An investor group led by a trio of private-equity firms reached a deal to acquire Novell ($5.96, +$0.37, +6.53%) for about $2.2 billion, ending the eight-month takeover battle for the software company.
Green Mountain ($34.61, +$4.35, +14.38%) plans to restate its financial statements for the past three fiscal years and the first three quarters of this year because of errors. Its shares climbed as investors were likely relieved the coffee company is closer to resolving its accounting issues. The Securities and Exchange Commission announced a probe of the company in September. Bank of America Merrill Lynch upgraded its stock-investment rating on Green Mountain to buy from underperform.
Netflix Inc. ($184.74, +$11.70, +6.76%) began offering its first streaming-only subscription plan in the U.S. and unveiled price increases for its plans combining unlimited streaming and DVD mail delivery. The stock set another all-time high.
U.S. shares of Bank of Ireland PLC (IRE, $2.19, -$0.48, -17.98%) tumbled after Irish ministers said the country's banks will need more capital and must shrink their operations as part of Ireland's massive bailout package agreed late Sunday. Ireland said it has applied for a bailout worth tens of billions of euros from the European Union and the International Monetary Fund.
Regeneron Pharmaceuticals Inc. (REGN, $28.33, +$3.66, +14.84%) and Bayer AG (BAYRY, $77.28, -$1.75, -2.21%) reported their experimental drug for eyes was successful in two late-stage studies in patients with a vision-deteriorating condition called wet age-related macular degeneration.
Other Stocks In Focus:
Amcol International Corp. (ACO, $27.66, -$1.14, -3.96%) Chief Executive Lawrence Washow plans to retire at the end of the year, and the specialty-minerals company selected Chief Operating Officer Ryan McKendrick as his successor.
Media and marketing research firm Arbitron Inc. (ARB, $27.77, +$1.55, +5.91%) announced that Spanish-language radio group Univision radio has signed multi-year contracts for Arbitron's portable people meter radio ratings services in 12 markets. These markets are served by 44 of Univision Radio's stations.
Standard & Poor's Ratings Services said it was keeping an eye on BioScrip Inc. (BIOS, $4.20, -$0.06, -1.41%) for a possible downgrade because of unexpected costs from an acquisition. In putting the company on negative watch, the rating agency said the specialty pharmacy and home-care products company's weaker operating performance increased the likelihood of a covenant violation.
Celldex Therapeutics Inc. (CLDX, $4.50, -$0.12, -2.60%) reported positive results from a Phase II clinical trial of rindopepimut, a vaccine that targets the most common type of brain tumors. The immunotherapy company's data showed 66% of patients were progression-free eight and a half months from diagnosis or five and a half months from the start of vaccination.
China Digital TV Holding Co. (STV, $7.69, +$0.43, +5.92%) declared a special dividend of $2 an ordinary share and per American depositary share, the latest in a long series of companies returning cash to shareholders this year.
Retailer Citi Trends Inc. (CTRN, $24.06, +$2.67, +12.48%) surged despite posting a bigger-than-expected loss in the fiscal third quarter and cutting its earnings forecast for the year. A Longbow Research analyst said investors are likely seeing the silver lining in gross margin and inventories. Gross margin fell to 36.9% from 37.4%, which the analyst said held up relatively well, showing Citi Trends wasn't too promotional. Meanwhile, inventory levels were clean, boding well for future promotional activity.
Jefferies upgraded its stock-investment rating on Cirrus Logic Inc. (CRUS, $15.40, +$1.58, +11.43%) to buy from hold, saying it has increased confidence that the semiconductor maker is designed into the upcoming CDMA iPhone, iPad 2, iPhone 5 and iPod Touch 5th generation.
Cornerstone Therapeutics Inc. (CRTX, $6.01, -$0.27, -4.30%) said it will voluntarily remove three products containing propoxyphene from the U.S. market. The move is in response to the U.S. Food and Drug Administration's agreement with Xanodyne Pharmaceuticals Inc. regarding the voluntary market withdrawal of the brand versions of propoxyphene. Generic manufacturers of propoxyphene-containing products, which include Cornerstone, were requested to voluntarily remove their products as well.
The Obama administration Monday issued long-awaited regulations governing minimum medical-spending requirements for insurers under the U.S. health overhaul, largely adopting the recommendations from a group of state insurance commissioners, including at least one key feature considered favorable to the industry. The news helped health insurer stocks post gains, including Coventry Health Care Inc. (CVH, $26.24, +$0.46, +1.78%), WellPoint Inc. (WLP, $59.60, +$0.99, +1.68%) and Aetna Inc. (AET, $30.84, +$0.20, +0.65%).
Cyberonics Inc.'s (CYBX, $29.76, +$2.56, +9.41%) fiscal second-quarter earnings fell 50% as the medical-device company was hurt by a lower tax benefit, masking higher-than-expected revenue growth and a stronger margin on price increases and higher production. The company raised its outlook for the year.
Sandler O'Neill cut its stock-investment rating on Delphi Financial Group Inc. (DFG, $26.01, -$0.86, -3.20%) to hold from buy, citing concerns about riskier investments, municipal bond market exposure and valuation.
Humana Inc. (HUM, $57.77, +$1.74, +3.10%) agreed to acquire closely held health-care provider Concentra Inc. for about $790 million, moving the health insurer into a new business.
Invacare Corp. (IVC, $27.25, -$0.50, -1.80%) will strip the interim tag from Chief Executive Gerald Blouch at the beginning of 2011. Blouch took the role overseeing day-to-day operations in late April as erstwhile company head A. Malachi Mixon III took a medical leave after suffering a mild stroke.
Jackson Hewitt Tax Service (JTX, $0.80, -$0.09, -9.82%) received some leeway on its credit pact, but may just be delaying the inevitable. Jackson Hewitt got a waiver from Wells Fargo & Co. (WFC, $26.86, -$0.63, -2.29%) on Friday's funding deadline for popular refund-anticipation loans and saw its next deadline for refund-anticipation loan documentation pushed back a week to Dec. 17. But the company added that it's unlikely to meet that deadline and is in talks on another amendment.
Kit Digital Inc. (KITD, $12.38, +$0.30, +2.48%), which makes on-demand software that helps companies manage and distribute video over an Internet connection, saw its third-quarter loss narrow as fewer charges dinged the bottom line and revenue more than doubled.
Heavy volume in New York Times Co. (NYT, $8.44, +$0.26, +3.18%) shares is mainly due to a massive trade of nearly 7 million shares at 10:20 a.m. EST. According to FactSet data, there are only five investors with a big enough stake to sell that much stock. That group includes Harbinger Capital Partners, which has been reducing its stake, and Mexican billionaire Carlos Slim. Both investors last reported holding more than 10 million New York Times shares, according to FactSet. New York Times, Harbinger and Slim weren't immediately available for comment.
OraSure Technologies Inc. (OSUR, $4.86, +$0.37, +8.24%) said the U.S. Food and Drug Administration has granted an investigational device exemption for the company to conduct the final phase of clinical testing for FDA approval of the diagnostics company's home-use oral HIV test.
Robert W. Baird & Co. raised its stock-investment rating on SanDisk Corp. (SNDK, $41.91, +$1.93, +4.83%) to outperform from neutral, saying NAND flash memory pricing should be significantly better-than-seasonal in 1H11. The firm notes NAND pricing is now past a bottom following a significant decline in the third quarter, "paving the way for a significant increase in NAND flash content in smartphones and tablets next year," including with introduction of Verizon iPhone and second-generation Apple Inc. (AAPL, $307.52, +$0.79, +0.26%) iPad.
Computer equipment and software distributor Tech Data Corp.'s (TECD, $45.25, +$1.24, +2.82%) fiscal third-quarter profit jumped a bigger-than-expected 17% as acquisitions and market-share gains helped it post record results for the period.
Citigroup said that with chip lead times continuing to compress in a mid-cycle correction and back-end orders now set to bottom in the first quarter of 2011, it is legging into select back-end stocks as the risk of being a little early is now significantly outweighed by the potential upside during the second leg of the cycle. As such, it raised its stock-investment rating on Teradyne Inc. (TER, $12.38, +$0.52, +4.38%) to buy from hold and Amkor Technology Inc. (AMKR, $6.65, +$0.18, +2.78%) to buy from sell.
Tyson Foods Inc. (TSN, $16.23, +$0.59, +3.77%) rebounded from a prior-year loss in the fiscal fourth quarter caused by a $560 million write-down at its beef business. The meat packer in the latest period recorded improved revenue despite volume declines thanks to higher prices at most of its businesses. Earnings beat analysts' expectations.
Paint and coatings maker Valspar Corp.'s (VAL, $33.54, +$1.62, +5.08%) fiscal fourth-quarter profit increased 2.8% as it posted a bigger-than-expected increase in sales. For the new year, it forecast a per-share profit of $2.45 to $2.65. Analysts polled by Thomson Reuters were expecting $2.45 on average.
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