Day Traders Diary
5/16/14Rackspace Holdings Inc. (RAX)
Rackspace Holdings is skyrocketing today, up 17.73% to $36.12. The cloud computing company saw its shares jump after news that it hired Morgan Stanley to help explore "inbound strategic proposals." The proposals could include a partnership with or acquisition by a larger player in the cloud computing space. This news came right after the company had better than expected earnings. Shares of Rackspace climbed over $5.40 today but are still well off their 52-week high of $54.20.
World Wrestling Entertainment Inc. (WWE)
World Wrestling Entertainment is getting choked out today, down 43.45% to $11.27. The media and entertainment company saw its shares fall after announcing a deal with NBC Universal and giving 2014 guidance. WWE announced it reached another deal with NBC to keep its current channels and times for its shows. What really hurt the company was its forward guidance. WWE said in order to continue its transition into streaming service it would need 1.3-1.4 million subscribers. It has set a goal for 1 million subscribers by the end of this year; however this deal will still create a net loss of $45-52 million. Shares of WWE fell more than $8.50 today, but managed to stay above its 52-week low of $8.96.
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