Technology stocks were posting strong gains on Wednesday and helping keep the broader US markets on higher ground in afternoon trading. At last look, shares of tech companies in the S&P 500 were adding more than 0.6% in value while the Philadelphia semiconductor index was increasing nearly 0.8%.
Among technology stocks moving on news:
+ Intelsat ( I ) rocketed to a four-year high on Wednesday, blasting almost 24% higher to its best share price since February 2014 at $19.90 apiece, after analysts at RBC Capital Markets raised their investment recommendation for the satellite networking company to Outperform Speculative Risk and also announced a five-fold increase in their price target for Intelsat shares to $30 from just $5 previously. In a new research note to clients, the RBC analysts said while the company’s core business “remains weak,” Intelsat’s future prospects have been strengthened by its recent sale of stock and convertible notes generating $550 million in gross proceeds. RBC also said the Federal Communications Commission is expected to soon issue a draft notice that could eventually monetize Intelsat’s C-band spectrum, adding $19 per share or more to the company’s value.
In other sector news:
+ Renesola ( SOL ) was almost 2% higher in recent trading, earlier climbing over 6% on Wednesday, after solar energy developer reversed a year-ago Q1 net loss as revenue jumped over 187 times higher compared with the same quarter in 2017. The company earned $0.01 during the three months ended March 31, improving on a $0.02 per share net loss during the first three months in 2017 and matching the single-analyst estimate expecting a $0.01 per share profit. Revenue increased to $44.8 million from just $238,000 in sales in the year-ago period and crushing the single-analyst call looking for $29.8 million in revenue. For the current quarter ending June 30, Renesola is expecting between $20 million to $30 million in revenue and growing to a range of $130 million to $140 million for the 12 months ending Dec. 31. The Street is expecting $23 million and $131 million, respectively, for Q2 and FY18.
– Oracle ( ORCL ) tumbled Wednesday after the enterprise software company forecast Q1 earnings growth trailing Wall Street estimates, upstaging better-than-expected Q4 results. Excluding one-time items, the company is projecting non-GAAP revenue in a range of $0.68 to $0.70 per share for the three months ending in August, representing a 11% to 15% increase over the same period last year and missing the Capital IQ consensus by at least $0.01 per share. It also sees Q1 revenue rising 1% to 3% year-over-year. The Street is modelling 3.5% growth for Q1 revenue.