Microsoft shares plunged by around 7% as a result of lackluster earnings that were posted in the second quarter by the tech-giant. Analysts were expecting the earnings report to be around 75 cents a share that would be around $20.7 billion in terms of revenue; however, the tech-giant reported that it managed to make a recover from its previous unsatisfactory performance.
The profit for the second quarter of 2013 was witnessed to be around $4.97 billion that comes around 59 cents per share. This is a drastic improvement from last year as it posted a loss of $492 million where earnings per share were around 6 cents.
The revenue came out to be $19.9 billion which is just a little less than expected, but the sales numbers soared from $18.06 billion that of last year’s. Considering the market movement on Wall Street, the opportunity remains there for investors to enter as long on tech-giant shares at least for 2 months from now.
Apple’s Earnings Plunge
Apple posted a decline its profit for the second quarter of 2013, but the outcomes came out to be better than what analysts forecasted on Wall Street. The net income of Apple Inc. for the month ended June came out to be $6.9 billion that comes to around $7.47 a share, which if compared to last year’s same quarter fell from its previous reading of $8.8 billion and more than $9 a share.
Since September 2012, Apple’ shares have experienced a severe downfall but the investors gained a little confidence when the iPhone 5 was launched and still a buying opportunity is there as the shares may soar in near future over the launch of iWatch.
The sales grew very slightly as the company faced tough competition from other smartphone makers including Samsung and HTC, where the reported revenues were noted to be $35.3 billion. Still this figure is better as compared to the forecasted figure of $35 billion.
As stated a week back in our analysis report that going long on Facebook share would be safe above $25 a share level, hence the bulls continue to ride the stock of the social networking giant as it posted the profits and sales that were way better than the forecasted numbers by analysts.
The revenue for the 2nd quarter of 2013 rose to around $1.81 billion while the profit for the same quarter saw a surge to 19 cents a share against the expected figure of 14 cents a share. Mobile advertisements helped the company post good revenues, while buying opportunity for the traders remains there where a downward correction may be seen at $29 a share level.