A mixed bag of economic data kept US stock indices all but flat in mid-Friday trading, with the Nasdaq Composite
(INDEXNASDAQ:.IXIC) down 0.67% to 2,966.15 points on average trading volume of 806.32 million as of 12:13 p.m. EDT.
US third-quarter GDP growth came in at an expectations-beating 2%, when analysts had forecast economic expansion of 1.7%. However, the final October reading of the University of Michigan/Thomson Reuters consumer sentiment indicator was revised downwards to 82.6 from 83.1, when analysts had projected a reading of 83.0.
A leading Nasdaq gainer on the day is Applied Micro Circuits
(NASDAQ:AMCC), which jumped 22.47% to $5.56. The company reported a second-quarter loss of $10.53 million, or a loss of $0.16 per share, on revenue of $46.3 million, when the consensus estimate was a loss of $0.16 per share on revenue of $45.28 million. Shares of Applied Micro Circuits were upgraded to Buy from Hold at Craig Hallum.
(NASDAQ:EXPE) also surged 11.18% to $56.98 on a better-than-expected earnings release. For its third quarter, the online travel company posted a profit of $171.5 million, or $1.21 per share, on revenue of $1.2 billion, when analysts had forecast profit of $1.26 a share and revenue of $1.17 billion.
Shares of Amazon
(NASDAQ:AMZN) also advanced 2.76% to $229.07 despite the online retailing giant having posted a third-quarter loss. Analysts believe that Amazon’s heavy capital investment will pay off in the longer term and that it will enjoy strong holiday season sales.
(NASDAQ:CTCT) was among the Nasdaq’s biggest decliners, sliding 26.31% to $12.55 after it lowered its guidance for the fourth quarter and all of 2013. The email marketing firm projects revenue of $65.2 million to $65.5 million and earnings of $0.14-$0.16 per share for the fourth quarter, when analysts had expected revenue of $67.45 million and profit for $0.18 per share. For fiscal 2013, the company cut its revenue forecast to between $251.1 million and $251.4 million, from the previous range of $253 million to $254 million.
(NASDAQ:VRSN) also took a hit, dropping 18.69% to $37.89. The company beat estimates for both earnings and revenue in the third quarter, but analyst were downbeat about the firm’s fourth-quarter prospects, with the consensus estimate having been revised downwards to $0.48 from $0.49 a month earlier. News that the US Commerce Department and the Department of Justice were investigating VeriSign’s contract pricing terms has also unsettled investors.
No positions in stocks mentioned.
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