Diamonds and Dogs
The chips are rolling again. DRAM maker, Micron Tech (MU) is up 3.8% to a new high thanks to positive analyst comments from Goldman. Micron was up 6% yesterday breaking out of its trading range on positive comments from Bank of America. In a down market, the chip sector looks good with Nvida, Applied Materials, Seagate, Western Digital, KLAC-Tencor and Lam Research all trading higher.
Target (TGT) missing the mark again. Target is down 4% after missing earnings estimates as sales rose 10% to $22.77 billion, ahead of analyst estimates of $22.53 billion. Profit margins shrank after moving to boost its minimum hourly wage to $11, with a plan of reaching $15 per hour by 2020 and add more seasonal workers. Investors may also be concerned with the relatively conservative outlook for the rest of the year.