Cost Savings of $500 Million Targeted
Applied Materials struck a deal to acquire Tokyo Electron for $29 billion, creating a behemoth in the semiconductor-equipment space. The new company will have $29 billion in revenue and cut $500 million of annual expenses. It will also buy back $3 billion of stock after the deal closes next year. AMAT climbs 7 percent before the opening bell on my tradeMONSTER platform.
Red Hat Falls on Weak Billings
Red Hat's earnings and revenue beat expectations, but billings increased just 8 percent. Analysts had modeled growth of 14 percent. Top-line guidance for the full year was also light. RHT drops 10 percent in the premarket.
Oasis to Keep Running, Goldman Predicts
Oasis Petroleum is already up 41 percent this year, but Goldman Sachs sees the gains continuing! The investment bank added the shale-energy stock to its "conviction buy" list with a $65 price target. OAS, which closed at $44.94 yesterday, rose more than 2 percent in early trading.