Storage company NetApp (NTAP) is down 13% Thursday, making it the worst performer in the S&P 500. The company announced earnings after the bell Wednesday and its guidance spooked investors. Rival EMC (EMC) has plunged more than 5% on the news as well.
I don't understand the logic behind EMC's fall though. Many tech investors think EMC is gaining market share from NetApp. So the weaker guidance may not be a sign of corporate IT departments cutting back on storage, it's a sign that they may be shifting more to EMC.
A woman calling herself MinervasMomma over on StockTwits seems to think the move makes sense. She tweeted that "$NTAP implied that $EMC was weaker than they." But hedge fund manager Nicholas Pollari appears to agree with me. I also think it's interesting that EMC just acquired Syncplicity, a company that competes with Dropbox in the cloud-based storage market.
A whole lot of tech news after hours. A quick recap for you. Pandora reported a smaller-than-expected loss. The online music company also said that revenues topped forecasts. Shares of Pandora (P) surged more than 13% after hours. This is very interesting. The company has been a bit of a disappointment since it went public last year. To be honest, I know more people (me included) who complain about the MOREPaul R. La Monica - May 23, 2012 5:02 PM ET
|KFC apologizes for chicken shortage with a hilarious hidden message|
|The Kylie Jenner curse? Snapchat faces its defining moment|
|Snapchat stock loses $1.3 billion after Kylie Jenner tweet|
|Plastic straw makers brace for bans|
|Citigroup will refund $330 million to credit card customers it overcharged|