Archive for March, 2010

(GILD) Gilead Sciences Shows Uptrend in Earnings Estimates

Earnings estimates for Gilead Sciences (GILD) are on the rise following the release of strong fourth quarter and full year 2009 results. The company’s earnings per share (EPS) came in at 90 cents, well above the Zacks Consensus Estimate of 82 cents and the year ago quarter’s... 

5Mar2010 | | 0 comments | Continued

(WEN) Wendy’s/Arby’s Group’s Earnings Beat Estimates

Wendy’s/Arby’s Group, Inc. (WEN), the third largest fast-food restaurant operator, recently reported better-than-expected fourth-quarter 2009 results. The quarterly earnings of 7 cents a share surpassed the Zacks Consensus Estimate of 3 cents, and rose 40% from 5 cents a... 

5Mar2010 | | 0 comments | Continued

(DECK) Deckers Outdoor – Bull of the Day

The strong demand for the UGG brand product line, new product introductions and in-demand inventory has helped Deckers Outdoor (DECK) to achieve robust growth. The company’s top-line has increased at a CAGR of 32% in the last five fiscal years. The company’s efforts... 

5Mar2010 | | 0 comments | Continued

(BAC) U.S. Treasury Gets $1.5B from Bank of America Warrants

The Treasury has received net proceeds of $1.5 billion from the sale of warrants that entitled it to purchase common stock of Bank of America Corp. (BAC). The Treasury received these warrants as part of its investment in BofA through the Troubled Asset Relief Program (TARP) during... 

5Mar2010 | | 0 comments | Continued

($QCOM) Qualcomm Designs Dual-mode (CDMA & GSM) Femtocell

Qualcomm Inc. (QCOM), the largest manufacturer of 3G mobile phone chipset based on CDMA technology, recently announced the technical details of its upcoming 3G femtocell. A femtocell is a small cellular base station, typically designed for use in a residential or small business... 

5Mar2010 | | 0 comments | Continued

(HON) Honeywell Next Generation Flight Management System Undergoing Test Flights

Honeywell International Inc (HON) announced that its Next Generation Flight Management System (NGFMS) is currently undergoing test flights on the Gulfstream G650, and was part of the first flight on the Boeing 747-800. The NGFMS, which will certify later this year on the Boeing... 

5Mar2010 | | 0 comments | Continued

(TU) Telus To Be Exclusive Carrier of Motorola Backflip Smartphone in Canada

The second largest Canadian operator Telus Corp (TU) has confirmed that it will be the exclusive carrier for Motorola’s (MOT) acclaimed Backflip smartphone in Canada. The device is expected to be available on the company’s 3G HSPA+ network in late 2010. However, Telus has... 

5Mar2010 | | 0 comments | Continued

($TIVO) TiVo Gets Favorable Patent Infringement Court Ruling

TiVo Inc. (TIVO) soared 61.9% (or $6.32) and closed at $16.53 yesterday and rose another 3.99% (or 66 cents) after hours following the company’s announcement of a favorable ruling for the third time in a long running patent infringement dispute (since 2004) against EchoStar... 

5Mar2010 | | 0 comments | Continued

(BJ) BJ’s Wholesale Club’s Earnings Report Misses by a Penny

BJ’s Wholesale Club Inc. (BJ) recently reported fourth-quarter 2009 results. The quarterly earnings of 95 cents a share, missed the Zacks Consensus Estimate by a penny, but climbed 6.7% from 89 cents delivered in the prior-year quarter. Management now expects earnings in the... 

4Mar2010 | | 0 comments | Continued

(SWY) Safeway’s Earnings Guidance Disappoints

Recently, Safeway (SWY) provided its outlook for 2010. The company expects earnings per share (EPS) in the range of $1.65 ? $1.85, lower than the Zacks Consensus Estimate of $1.88. Safeway did not have an impressive 2009 as sales dropped during the four consecutive quarters. For... 

4Mar2010 | | 0 comments | Continued

(ALTR) Altera Corporation Narrows Guidance

Chipmaker Altera Corporation (ALTR) revised its outlook for the first quarter of 2010. The company now expects revenues to be up 7% – 10% sequentially compared to the previous guidance of 5 – 10%. The new outlook implies a revenue guidance of $390.5 million – $401.5 million. Altera... 

4Mar2010 | | 0 comments | Continued

(NDAQ) Nasdaq OMX Group to Do Share Buyback

After seeking approval from its Board on March 2, Nasdaq OMX Group Inc. (NDAQ) announced plans to repurchase its common stock worth $300 million that will be funded from its existing cash balances. However, the stock buyback program may be conducted at intervals depending upon... 

4Mar2010 | | 0 comments | Continued

(PCAR) U.S. Productivity & Standard of Living

The nation’s productivity, or output per hour worked Incorporatedreased at a seasonally adjusted annual rate of 6.9% in the fourth quarter. That is up substantially from the preliminary estimate of a 6.2% increase. The 6.9% is a slowdown from the 7.8% rate in the third... 

4Mar2010 | | 0 comments | Continued

(CNXT) Conexant Systems’ Announces Refinancing Plan

Conexant Systems, Inc. (CNXT) announced a comprehensive refinancing plan designed to improve its balance sheet and address its liquidity needs. Conexant is offering new 11.25% senior secured notes due 2015 aggregating $175 million. The company is also offering approximately 14... 

4Mar2010 | | 0 comments | Continued

(MCO) Nucor Downgraded by Moody’s Investors Service

Recently, credit ratings agency Moody’s Investors Service (MCO) has cut Nucor Corporation’s (NUE) unsecured debt rating one notch to “A2″ from “A1″ and affirmed the steel maker’s Prime-1 short-term debt rating. Moody’s judges obligations rated... 

4Mar2010 | | 0 comments | Continued

(TEN) Tenneco Forms Chinese Joint Venture

Tenneco Inc. (TEN) has formed a joint venture (JV) with a Chinese company, Changchun FAW Sihuan Group Ltd. — a subsidiary of FAW Group Corp. The JV aims at manufacturing and supplying emission control components and systems for passenger and commercial vehicles in China. Tenneco... 

4Mar2010 | | 0 comments | Continued

(PBG) Pepsi Bottling Group Analysts Lower to Neutral Rating

We recently downgraded the shares of Pepsi Bottling Group (PBG) from Outperform to Neutral. Pepsi Bottling Group is the world’s leading bottler and distributor of Pepsi-Cola beverages and commands a strong portfolio of globally recognized brands. However, a leveraged balance... 

4Mar2010 | | 0 comments | Continued

(MXGL) Max Capital Group-Harbor Point to Merge

Yesterday, reinsurers Max Capital Group Ltd. (MXGL) and closely held Harbor Point announced their intention to merge. Upon doing so, both companies would dissolve and a new entity named Alterra Capital Holdings would be formed, with Harbor Point holding 52% ownership and Max... 

4Mar2010 | | 0 comments | Continued

(BMY) Bristol-Myers Squibb Signs Deal With Allergan

Bristol-Myers Squibb Co. (BMY) and Allergan, Inc. (AGN) entered into an agreement to develop and commercialize AGN-209323, Allergan’s mid-stage pipeline candidate. AGN-209323 is being developed to treat neuropathic pain, or chronic pain usually accompanied by tissue injury. AGN-209323... 

4Mar2010 | | 0 comments | Continued

(USB) U.S. Bancorp Adds $90 Million to SolarCity Fund

U.S. Bancorp (USB) has agreed to put an additional $90 million into its fund for privately held SolarCity to finance commercial and residential solar projects in 2010 in Arizona, California, Colorado, Oregon and Texas. This represents the third deal between U.S. Bancorp and SolarCity.... 

4Mar2010 | | 0 comments | Continued

(HOTT) Hot Topic Comp Store Sales Down

Hot Topic Inc. (HOTT) – a shopping mall-based specialty retailer operating the Hot Topic and Torrid store concepts across the U.S. as well as the e-space music discovery concept ShockHound – reported a 7% decrease in February 2010 same-store sales, compared to a 10.8% increase... 

4Mar2010 | | 0 comments | Continued

(DD) DuPont Emerges Stronger From Global Economic Crises

DuPont (DD) recently announced that it is emerging stronger from the global economic crisis after undertaking several measures last year to better position it for sustainable growth. DuPont maintained its R&D investment at $1.4 billion in 2009 during the economic crisis and... 

4Mar2010 | | 0 comments | Continued

(RRGB) Red Robin Gourmet Burgers Analyst Upgraded to Neutral

We recently upgraded our recommendation on Red Robin Gourmet Burgers Inc. (RRGB) to Neutral from Underperform with a target price of $21.00. After a difficult year, the company now expects a turnaround in 2010 as the economy gradually revives. Red Robin will now emphasize more... 

4Mar2010 | | 0 comments | Continued

(GOOG) I’m Formally Declaring a Fiscal State of Emergency

by Robert Williams, Publisher Thursday, March 4, 2010: Issue #1209 “Three years of record tax increases coupled with an economy on the mend have lifted the financial fortunes of all but six states.” That’s an excerpt from an Associated Press article that ran on January... 

4Mar2010 | | 0 comments | Continued

(GOOG) Google’s Failure in China Revisited

Tony Daltorio, Investment U Research Thursday, March 4, 2010 Back on January 28, I wrote an article about Google’s big failure in China. I detailed exactly why the giant tech corporation fell so hard over there even while doing so well in the Western world. My analysis stirred... 

4Mar2010 | | 0 comments | Continued

(BP) BP Outlines Business Plans

After saving nearly $4 billion in costs last year, UK oil super major BP Plc. (BP) is aiming for a $3 billion improvement in the company’s pre-tax profits in the next couple of years. The company also anticipates an average production growth of 1% to 2% per year to 2015. To... 

4Mar2010 | | 0 comments | Continued

(WMT) Initial Claims for Unemployment Insurance Good News

After about two months of moving in the wrong direction, we finally got some good news on the Initial Claims for Unemployment Insurance front. Initial claims dropped by 29,000 to 469,000. Prior to the start of 2010, we had been in a steep downtrend, and we are well below the... 

4Mar2010 | | 0 comments | Continued

(ZION) Zions Bancorporation’s Note Conversion Update

Zions Bancorporation (ZION) recently announced the beginning of an exchange offer to replace any or all of its currently outstanding non-convertible subordinated notes into shares of Zions’ common stock. This will be based on the relevant price, the applicable note price... 

4Mar2010 | | 0 comments | Continued

(T) FCC U.S. Broadband Plan a Costly Affair

The Federal Communications Commission (FCC) plans to spend lavishly on expanding broadband access in the U.S. The FCC’s forthcoming National Broadband Plan (NBP) will propose up to $25 billion in new federal spending to Congress to expand nationwide broadband lines and build... 

4Mar2010 | | 0 comments | Continued

(AIG) American International Group Ratings Unchanged by A.M. Best

Subsequent to the announcement by American International Group Inc. (AIG) to sell the AIA Group, its pan-Asian life insurance companies, to Prudential Plc. (PUK), A.M. Best Co. said that the ratings of AIG and its subsidiaries remain unchanged. The deal is valued at approximately... 

4Mar2010 | | 0 comments | Continued