By Rex Crum, MarketWatch
SAN FRANCISCO (MarketWatch) -- Tech stocks showed some signs of
weakness Tuesday, with Apple Inc. and Red Hat Inc. among the
decliners as analysts' actions weighed on those companies'
shares.
Apple (AAPL) gave up a brief gain to shed $7.48 a share and
trade at $430.38. Before the market opened, Jefferies analyst Peter
Misek trimmed his price target on Apple's stock to $420 a share
from $500.
Misek also cut his iPhone sales estimates for the current
quarter to 35 million units from 37.5 million and said that checks
with Apple's suppliers indicate the next version of the iPhone
won't be launched until the third quarter of the year.
Red Hat (RHT) shares fell by 3.6%, to $51.24 after Walter
Pritchard of Citigroup cut his rating on the software company to
neutral from buy on the grounds that the company is lacking a major
source of new revenue growth.
Zynga Inc. (ZNGA) was down by 4.4%, at $3.75 a share. Macquarie
Capital analyst Ben Schachter said in a research note that the idea
that Yahoo Inc. (YHOO) might buy the social-media gaming company is
"unfounded." Zynga shares rose more than 10% Monday on reports that
Yahoo might be interested in acquiring Zynga.
Declines also came from Oracle Corp. (ORCL), NetApp Inc. (NTAP),
Cisco Systems Inc. (CSCO) and Facebook Inc. (FB).
The Nasdaq Composite Index (RIXF) fell 20 points to 3,232, and
the Philadelphia Semiconductor Index (SOX) slipped back into
negative territory.
Advances came from VeriFone Inc. (PAY), which rose more than 5%
to $21.50 a share. Late Monday, the payments-technology and
services company said it is replacing Chief Executive Doug
Bergeron.
Hard-disk drive maker Seagate Technology (STX) rose more than 3%
to $34.38 a share. The company said it shipped its two-billionth
hard-disk drive.
Glu Mobile Inc. (GLUU) shares climbed 18% to $2.84 after the
mobile-games developer said it launched its first real-money
gambling game in the U.K. Glu Mobile is partnering with Probability
plc on a mobile slot game using intellectual property from its
"Samurai vs. Zombies Defense" title.
Intersil Corp. (ISIL) rose 3.4% to $8.81 a share after the
communications signal semiconductor company said late Monday it
named Necip Sayiner as its new CEO. Saynier had been CEO at Silicon
Laboratories Inc. (SLAB). B. Riley Caris analyst Craig Ellis raised
his rating on Intersil to buy from neutral following Saynier's
appointment.
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