Early Movers: Knight Capital Still CRASHING, LinkedIn Jumps 10%

After closing nearly 63 percent lower on Thursday, shares of Knight Capital Group (NYSE:KCG) continue to plummet in off-hours trading. The firm has been hit hard over the past two trading sessions, as a computer trading program and failure in oversight caused the company to lose around $440 million. Knight is desperately seeking “strategic and financing alternatives” as major clients such as Ameritrade (NASDAQ:AMTD) and Etrade (NASDAQ:ETFC) flee the company.

LinkedIn (NYSE:LNKD) shares are up more than 10 percent in pre-market trading. The professional networking company reported that revenue surged 88.5 percent to $228.2 million in the second quarter, compared to the same period last year. “LinkedIn had a strong second quarter with all of our key operating and financial metrics showing solid performance,” explained Jeff Weiner, CEO of LinkedIn. “Our ongoing investment in product innovation drove healthy engagement as measured by unique visiting members and member page views, and our three revenue streams all experienced significant growth.” Social competitor Facebook (NASDAQ:FB) shares are also edging higher.

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Activision Blizzard (NASDAQ:ATVI) shares fell 1.7 percent late Thursday. For the second quarter, net income dropped 44.8 percent to $185 million (16 cents per share), compared to $335 million (29 cents per share) a year earlier. Revenue also declined 6.2 percent to $1.07 billion.

Shares of American International Group (NYSE:AIG) are up more than 2 percent in early trading. The insurer reported that net income for the second quarter rose 27 percent to $2.33 billion ($1.33 per share), compared to $1.84 billion a year earlier. The results beat the mean analyst estimate of 59 cents per share. “AIG’s insurance operations and aircraft leasing business posted solid profits this quarter,” said Robert H. Benmosche, AIG President and Chief Executive Officer. “The performance of our businesses and our stock price enabled the U.S. government to continue to profitably reduce its outstanding assistance to AIG, which includes the U.S. Department of the Treasury’s $5.7 billion AIG equity offering in May 2012. The Federal Reserve Bank of New York’s Maiden Lane III loan was also paid in full during the quarter.”

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