Afternoon BUZZERS: Dell PLUNGES Nearly 7%, Toll Brothers and Williams Sonoma POP

  Google+  Twitter | + More Articles
  • Like on Facebook
  • Share on Google+
  • Share on LinkedIn

Shares of Dell (NASDAQ:DELL) dropped 6.77 percent this afternoon. Late Tuesday, the computer company reported disappointing earnings for the second quarter. Net income fell 17.8 percent to $732 million (42 cents per share), compared to $890 million (48 cents per share) a year earlier. Revenue also declined 7.5 percent to $14.48. “We’re transforming our business, not for a quarter or a fiscal year, but to deliver differentiated customer value for the long term,” said Michael Dell, chairman and CEO. “We’re clear on our strategy and we’re building a leading portfolio of solutions to help our customers achieve their goals.” Hewlett-Packard (NYSE:HPQ) shares also fell on the news.

Toll Brothers (NYSE:TOL) shares jumped 3.40 percent this afternoon after reporting better-than-expected results for its third quarter. Net income surged 46.3 percent to $61.6 million (36 cents per share), compared to $42.1 million (25 cents per share) a year earlier. Douglas C. Yearley, chief executive officer, stated: “We are enjoying the most sustained demand we’ve experienced in over five years. In the past three quarters, the values of our signed contracts were up 45 percent, 51 percent and now 66 percent compared to FY 2011. Three weeks into our fourth quarter, our non-binding reservation deposits (a precursor to future contracts) are up 59 percent compared to the same period in FY 2011.

Don’t Miss: Has Apple Entered BUBBLE Territory?

Williams Sonoma (NYSE:WSM) shares popped 11.29 percent in early afternoon trading. For the company’s second quarter, net income rose 10.4 percent to $43.4 million (43 cents per share), compared to $39.3 million (37 cents per share) a year earlier. Laura Alber, president and chief executive officer commented, “During the quarter, we delivered strong performance in revenues, operating margin and earnings per share. Diluted EPS grew 16 percent on revenue growth of 7 percent, with comparable brand revenue growth accelerating from 5.4 percent in Q1 to 7.4 percent in Q2. Importantly, we drove this growth in revenues and earnings while simultaneously investing in our long-term growth initiatives.”

Shares of American Eagle Outfitters (NYSE:AEO) increased 6.19 percent this afternoon. The clothing retailer announced it meet or beat Wall Street’s estimates for the third quarter. The company believes it earned 37 cents to 38 cents per share from continuing operations, compared to the estimate of 37 cents per share.

Investor Insight: Is Manchester United the Next Facebook?

More Articles About:

To contact the reporter on this story: staff.writers@wallstcheatsheet.com To contact the editor responsible for this story: editors@wallstcheatsheet.com

Yahoo Finance, Harvard Business Review, Market Watch, The Wall St. Journal, Financial Times, CNN Money, Fox Business