Tech Earnings Report: Intel and Yahoo! Lead the Charge

Intel and Yahoo! are the two powerhouse tech companies reporting earnings after the bell today, with investors eagerly anticipating the results. Intel has been struggling this year after a remarkable run last year, while Yahoo! has continued to soar.

Key Takeaways:

• Intel's sales outlook for the third quarter was drastically cut in September, leading to investor concerns about rising inventories and slowing demand.
• Yahoo!'s success this year has been driven by the search-based advertising market's incredible hotness, making it unlikely for investors to worry about bad numbers.
• Intel's expectations are low, so meeting lowered estimates may not lead to a significant sell-off, whereas Yahoo!'s need to exceed expectations.
• Apple's upcoming earnings report will shed light on iPod sales and their impact on consumer spending in the fourth quarter.
• Nokia's turnaround story this year has been remarkable, with the company gaining market share back after a period of struggling to release new flip phones.
• The shift in investor sentiment towards real estate mutual funds over technology mutual funds is a telling sign.

Statistics:

• Intel has seen its stock beaten down this year, but the flip side suggests investors might buy up the blue chip stock due to its potential for stronger earnings reports.
• Yahoo!'s earnings expectations are high, but meeting these expectations may not lead to a significant sell-off, unlike in July.
• The stock market has been favoring real estate mutual funds over technology mutual funds, a shift that has been particularly pronounced after the third quarter.
• Intel has drastically cut its sales outlook for the third quarter, leading to concerns about rising inventories and slowing demand.

Sources:

• CNNfn
• CNNMoney.com
• Intel Corporation
• Yahoo! Inc.
• Google Inc.
• Nokia Corporation
• Apple Computer Inc.