Reuters reports the reason for the optimism is Yahoo's decision to hold on to a larger stake in e-commerce company Alibaba. The company holds a 24% stake in Alibaba, and plans to hold on to more shares than analysts forecast.
The news follows Yahoo's third-quarter earnings report Tuesday, which showed another dip in quarterly revenue, but earnings that topped Wall Street estimates. The company raked in $1.08 billion in revenue, down 1% from the same time last year.
Meanwhile, two more big names report third-quarter earnings at the close of the markets on Wednesday. International Business Machines (IBM) is forecast to report an earnings per share of $3.96 off revenue of $24.8 billion. During its second quarter, IBM's revenue dipped 3%, but earnings per share soared 8% compared to the same time last year. Shares of IBM are up 9 cents.
Also reporting this afternoon is eBay. Wall Street is anticipating $3.9 billion in revenue for the quarter and an earnings per share of 63 cents. Shares of eBay are currently up 0.3%.
Last week, eBay announced it was dipping into Amazon Prime territory by offering free two-day shipping to shoppers of select retailers, including Levis, Aeropostale and Sports Authority. The test program follows Amazon unveiling a new "Login and Pay with Amazon" feature, which serves as a direct competitor to the eBay-owned payment service PayPal.
Finally, new details have emerged on the timing of Twitter's initial public offering. The company revealed it will trade on the New York Stock Exchange, launching its roadshow to entice investors on October 28.
According to CNBC, Twitter shares are slated to make their NYSE debut on November 15.
Follow Brett Molina on Twitter: @bam923.
No comments:
Post a Comment