Paul Kangas' Stocks in the News
Wednesday, September 03, 2008
|
|
|
|
PAUL KANGAS: Stocks on Wall Street edged slowly lower this morning as uncertainty about the economy kept potential buyers on the sidelines. Adding to the selling, the growing view that further weakness in oil prices is a sign of slowing demand due to recession. That had the Dow down 85 points by noon and the NASDAQ was off 24 points. A firm dollar helped the blue chips move into positive ground this afternoon, while the broader market trimmed its losses, leading to a mixed close. The Dow Industrial Average ended with a gain of 15.96, at 11,532.88. The NASDAQ Composite, however, lost 15.51, ending at 2,333.73. While the Standard & Poor's 500 was down 2.60, ending at 1,274.98. In the bond market, the 10-year note rose 8/32 to 102 14/32, putting the yield at 3.70 percent.
The most active New York Exchange issue, trading 12.6 million shares, Corning (GLW), down $2.45. The company cut its third-quarter earnings guidance from a high of $0.51 a share down to $0.45 a share at best. The company blamed lower-than-expected shipments of its LCD glass.
Bank of America (BAC) moved up $0.97.
And then Citigroup (C) with a $0.50 gain.
Ambac Financial (ABK) up $1.58, good percentage move there. As we reported yesterday, the company got a Wisconsin regulatory approval to capitalize and reactivate its Connie Lee Financial Guarantee subsidiary.
Freddie Mac (FRE) up $0.20, fifth in Big Board volume.
Then Ford Motor (F), there you see it, edging up $0.06 despite the lower sales.
Companhia Vale (RIO) down $0.24.
Pfizer (PFE), a $0.03 gainer. The company is in a pact with Medivation Incorporated (MDVN) to develop and commercialize a treatment for Alzheimer's and Huntington's disease. Medivation stock, in NASDAQ trading, was up $3 even at $29.03.
GE (GE) in there with a $0.04 gain.
And then Qwest Communications (Q) moved up $0.26 a share.
Forest Laboratories (FRX) down $5.19. Results for the company's treatment of chronic obstructive pulmonary disease suggests dosage should be reexamined. That will take some more testing. Credit Suisse downgraded the stock to just neutral, and that hurt it, of course.
ConAgra Foods (CAG) off $1.83. The company sees first-quarter earnings lower than expected at around $0.26 to $0.27. And that's due to its underperforming consumer food segment. JPMorgan downgraded the stock from overweight to just neutral.
MEMC Electronic Material (WFR) down $5.62. The company is cautious on its third-quarter outlook because of soft demand from some of its chief semiconductor customers.
Ethan Allen Interiors (ETH), the furniture company, off $1.27. The company sees first-quarter earnings around $0.20 to $0.26 a share. That's way below the Wall Street estimate of $0.48 to $0.49. The company says July- August sales this year was substantially lower than a year ago.
Cabot Corporation (CBT) gaining $2.30 after the KeyBanc brokerage upgraded the stock from hold to a buy.
And financial services company Waddell & Reed (WDR) down $3.30. Sandler O'Neill brokerage downgraded the stock from hold to a sell.
NASDAQ's most active was Apple (AAPL) with a gain of $0.77. Then Research In Motion (RIMM) down $3.57.
Google (GOOG) fell $0.84.
Intel (INTC), a $1.04 loss.
Microsoft (MSFT) was down $0.20. The company did confirm it will cut its Xbox 360 prices this Friday.
Moving along on the active list, Qualcomm (QCOM) down $1.91, JPMorgan cut the company's forecast for mobile phone sales for the year 2008, this year.
Cisco (CSCO), a $0.44 drop there.
Baidu.com (BIDU) fell $15.29.
Oracle (ORCL), a $0.36 loss.
And then Dell (DELL), a $0.52 drop there.
And finally Joy Global (JOYG) sank $12.70 a share, the mining equipment- maker delivered better-than-expected third-quarter profits. But its shared plunged to a seven-month low on a disappointing drop in operating margins at its surface machinery unit.
