By Rex Crum, MarketWatch
SAN FRANCISCO (MarketWatch) -- Tech stocks closed with broad
gains Tuesday, with Netflix Inc. among the advancers after Morgan
Stanley gave a positive view of the online video-streaming company
based on the potential for new gains in subscribers.
Netflix (NFLX) shares rose more than 3% to close at $443.65
after Morgan Stanley analyst Benjamin Swinburne started his
coverage of the company with an overweight rating and $500-a-share
price target. Swinburne said that Netflix's "proven success in
[its] initial markets provides a roadmap to success in new markets"
and that the company should be able to reach 110 million
subscribers worldwide by 2020 due to increased rollout of broadband
technology.
Micros Systems Inc. (MCRS) shares climbed nearly 15% to close at
$66.33 following a report from Bloomberg that said Oracle Corp.
(ORCL) is near a more-than-$5 billion deal to acquire the provider
of software for hotels, restaurants and retailers.
Online travel agency Orbitz Worldwide Inc. (OWW) ended the day
up by almost 5% at $8.50 a share. UBS analyst Eric Sheridan
initiated coverage of Orbitz with a buy rating and $10-a-share
price target due to the potential for gains from its hotel
business.
Amazon.com Inc. (AMZN) dipped into the red, and gave up $2 a
share to close at $325.62.7 a day ahead of a company event that is
expected to involve the introduction of a smartphone from the
online retailer.
Gains also came from Microsoft Corp. (MSFT), eBay Inc. (EBAY)
and Facebook Inc. (FB).
The tech-heavy Nasdaq Composite Index (RIXF) rose 16 points to
close at 4,337 while the Philadelphia Semiconductor Index (SOX)
added 0.7% on the day..
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