A Look at Technology Stocks and Their Weekly Performance

After the turmoil caused by Brexit, stocks mostly rebounded in the past weeks. The NASDAQ and NYSE both experienced growths for the entirety of the week and some of this was driven by technology stocks, such as Apple (AAPL), Amazon (AMZN) and Netflix (NFLX). Of course, not all technology stocks experienced green trading days throughout the week. Unfortunately for investors of Micron Technology (MU), the company’s stock plummeted last week.

The problem for Micron Technology is that the NAND and DRAM markets have continued to decrease in size and scope.

This has forced the memory chip company to forecast unimpressive guidance. The company’s 3rd quarter report was thoroughly disappointing and showed that the company had experienced a year-over-year revenue loss of 25%! The good news is that the company may receive a helping hand from increasing DRAM prices. Investors should hold off on Micron’s stock, until at least the fiscal year of 2017. As for the Internet and television provider, Frontier Communications, the week was tumultuous, but not a total disaster.

First and foremost, the company has experienced constant turmoil regarding their acquisition of Version assets in many states. Despite completing the acquisition several months ago, the company is still having a hard time in these new areas. Consumers have continued to complain about outages and billing problems. A spokesperson with the California Public Utilities Commission has revealed that the organization has seen upwards of 1,500 complaints about the Internet provider. And, the issues have also been widespread in Florida and Texas. Nonetheless, Frontier has been here before and they precisely how to handle such problems.

During the company’s take over in Connecticut, a similar dilemma occurred. However, the company rectified the problem and finally turned things around. If the company is able to repeat their Connecticut performance and getting things fixed quickly, they may very well be able to beat some of their competitors, by offering a more affordable alternative to consumers in these areas and others. The company also experienced a 911 system outage, which it has been unable to explain. And, Frontier has teamed up with AT&T to try and prevent Google Fiber from gaining access to certain utility poles in various areas.

Nonetheless, Frontier has remained resilient. The company’s stock has managed to gain about 10% in 2016. The stock opened 2016 at $4.60. During Friday’s trading, the stock climbed .40% to end the day at $4.96, which is a noticeable increase. The company should really consider investing in virtual data rooms to improve the management of their projects. Tesla Motors came under scrutiny in May, when Joshua Brown was killed in a motor vehicle crash. Brown was in the autopilot mode, when the incident occurred. The cause of the accident has not yet been determined, but U.S. regulators released Thursday that they have plans to investigate the Tesla autopilot system.

Florida Highway Patrol spokeswoman told the press that a DVD player was discovered in the vehicle and may have been a contributor to the incident. Regardless, the company’s stock has held steady.

By Lovisa Alvin

Copyrighted 2020. Content published with author's permission.

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