Paul Kangas' Stocks in the News
Thursday, March 08, 2007
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JEFF YASTINE: Big gains in overseas markets helped give today's session a running start. With the Dow popping more than 90 points at the opening bell, the NASDAQ jumped more than 20. Also helping the market were the steel stocks, which moved higher after one firm, Nucor, forecast better than expected results for the first quarter. Profit taking whittled down the Dow's gains in the final hour as profit takers moved in ahead of tomorrow's employment report. The Dow though settling with a gain of 68.25 points at 12,260.70. The NASDAQ rose 13.09 to 2,387.73 and the S&P 500 climbing 9.92 to 1,401.89. The bond market, the 10-year note falling 6/32 to 100 27/32, the yield at 4.52 percent.
Topping our list today, Ford Motor Co (F) advancing $0.31. An analyst at CS First Boston thinks Ford will report a smaller than expected first quarter loss when it reports next month as it's reduced its bloated inventory level.
CVS Corp (CVS) gaining $1.09. CVS trying to outbid another firm, Express Scripts to acquire Caremark, the pharmacy benefit company. CVS now offering a $7.50 one-time dividend payout along with the purchase of Caremark stock for $54.75 a share. The offer still is about $3 billion less than it did from Express Scripts which rose $1.23 to $76 today.
And there's New Century Financial (NEW), a dead cat bounce rather coming to an end, losing $1.29. Hedge fund manager David Einhorn resigning from the board without giving a reason. He's New Century's second largest shareholder, his fund is. The fund hasn't sold any shares recently, but Einhorn's departure renewing fears that New Century could be headed for a bankruptcy filing and late today, New Century saying that it has stopped accepting new loan applications.
ExxonMobil (XOM) advancing $0.21.
Motorola (MOT) losing $0.38. CS First Boston says Motorola's turnaround remains a challenge. Sales of newer cell phone products are noticeably weak.
Then Pfizer (PFE) rising a fraction.
General Electric (GE) up $0.12.
And Annaly Capital (NLY) up, excuse me, losing $0.09. The price hurt by the dilution from a 50 million share price offering yesterday at $13.50 a share.
AT&T (T) jumped $1.08. The telecom giant with strong demand for a $3 billion offering of euro and sterling bonds.
And Sprint Nextel (S) losing $0.27.
Wal-Mart Stores (WMT) dropping a nickel. As you heard, the retailing giant blaming a cold February for a smaller than expected rise in same store sales last month. The company though, did raise its dividend by $0.22, rather $0.22 a share.
Verizon Communications (VZ) advancing $0.80. It won a patent infringement case against Vonage, the Internet calling firm. Vonage will have to pay $58 million in damages and 6 percent on royalties of future sales. Vonage though says it will appeal.
Nucor Corp (NUE) logging a 5 percent gain. Executives giving upbeat guidance, saying they're confident they can hit the high end of earnings forecasts and that really helped to light up the whole steel sector today, people perhaps thinking things aren't quite so slow in the economy.
Cummins (CM) rising $2.60. The board approving a two for one stock split there.
And Men's Wearhouse (MW) up more than $4. The retailer with the stronger than expected 20 percent jump in fourth quarter profit. It boosted its dividend and said that first quarter profits appear to be off to a strong start as well.
On the downside, American Vanguard (AVD) dropping nearly $2. Fourth quarter profits coming in $0.04 below estimates.
Now onto the NASDAQ where Google (GOOG) lost $0.92.
Microsoft (MSFT) losing for the day as well.
Apple (AAPL) though up $0.28.
Cisco Systems (CSCO) up by the same amount.
Research in Motion (RIMM) gaining $1.43.
Intel (INTC) finishing $0.11 higher.
And then Clearwire (CLWR) losing $0.38. It's a new issue, marking the return of Craig McCaw (ph) to the wireless game (ph). Clearwire using the long-range wimax (ph) technology to bring wireless Internet to the masses.
Costco Wholesale (COST) losing $1.86, a 29 percent drop in quarterly profits thanks to high stock option compensation charges.
Amgen (AMGN) advancing for the day.
And so did Qualcomm (QCOM).
Hollis-Eden Pharmaceuticals (HEPH) tumbling $1.38. It lost a Federal contract, lost out on a Federal contract to sell its radiation sickness drug. Analysts downgrading that one.
And Casella Waste Systems (CWST) falling $1.36, reporting a net loss compared to a small profit last year.
Those are our stocks in the news tonight.
