Shares of Apple (AAPL) were down more then 7% afterhours on Tuesday following its fiscal fourth-quarter earnings. The company surprised the market by missing expectations even though the iPhone and iPad maker's earnings and revenue were up strongly from last year. Despite the disappointment, it offered a better-than-expected outlook for this quarter. Earnings excluding items rose to $7.05 a share, while revenue increased 39% to $28.3 billion.
Yahoo (YHOO) also posted earnings following Tuesday's close. Unlike Apple, its earnings fell this past quarter, but it still beat expectations. This sent shares higher afterhours. Earnings excluding items fell 21 cents a share while net revenue fell to $1.072 billion.
Intel (INTC) shares were also on the rise following its earnings. The company beat expectations for this past quarter and posted a strong forecast for the current quarter. Earnings per share excluding items was 69 cents, while revenue rose 29%.
S&P 500 (Figure 2)
The Dow Jones Industrial Average ($DJI) ended the day on Tuesday with a gain of 180.05 points, or 1.58%, and closed at 11,577.05. The banks led the Dow to the upside. The top performers were Bank of America (BAC) (+10.12%), JP Morgan (JPM) (+5.90%), Alcoa (AA) (+5.85%), and Chevron Corp. (CVX) (+4.40%). Only IBM (IBM) (-4.12%) and Coca-Cola (KO) (-0.39%) posted losses. IBM was lower after its earnings fell short of expectations.