Diamonds and Dogs
2/13/13
Rackspace Hosting Inc. (RAX)Rackspace is free falling today, down 19.72% at $60.19. The cloud computing company saw its shares drop after a miss on its fourth quarter earnings. Rackspace announced revenue of $352.9 million or $0.21 per share for its fourth quarter. The reported numbers missed analyst estimates of revenue of $355.4 million and an EPS of $0.22. This miss led analyst Todd Weller, of Stifel Nicolaus, to downgrade the company citing the company's outlook as his primary concern. Rackspace is still trading above its 52-week low of $40.57.
Trulia Inc. (TRLA)
Trulia is building its shares today, up 21.77% at $28.97. The online real estate company saw its shares skyrocket after the company released earnings. For the fourth quarter Trulia announced revenue of $20.6 million and an EBITDA of $600,000. Both beat analyst estimates for revenue of $19.1 million and an EBITDA of $500,000. The company increased its first quarter outlook after CEO Pete Flint said that 2012 was a milestone year for the company. Flint also said, "We finished the year on a resounding note, achieving record quarterly revenue, a rapid increase in mobile traffic, and strong subscriber growth. We are well positioned to grow in 2013 as the real estate market continues its recovery." Trulia set a new 52-week high today.
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