SunPower Rises as Apple and Microsoft Prepare to Report Earnings

Shares of SunPower, Apple, and Microsoft are active on Wednesday.

Apr 23, 2014 at 11:30AM

The Dow Jones Industrial Average (DJINDICES:^DJI) had slumped by 31 points as of 11:30 a.m. EDT Wednesday, threatening to break a multisession winning streak. Dow component Microsoft (NASDAQ:MSFT) contributed to the sell-off. Apple (NASDAQ:AAPL) was also in the red ahead of its earnings report, while SunPower (NASDAQ:SPWR) was a notable outperformer.

New home sales disappoint
Perhaps helping to fuel the Dow Jones' sell-off, the Census Bureau said new home sales last month fell 14.5% to an annualized pace of 384,000, far short of the 450,000 estimate from economists surveyed by Bloomberg.

Weaker than expected new home sales suggest a weakening U.S. housing market, as fewer workers may have the money, or the incentive, to purchase new homes. However, this miss stands in stark contrast to Tuesday's data on existing home sales, which exceeded expectations, indicating the strength of the housing market is mixed.

Microsoft stumbles ahead of report
Shares of Microsoft were down about 1% early in the session, making it the worst-performing Dow tech stock. There wasn't any news in particular affecting Microsoft's business, but shares continue to drift lower ahead of its expected earnings report Thursday.

Microsoft investors will be looking to see how -- if at all -- the steadily weakening personal computer market has affected the company's business. The end of technical support for Windows XP may have netted Microsoft some additional Windows license sales, but IDC and other research firms have warned that the traditional PC market will continue to dwindle in the months and years ahead.

Apple earnings release hours away
Apple will report earnings this afternoon, and company shares fell 0.6% early in Wednesday's session as investors sold off the stock. For the quarter, analysts are looking for Apple to report earnings per share of about $10.33 on revenue of $43.6 billion. Apple is expected to have sold 38.2 million iPhones, 19.4 million iPads, and 4 million Macs. 

Those numbers are a bit higher than the same period last year. Apple's growth has slowed to a crawl in recent quarters -- shareholders should look to management for any guidance on new products. Apple has promised to release revolutionary new products in 2014, but none have yet materialized. 


Source: Wikimedia Commons.

SunPower does deal with Google
SunPower shares rose 8.6% after the maker of solar panels announced a deal with search giant Google that would help more families gain access to solar power.

SunPower is contributing $150 million to the program, while Google will provide $100 million. The financing will be used to help residential users lease solar panels -- customers pay nothing up front, instead paying for the panels in monthly installments. The program should help SunPower sell more of its products.

Apple's next revolutionary product
If you thought the iPod, the iPhone, and the iPad were amazing, just wait until you see this. One hundred of Apple's top engineers are busy building one in a secret lab. And an ABI Research report predicts 485 million of them could be sold over the next decade. But you can invest in it right now... for just a fraction of the price of AAPL stock. Click here to get the full story in this eye-opening new report.

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4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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