By Benjamin Pimentel, MarketWatch
SAN FRANCISCO (MarketWatch) -- Tech stocks remained mostly in
the red Monday following a broad market reaction to the
controversial bank bailout plan in Cyprus.
But a few notable gainers also emerged by the afternoon, with
Hewlett-Packard (HPQ), Apple (AAPL) and Advanced Micro Devices
(AMD) each posting solid gains.
The Nasdaq Composite Index (RIXF) gave up 11 points, or 0.4%, to
close at 3,238. The Philadelphia Semiconductor Index (SOX) lost
1.3% and the Morgan Stanley High Tech 35 Index (MSH) shed 1%.
The Dow Jones Industrial Average (DJI) fell 62 points to close
at 14,452, as investors were stunned by news that euro-zone leaders
are pushing for a levy on Cypriot bank deposits to cover the cost
of a rescue.
Among large-cap techs, Dell (DELL) declined 1%, closing at
$14.17. Other decliners were software giant SAP (SAP) and
Amazon.com (AMZN) .
Hewlett-Packard bucked the trend, rising 3% to close at $22.83
to emerge as the best Dow performer. H-P got a lift from a Morgan
Stanley note upgrading the stock to overweight, or buy, citing the
Silicon Valley giant's free cash flow potential.
Apple rose on renewed speculation that it might raise its
quarterly dividend. The company will hit the one-year anniversary
mark of initiating the dividend on Tuesday. Apple added 2.7% to
close at $455.72.
Advanced Micro Devices (AMD) jumped after Macquarie Capital
raised the stock's rating to outperform, citing the company's
potential in the company's videogame business. AMD gained 2% to
close at $2.65.
Also defying the broader trend were shares of mobile-gaming
company Glu Mobile (GLUU), up 8% to close at $3.61. Northland
Capital Markets analyst Darren Aftahi upgraded the stock to
outperform from market perform, pointing to signs of
better-than-expected sales from smartphone games.
Social-media stocks were struggling. Facebook (FB) shed a
fraction, closing at $26.49, while LinkedIn (LNKD) lost 1.8% to
close at $174.28. Zynga (ZNGA) slid 3% to close at $3.51.
Chip stocks were in retreat mode. SanDisk (SNDK) , Nvidia (NVDA)
and Texas Instruments (TXN) each fell by roughly 1%, while Intel
(INTC) was off by a fraction.
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