Cloud Computing Stocks Fall as Wall Street Declines
Cloud Computing stocks are off to a weak start for the week of Nov. 21 after delivering a poor performance for the week ending Nov. 18, 2011. Our Talkin’ Cloud Stocks Index fell 4.08 percent for the week ending Nov. 18 and the mood on Wall Street is downbeat today as European and U.S. markets dipped some more on Monday, Nov. 21.
Before we take a closer look, let’s go over our usual disclaimers: We maintain the Talkin’ Cloud Stocks Index to analyze cloud hype against real-world performance. Whether you buy, sell, or hold is up to you and you alone. Talkin’ Cloud offers no specific financial advice. And now with that out of the way, let’s go over last week’s winners and losers.
Two Weekly Winners
- The winner, with a solid 4.07 percent gain last week, was Vocus (VOCS). Now, the PR management firm hasn’t had the easiest 2011 on the markets; shares are still down 25 percent so far this year but third quarter results were apparently enough for Vocus to regain some investor confidence.
- CoreSite Realty Corp. (COR), rose 1.10 percent on word that AiNET is hosting its storage as a service offering on its cloud infrastructure.
Three Biggest Weekly Losers
- Last week’s biggest loser in our cloud stocks index was Salesforce.com (CRM), which dipped 12.66 percent after its own quarterly results failed to impress Wall Street.
- Following with a 9.32 percent dip was Amazon.com (AMZN), but as usual it’s nothing to do with the Amazon Web Services cloud services division and everything to do with the trading buzz around its core e-retail business.
- SuccessFactors (SFSF) also dropped 9.32 percent last week. One potential reason: Shares had been rallying since August and September, so perhaps analysts feel things were getting a bit too pricy.