period that has started.
Bernstein's Stacy Rasgon, a bull on Broadcom stock and a bear on Qualcomm, writes this morning that it looks like, based on a Bloomberg report yesterday, that Qualcomm was going to lose the shareholder vote that had been scheduled for today and that was postponed by CFIUS as a result of the investigation.
Rasgon figures Qualcomm now has "30 days to right the ship," and "get shareholders on their side," but he thinks "it is unlikely that the company's current'trust us' strategy is going to fly."
Qualcomm stock is down $2.02, or 3%, at $61.99.
Ciena's thriving markets
CEO Gary Smith tells Barron's investments by carriers in advance of 5G wireless deployments are already paying off, and that the race by " web-scale " companies like Google to build data centers is increasingly making them direct customers for Ciena's gear.
More praise for Netflix
Pivotal Research's Jeffrey Wlodarczak reiterates a Buy rating on the shares, and raises his target to $400 from $300, after concluding the company's subscribers overseas will be higher than he thought by 2024, and its average price in the U.S will be higher per sub by then.
Wlodarczak now sees 250 million subscribers internationally in'24, higher than his prior 230 million estimate, and raises his ARPU estimate for'24 to $16. He also raises the multiple of Ebitda he raises to 17 times from 13 times for his 2024 Ebitda estimate.
Goldman rosy on Micron
Delaney who observes that supply of DRAM chips is still "constrained," and that prices for some server DRAM has risen measurably just since January. He raises his price target to $58 from $55 and reiterates a Buy rating.
Not enough beef for GrubHub
Shares of online food ordering pioneers GrubHub (GRUB) are down $2.72, or 2.7%, at $99.26, after Merrill Lynch's Nat Schindler cut his rating on the shares to Neutral from Buy, while keeping a $102 price target, after concluding the stock has now gotten all it's going to get from things like tax reform and the acquisition of Eat24, according to a write up by TheFlyonthe Wall.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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