Akamai Technologies, Microchip Technology, TESARO Stocks Moving Today

Tech stock Akamai Technologies, Inc. (NASDAQ:AKAM), semiconductor stock Microchip Technology Inc. (NASDAQ:MCHP), and cancer treatment specialist TESARO Inc (NASDAQ:TSRO) are among the biggest movers today

Feb 8, 2017 at 2:32 PM
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Weakness in bank shares is holding back the Dow this afternoon. Among specific equities in focus are content delivery specialist -- and "viable acquisition target" -- Akamai Technologies, Inc. (NASDAQ:AKAM), semiconductor stock Microchip Technology Inc. (NASDAQ:MCHP), and cancer treatment specialist TESARO Inc (NASDAQ:TSRO). Here's a quick look at what's moving shares of AKAM, MCHP, and TSRO.

Akamai Technologies Crushed Despite Earnings Beat

Shares of AKAM have sunk 10.1% today to trade at $63.96 -- and landed on the short-sale restricted list -- despite the company's fourth-quarter earnings beat. Analyst attention has been mixed, with RBC and Morgan Stanley trimming their price targets by $2 to $65 and $68, respectively, with the former brokerage firm expecting slowing revenue growth and shrinking margins. However, Goldman Sachs raised its price target to $57 from $50, and Deutsche Bank boosted its target to $80, representing 16-year-high territory. The split opinions are reflective of a broader trend toward the stock, despite its 62% 12-month gain. At the moment, Akamai Technologies, Inc. has 11 "strong buy" ratings, nine "holds," and one "strong sell." 

Microchip Technology Stock Shoots to Record High

MCHP, on the other hand, is extending its long-term uptrend today, adding 7.1% to trade at $74.56, and earlier touching a record high of $76.50, after the company presented impressive fiscal third-quarter results and raised its full-year outlook. Analysts aren't hiding their admiration, either. For example, Needham upgraded the shares to "strong buy" from "buy," and set an ambitious $100 price target, while Morgan Stanley said "we found ourselves asking if (the report) is too good." Microchip Technology Inc. has now added 96% since its lows from last February, yet the stock remains heavily shorted, even after a 12.6% decline in short interest during the past two reporting periods. At present, these bearish traders control roughly seven days' worth of buying power, at MCHP's average daily volumes. 

TESARO Explodes to New Highs After Buyout Report

According to Reuters, TSRO has received acquisition interest from a number of drug companies, and is now in talks with investment banks about how to respond. The takeover news has the shares up 13.2% at $184.45, after hitting an all-time peak of $190 earlier. For reference, TSRO was trading around $30 this time last year. After climbing for years, short interest on TESARO Inc peaked back in November, and has been falling since. Still, short sellers maintain control of 22% of the stock's float, which would take nearly two weeks to cover, at the stock's typical trading levels. 

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