Paul Kangas' Stocks In The News
Monday, July 10, 2006
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PAUL KANGAS: Wall Street posted solid gains this morning thanks to bargain hunting after Friday`s sell-off and that decline in oil prices. Hopes were also high that upcoming quarterly earnings would be impressive. After 90 minutes of trading, the Dow was up 80 points and the NASDAQ rose eight. Several factors led the gains to fade away this afternoon, including a late day comeback in oil prices, a weakening of tech stocks and investor caution ahead of Alcoa`s results. The Dow Industrial Average closed up only 12.88 at 11,103.55. The NASDAQ Composite lost 13.13 to 2116.93. Standard & Poor`s 500 Index rose 1.86 ending at 1267.34. Over in the bond market, the 10-year note edged up 1/32 to 99 31/32, putting the yield at 5.13 percent.
Most active big board issue on 32.7 million shares, EMC Corp (EMC) losing $0.77. The company estimates second quarter earnings will be $0.12 a share. That`s a penny below its previous guidance and also said its revenues will be a bit below guidance. Standard & Poor`s still repeated a "strong buy" on the stock.
Lucent Tech (LU), second in volume, down $0.03. The company, after the market closed, warned third quarter earnings would drop to $0.02, from $0.04 in the second quarter and down from $0.07 a year ago. In after hours trading, Lucent fell another $0.10 from this price level.
AT&T (T) down $0.36.
Ford Motor Co (F) bucked the trend, up $0.17.
Corning (GLW) down another $1.18 after a similar loss Friday when the stock fell on 3M`s second quarter earnings warning because of lower than expected LCD sales.
Fifth in volume was Nortel Networks (NT), sixth in volume I should say. No change there.
Hewlett-Packard (HPQ) off $0.92. That`s down in sympathy with the EMC warning about earnings that I just told you about.
Time Warner (TWX) $0.17 drop.
Bellsouth (BLS) lost $0.66.
And Home Depot (HD), tenth in volume, a $0.37 drop.
Disney (DIS) edged up $0.09, traded as high as $30.34. The company`s "Pirates of the Caribbean" sequel movie set over the weekend box office record revenues, up $132 million. Deutsche bank securities today made some positive comments on Disney stock incidentally.
Foot Locker (FL) up $2.48. "Women`s Wear Daily" publication reports that Kolberg Kravis Roberts may acquire this company for somewhere around $30 a share.
The Shaw Group (SGR), the engineering firm, down $2.67. The company cut its third quarter loss to $0.21 from a $0.31 loss a year ago, but it`s going to restate second quarter earnings from $0.31 down to $0.27 due to accounting errors. Standard & Poor`s downgraded the stock from "buy" to just a "hold."
Then Cascade Natural Gas (CGC), which operates out in the states of Washington and Oregon, MDU Resources will acquire this gas distributor for $26.50 a share in cash.
Speaking of cash, Cash America International (CSH), the big pawnbroker, up $2.78. The company boosted its second quarter earnings estimate from around $0.27 to $0.30 to $0.31 and will also acquire Cash Net USA, another pawn broker, for about $35 million.
The poultry producer, Pilgrims Pride (PPC) up $1.52. JPMorgan upgraded it from "neutral" to "over weight" on valuation, did the same for Tyson Foods, whose stock moved up $0.83 a share.
NASDAQ`s most active, Google (GOOG) down $2.25.
Apple Computer (AAPL) $0.40 loss.
Microsoft (MSFT) bucked the trend, up $0.20.
Sandisk (SNDK) in a weak high-tech group off $3.89.
And then Intel (INTC) fell $0.38, fifth in dollar volume on NASDAQ.
Cisco Systems (CSCO) lost $0.42. A $0.20 drop in Qualcomm (QCOM).
Hansen Natural (HANS) off $4.72 on profit taking.
Dell (DELL) down $0.39.
And Oracle (ORCL), a $0.19 drop, tenth in volume.
Connetics (CNCT) down $3.93. The company develops drugs to treat skin disorders and it issued an earnings warning about second quarter and full year results, also delayed its first quarter results.
And then Standard Microsystems (SMSC), very big move up, $4.04 after reporting sharply higher first quarter earnings, $0.37 versus only $0.15 last year. Revenues were up 25 percent.
And over on the American exchange, ACR Group (BRR), a distributor of heating and air conditioning equipment, came in with big first quarter earnings of $0.15, way up from a penny last year. Same store sales were up 25 percent.
Those are the stocks in the news tonight.
