BLOCKBUSTER NEWS it's not, but in this super-gloomy market, we'll take it.
Dell Computer (DELL) predicted last night that it will meet the quarterly profit expectations it reduced just six weeks ago. That, and similar promises by handful of smaller tech players, were sending futures and stock prices rallying in the U.S. and Europe.
Dell stock was ahead by 7% in the premarket, the Nasdaq 100 premarket indicator soared 71 points. The S&P 500 futures were up by about 25, Dow futures spiked a remarkable 180 and in Europe, major indexes were rallying between 1% and 2%.
Dell, which has cut forecasts five times in the past year, said that it still expects to earn 17 cents a share in the quarter ending about a month from now. Its low operating costs are giving it a competitive edge. It's expanding internationally and into the markets for business servers and data storage, the company said. It cautioned that the weak demand picture could still throw things off in the quarter and it wouldn't offer predictions for the rest of the year.
Still, in a market hungry for any crumb of good news, this was pretty tasty. And, there's more.
Peregrine Systems (PRGN), creator of software that makes computer networks more efficient, said it would meet expectations for a 16 cent a share profit. The stock roared ahead 27%. BEA Systems (BEAS), which makes software that helps old computers work on the Internet, said it still expects to earn 40 cents to 41 cents a share in the year ending January 2002, an estimate it increased back on Feb. 22. The shares gained 16%. Even Akamai Technologies (AKAM), maker of equipment to speed content delivery on the Web, gained 1%. It predicted its loss would be smaller than expected, although revenue would disappoint. Akamai plans to cut 14% of its workforce to get back to breakeven soon.
Blue chips got the benefit of a Street-beating profit report from Alcoa (AA). Profits fell 2% to 46 cents a share but analysts expected 44 cents.
Networking stocks got help from Cisco Systems (CSCO), which said it would stop producing a fiber-optic switch that it bought just 18 months ago. The switch, which helps re-route light beams, is having technical problems. The decision leaves Cisco to focus on other more profitable businesses, and allows a clearer field for competitors in this business. Cisco gained 7% in the premarket
Dell Computer (DELL) predicted last night that it will meet the quarterly profit expectations it reduced just six weeks ago. That, and similar promises by handful of smaller tech players, were sending futures and stock prices rallying in the U.S. and Europe.
Dell stock was ahead by 7% in the premarket, the Nasdaq 100 premarket indicator soared 71 points. The S&P 500 futures were up by about 25, Dow futures spiked a remarkable 180 and in Europe, major indexes were rallying between 1% and 2%.
Dell, which has cut forecasts five times in the past year, said that it still expects to earn 17 cents a share in the quarter ending about a month from now. Its low operating costs are giving it a competitive edge. It's expanding internationally and into the markets for business servers and data storage, the company said. It cautioned that the weak demand picture could still throw things off in the quarter and it wouldn't offer predictions for the rest of the year.
Still, in a market hungry for any crumb of good news, this was pretty tasty. And, there's more.
Peregrine Systems (PRGN), creator of software that makes computer networks more efficient, said it would meet expectations for a 16 cent a share profit. The stock roared ahead 27%. BEA Systems (BEAS), which makes software that helps old computers work on the Internet, said it still expects to earn 40 cents to 41 cents a share in the year ending January 2002, an estimate it increased back on Feb. 22. The shares gained 16%. Even Akamai Technologies (AKAM), maker of equipment to speed content delivery on the Web, gained 1%. It predicted its loss would be smaller than expected, although revenue would disappoint. Akamai plans to cut 14% of its workforce to get back to breakeven soon.
Blue chips got the benefit of a Street-beating profit report from Alcoa (AA). Profits fell 2% to 46 cents a share but analysts expected 44 cents.
Networking stocks got help from Cisco Systems (CSCO), which said it would stop producing a fiber-optic switch that it bought just 18 months ago. The switch, which helps re-route light beams, is having technical problems. The decision leaves Cisco to focus on other more profitable businesses, and allows a clearer field for competitors in this business. Cisco gained 7% in the premarket
