Sector Update: Tech Stocks Finishing Near Intra-Day Lows

Technology stocks extended their declines late in Wednesday trade, with the SPDR Technology Select Sector ETF (XLK) falling 0.5% while the Philadelphia Semiconductor Index was sliding 0.8% this afternoon.

In company news, Ambarella (AMBA) declined almost 20% after the systems-on-a-chip company late Tuesday reported a big drop in non-GAAP Q2 earnings compared with year-ago levels, with adjusted net income falling to $0.20 per share during the three months ended July from $0.35 per share during the year-ago period. Analysts polled by Capital IQ, on average, had been looking for the company earning $0.19 per share, excluding one-time items.

HP (HPQ) slid 7% after the computer manufacturer reported a 4.1% year-over-year drop in net revenue for its fiscal Q3, falling to $14.66 billion and missing the analyst consensus expecting $15.63 billion. It also cut its outlook for full-year adjusted per-share earnings, to a new range of $4.02 to $4.12 from $4.24 to $4.38 previously anticipated.

Among advancers, Safe-T Group (SFET) added 2% after the Israeli cybersecurity firm reported a non-IFRS net loss of $0.08 per ordinary share for its Q2 ended June 30, unchanged from year-ago levels. Revenue increased 168% year-over-year to $4.8 million.

Snap (SNAP) rose 9.4% after the social media company Wednesday disclosed plans to reduce its global headcount by around 20%, resulting in $110 million to $175 million in pre-tax costs. The company said its Q3 revenue likely rose about 8% over year-ago levels.

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