TECH STOCKS: Intel Rises, Yahoo Falls After Earnings Results

By Rex Crum, MarketWatch

SAN FRANCISCO (MarketWatch)--Intel Corp. surged and Yahoo Inc. stumbled Wednesday as following the tech bellwethers' latest earnings results.

Intel (INTC) climbed more than 6% to reach a 52-week-high of $33.95 a share after the semiconductor giant reported better-than-expected second-quarter results and offered an upbeat third-quarter forecast. Late Tuesday, Intel said it earned 55 cents a share, on $13.8 billion, up from 39 cents a share, on $12.8 billion a year ago. Analysts surveyed by FactSet had forecast Intel to earn 52 cents a share on $13.7 billion in sales.

The world's largest chip maker said its results were helped by gains in PCs and data-center-related sales.

Other chip stocks followed Intel's lead, with Advanced Micro Devices Inc. (AMD), Micron Technology Inc. (MU) and Texas Instruments Inc. (TXN) on the rise.

SanDisk Corp. (SNDK), which reports quarterly results after Wednesday's market close, rose by 1% to $106.51 a share.

The gains from semiconductor stocks and others helped lift the Nasdaq Composite Index (RIXF) almost 19 points to 4,434, and the Philadelphia Semiconductor Index (SOX) also rose almost 1%.

But Yahoo (YHOO) failed to rally due to broad disappointment with the Internet company's latest results.

Late Tuesday, Yahoo reported a decline in earnings and total revenue from a year ago, as display ads, a key measure of the company's health, also fell. It was the fourth time in the past five quarters that Yahoo's revenue retreated. Chief Executive Marissa Mayer said she was "not satisfied" with the way the company's business has performed of late.

EBay Inc. (EBAY) was down by 22 cents a share at $50.58 ahead of its second-quarter results, due after the close of trading.

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