PowerShares QQQ (NasdaqGM: QQQ) opened slightly lower Friday after showing relative strength the previous session in the face of a down market. Oracle (NasdaqGS: ORCL) weighed on the Nasdaq-100 exchange traded fund after reporting quarterly results, while Micron Technology (NasdaqGS: MU) dragged on semiconductor ETFs following its earnings.
Oracle shares fell about 3% as Wall Street was disappointed with revenue in the tech giant’s hardware business. [Oracle Set to Pressure Nasdaq ETF]
“While the hardware miss is weighing on the shares in the aftermarket, we believe the primary drivers of the shortfall were related to the phasing out of lower margin and third-party products versus any weakness in the core hardware offerings,” Evercore Partners said in a note on Oracle’s fiscal fourth-quarter results.
“We believe the negative reaction to the hardware miss is a bit overblown, particularly in light of the fact that Oracle is guiding to 10-20% organic license growth for the first quarter, which highlights the strong demand trends related to its software offerings,” the analysts wrote.
Elsewhere in the tech sector, Micron shares sold off by 8%. The company said its quarterly net income dropped to $75 million from $939 million in the year-ago period. Revenue fell slightly to $2.1 billion.