Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why the Nasdaq's Falling Behind Today

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Earnings-related news hit the Nasdaq hard today as the latest results from Google (Nasdaq: GOOG  ) raised questions about the huge advances in tech stocks so far this year. Around 11 a.m. EST, the Nasdaq Composite (INDEX: ^IXIC  ) was down eight points to 2,780, lagging behind the Dow's 47-point gain.

Google was off about $50 per share, or 8%, in morning trading. The company announced yesterday afternoon that it earned $8.22 per share, falling well short of consensus expectations of $9.06 per share. Although gross revenue jumped 25% to a record $10.58 billion, it also fell short of estimates. But concerns about higher costs from branching out beyond its core search-engine business weighed on the stock. Ad prices also fell. In response to the news, analyst Pacific Crest lowered its price target on the stock from $800 to $725 this morning.

Among other tech giants, Intel (Nasdaq: INTC  ) was up about 2% after reporting happier results. Earnings of $0.61 per share beat estimates comfortably, with $13.9 billion in revenue marking a 22% jump over last year's results. Contrary to some expectations, PC chip growth was strong at 17%.

Microsoft (Nasdaq: MSFT  ) also reported last night, with revenue rising 5% and per-share earnings inching up to $0.78, just beating analyst targets. With narrower losses at its online division and the company's partnership with Nokia finally beginning to bear fruit, stock watchers should start looking forward to the impact that Windows 8 could have on the software giant. Shares rose more than 3.5%.

Lastly, Intuitive Surgical (Nasdaq: ISRG  ) fell sharply, down more than 7% in morning trading. The robotic surgery system maker reported strong earnings results, but apparently, growth of 27% in procedures and 30% in instrument and accessory sales wasn't enough to allay investor concerns about the sustainability of the company's future growth. With the stock trading at fairly high valuations, Intuitive Surgical doesn't have much margin for error.

The Motley Fool's top stock pick for 2012 is listed on the Nasdaq. Learn everything you need to know about this promising stock in the Fool's latest special report. Click here and get it for free, but don't wait -- it won't be available for long, so get your copy now.

Fool contributor Dan Caplinger doesn't own shares of the companies mentioned. You can follow him on Twitter here. The Motley Fool owns shares of Intel, Microsoft, and Google. Motley Fool newsletter services have recommended buying shares of Google, Microsoft, Intuitive Surgical, and Intel, as well as creating a bull call spread position in Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool has a disclosure policy.

Read/Post Comments (0) | Recommend This Article (5)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1762010, ~/Articles/ArticleHandler.aspx, 10/24/2016 8:55:20 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 2 days ago Sponsored by:
DOW 18,145.71 -16.64 0.00%
S&P 500 2,141.16 -0.18 0.00%
NASD 5,257.40 0.00 0.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/21/2016 5:15 PM
^IXIC $5257.40 Down +0.00 +0.00%
NASDAQ Composite… CAPS Rating: No stars
GOOGL $824.06 Down +0.00 +0.00%
Alphabet (A shares… CAPS Rating: *****
INTC $35.15 Down +0.00 +0.00%
Intel CAPS Rating: ****
ISRG $678.02 Down +0.00 +0.00%
Intuitive Surgical CAPS Rating: ****
MSFT $59.66 Down +0.00 +0.00%
Microsoft CAPS Rating: ****