Zynga EYED Cautiously and 4 Morning Hot Stocks to Note
Barclays (NYSE:BCS) reports pre-tax profits of 4.2 billion pounds for H1, up from 3.7 billion pounds last year, with its Core Tier 1 ratio standing at 10.9 percent. Exposure to sovereign debt of PIIGS countries and Cyprus is now down 22 percent to 5.6 billion pounds.
Samsung (SSNLF) misses on earnings and revenues for its Q2, but nevertheless posts a record net that leaped 48 percent to 5.19 trillion won ($4.5 billion) compared to expectations of 5.54 trillion won, while sales clocked in at 47.6 trillion won against expectations of 49.8 trillion won. Optimistic that growing demand from emerging markets would help fuel higher demand for its handsets and panels, it declares an interim dividend of 500 won per share.
Pac Crest speculates that Zynga’s (NASDAQ:ZNGA) disastrous Q2 may be a pointer to pre-IPO financial jugglery that may have boosted game revenues to levels not sustainable in subsequent months. The declining monetization may be righted at a cost, but the firm’s R&D spend is already over half its revenue.
Fujitsu apparently wants to separate its manufacturing and design operations and is said to be in talks to dispose of its main semi-conductor plant to Taiwan Semi (NYSE:TSM).
If push comes to shove Universal Music (VIVHY) may consider jettisoning EMI’s iconic Parlophone label, of Beatles, Queen and Coldplay fame, as the price for securing EU approval for its $1.9B acquisition of EMI’s (NYSE:C) recorded music arm. But given the choice, it may like to retain Beatles and Queen with itself.