Among early movers in stocks, Facebook (FB) was up as much as 18% in early trading. The company reported a 63% increase in revenue in the fourth quarter. After the close Wednesday, Facebook said mobile advertising revenue accounted for 53% of its revenue in the quarter, up from 23% a year earlier. The results should quiet for the moment critics concerned about the possibility that Facebook is losing teen users.
Under Armour (UA) surged 16% in early trading after the company reported profits for the quarter rose 28%. That beat earnings estimates, while revenue rose 35% from the previous year. Under Armour said the rise in revenue and profit was driven by strong sales of its ColdGear Infrared and fleece products.
Viacom (VIAB) beat estimates by $0.04, but revenue fell 4% from last year and missed Wall Street estimates. Viacom blamed the miss on a 30% drop in sales from its film entertainment division which includes Paramount Pictures.
Amazon (AMZN) will be another stock to watch today, ahead of the company’s earnings report after the close this afternoon. The company is expected to report earnings of $0.66 a share, which would be a $0.45 increase from the previous year. Revenue is expected to rise 22.5%. Investors will be interested to see how Amazon faired during the holiday season and if the company reaped the benefits of declining sales for brick-and-mortar retailers like Best Buy (BBY).
Google (GOOG) is also expected to report quarterly earnings after the close today. Wall Street analysts expect the company to earn $12.26 a share and $16.75 billion in revenue. That would be a 37% increase in revenue for the quarter. Google today also ended its 22 month foray into mobile handsets. The company announced that China’s Lenovo will buy Motorola Mobility from Google for $2.91 billion. Google bought Motorola Mobility in May 2012 for $12.5 billion. Google will retain a majority of Motorola's patents. The deal may face hurdles as U.S. regulators could delay the deal because of security concerns surrounding acquisitions by a Chinese company. Lenovo also recently agreed to buy IBM's server business.
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