By Benjamin Pimentel, MarketWatch
SAN FRANCISCO (MarketWatch) -- Technology stocks recovered from
early losses to eke out modest gains Thursday, aided by a rally in
shares of Micron Technology Inc.
Micron (MU) added 4% after Sterne Agee raised its rating on the
memory-chip maker's stock.
"We are upgrading Micron to a buy, $12 price target, from
neutral, as we think DRAM pricing will start to moderate and
stabilize over the next couple of months," Sterne Agee analyst
Vijay Rakesh said in a note.
Micron also got an upgrade to outperform from neutral by
Baird.
The Nasdaq Composite Index (RIXF) inched up 0.1% to 2,740. The
Morgan Stanley High Tech 35 Index (MSH) and the Philadelphia
Semiconductor Index (SOX) each rose fractionally.
Meanwhile, shares of EMC Corp. (EMC) gained 2%. Lazard Capital
boosted the stock's rating to buy from hold.
Shares of some key players in the PC sector slipped after
Gartner and IDC reported fourth-quarter PC data showing slower
growth, partly due to stiffer competition from other devices,
particularly Apple Inc.'s (AAPL) iPad.
"The preliminary read confirms our fears of weak consumer demand
and the early effects of the tablet invasion," J.P. Morgan analyst
Mark Moskowitz said in a note. "In our view, these preliminary
results, specifically indications of weaker-than-expected growth in
Asia-Pacific, present modest downside risk to our PC market
estimates."
Intel Corp.'s (INTC) shares slipped about 0.2% ahead of the chip
giant's fourth-quarter earnings report, due after the closing
bell.
Microsoft Corp. (MSFT) was down 1.2%, while Dell Inc. (DELL)
declined 1.4%. Hewlett-Packard Co. (HPQ) and Apple Inc. were each
up slightly.
Shares of TTM Technologies (TTMI) advanced 14% after the printed
circuit-board manufacturer raised its fourth-quarter forecast.
Exfo Inc. (EXFO) shares jumped more than 20% after the Canadian
telecommunications-testing-equipment maker posted
better-than-expected financial results.
But shares of Infosys Technologies (INFY) fell more than 5%
after the Indian information-technology-services company reported
weaker-than-expected results.