Yesterday, President Barack Obama announced a potential debt reduction plan that appears to have some bipartisan support. In response, the Dow Jones Industrial Average posted its largest session gain of the year. Upbeat earnings news from tech giant Apple (NASDAQ:AAPL) helped stoke the bullish flames. On the heels of this news, a number of tech stocks are hitting fresh 52-week highs this morning, including Socket Mobile (NASDAQ:SCKT), InterDigital (NASDAQ:IDCC) and VMware (NYSE:VMW).
However, resurfacing worries about the Greek debt situation and news that June home sales fell 0.8% to a seasonally adjusted rate of 4.8 million – the worst rate in several years – has put the markets under pressure this morning. As a result, several stocks are dipping to 52-week lows, including apparel retailer Citi Trends (NASDAQ:CTRN) and broadcast outlet Media General (NYSE:MEG).
A full report follows below.
Stocks hitting 52-week highs
Socket Mobile: The mobile computer hardware maker that specializes in designing products for the hospitality and health care markets has spiked 42% so far this morning. The stock surged following news that Socket will produce a barcode scanning tool to be used with Apple products. Investors might want to keep a close eye on the stock. Socket is slated to report second-quarter results at the market’s close July 26.
Interdigital: The tech company that holds a number of wireless communications patents is up 15% so far this morning. The stock is soaring on reports that tech titan Google (NASDAQ:GOOG) might be interested in buying the wireless firm for its patents.
VMware: The cloud computing and IT infrastructure company has racked up around 2% gains so far this morning after reporting blowout second-quarter results. Profit more than doubled thanks to heightened demands for the company’s services and software. In response, investment firm Credit Suisse upgraded VMware from “neutral” to “underperform.”
Stocks hitting 52-week lows
Citi Trends: The Georgia-based urban fashion and accessories retailer is 17% less trendy this morning after downwardly revising expectations for its second-quarter results, to be reported Aug. 17. Because of poor same-store sales in May and June, the company now expects an earnings loss of 60 to 70 cents per share.
Media General: The Southeastern U.S. newspaper and TV network has tuned in to -11% losses this morning after reporting disappointing second-quarter results. Revenue for the period fell 6.8% to $154.8 million. Earnings plummeted 68 cents, from a loss of 19 cents per share in the comparable yquarter a year ago. Interest, noncash tax and advertising expenses contributed to the decline.
Zhongpin Inc. (NASDAQ:HOGS): The Chinese distributor of pork and pork products has ground out an almost 10% loss so far this morning, extending its 40% decline since the beginning of June. The pork processor sharply dropped this morning after a report in the China Economic Review said the company falsified facts and overstated its hog processing numbers.
As of this writing, Deborah O’Malley did not own a position in any of the stocks named here.
