Archive for July, 2011

(ADP) Automatic Data Processing Sees Better than Expected Growth

The Automatic Data Processing (ADP) employment survey was much stronger than expected in June. It shows that private sector employment rose by 157,000, far above consensus expectations for a 60,000 increase. That marks a nice acceleration from the 36,000 jobs added (as estimated... 

11Jul2011 | | 0 comments | Continued

(DLLR) Dollar Financial Wraps Up Risicum Deal

Yesterday, Dollar Financial Corp. (DLLR) announced the completion of its acquisition of Finnish internet loan provider Risicum Oyj for $46 million. This move is in sync with Dollar’s strategy to grow its global internet lending business. Dollar Financial is already a leading... 

11Jul2011 | | 0 comments | Continued

(RE) Everest Re Group Limited Announces Catastrophe Loss Estimate

Bermuda-based reinsurer Everest Re Group Ltd. (RE) has announced its estimate of April-May catastrophe losses (cat losses) based on property damages resulting from cataclysmic weather conditions. Everest Re, as a property catastrophe writer, expects after-tax cat losses of $80... 

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(BK) Bank of New York Mellon Closes Talon Deal

On Tuesday, Bank of New York Mellon Corporation (BK) announced the completion of its acquisition of Chicago-based Talon Asset Management’s wealth management arm, which presently has over $800 million in assets under management. BNY Mellon had announced the deal in April but... 

11Jul2011 | | 0 comments | Continued

(AHT) Ashford Hospitality Trust Prices Share Offering

Ashford Hospitality Trust Inc. (AHT), the second largest lodging real estate investment trust (REIT) in the U.S., has recently priced its public offering of 7.0 million common shares at $12.50 each. The equity offer is part of the corporate strategy of the company to raise capital... 

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(EQIX) Equinix Offers 7% Senior Notes

Global data center service provider Equinix Inc. (EQIX) recently commenced a public offering of senior notes worth $750.0 million. Equinix filed for the registration with the U.S. Securities and Exchange Commission. The senior notes will mature in 2021. J.P. Morgan Securities... 

11Jul2011 | | 0 comments | Continued

(TOT) TOTAL S.A. Strengthens Italian Footprint

French oil producer TOTAL S.A. (TOT) recently acquired Esso Italiana’s 25% stake in the Gorgoglione concession, comprising the Tempa Rossa field, where the company already has a 50% stake. As part of the deal, TOTAL also bought 51.7% interest each in two other exploration licenses... 

11Jul2011 | | 0 comments | Continued

(MR) Mindray Medical International Limited Acquires Hyssen of China

Mindray Medical International Limited (MR), a leading Chinese medical devices company, recently forged an agreement to take a controlling stake in Suzhou Hyssen Electronics Co. Ltd (“Hyssen”). The transaction will not affect Mindray’s financial results. The company... 

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(HMA) Health Management Associates Initiated at Neutral

We initiate our coverage on Health Management Associates (HMA), a leading operator of hospitals, with a Neutral rating. The company runs hospitals in select non-urban markets throughout the U.S., but mostly in the south eastern part of the country. First-quarter 2011 earnings... 

11Jul2011 | | 0 comments | Continued

(CNQR) Concur Technologies Acquires GlobalExpense

Washington-based Concur Technologies Inc. (CNQR) recently completed the acquisition of GlobalExpense for £12 million (US$19.7 million) and an earn-out payment of £2 million on achievement of certain milestones. GlobalExpense is a London-based end-to-end expense management solutions... 

11Jul2011 | | 0 comments | Continued

(NVS) Novartis AG’s Lung Drug Cleared in US

Novartis AG (NVS) recently announced that its once-daily long-acting beta2-agonist (LABA) Arcapta Neohaler (75 mcg) was cleared by the US Food and Drug Administration (FDA) for the long-term maintenance bronchodilator treatment of airflow obstruction in patients with chronic... 

11Jul2011 | | 0 comments | Continued

(EXL) Excel Trust Sells Assets

Excel Trust, Inc. (EXL), a real estate investment trust (REIT) primarily focusing on retail assets, has recently sold six ‘triple-net’ leased assets for $39.6 million, generating a net profit of approximately $3.0 million. A ‘triple net’ lease is one under which the tenant... 

11Jul2011 | | 0 comments | Continued

(MRK) Japanese Approval for Merck Products

Merck (MRK) recently announced that it received approval for three products in Japan. The Japanese Ministry of Health, Labour and Welfare (MHLW) approved Gardasil [human papillomavirus quadrivalent (Types 6, 11, 16 and 18) vaccine, recombinant], Zolinza (vorinostat) and Cubicin... 

11Jul2011 | | 0 comments | Continued

(BRKB) Berkshire Hathaway in Race for Citigroup Unit?

Berkshire Hathaway Inc. (BRKB) is said to be in race for the consumer lending unit of Citigroup Inc. (C), according to a Wall Street Journal report. Berkshire is a part of the bidding group comprising private-equity investment firm Centerbridge Capital Partners LLC and Leucadia... 

11Jul2011 | | 0 comments | Continued

(CYBX) Cyberonics Stays Neutral

We recently reiterated our Neutral recommendation on Cyberonics (CYBX) with a target price of $30.00, following our assessment of its fourth quarter 2011 results. Cyberonics reported fourth quarter 2011 EPS of 26 cents, which missed the Zacks Consensus Estimate of 29 cents and... 

11Jul2011 | | 0 comments | Continued

(GD) General Dynamics Wins Task Order

General Dynamics Information Technology, a business unit of General Dynamics Corporation (GD), received a task order to provide enterprise communication services under the Defense Intelligence Agency’s (‘DIA’) Solutions for the Information Technology Enterprise contract.... 

11Jul2011 | | 0 comments | Continued

(AIR) AAR Corporation Posts Strong Results

AAR Corp. (AIR), the provider of aircraft parts and maintenance, posted encouraging results for the fourth quarter and fiscal 2011. The company’s net income from continuing operations surged by approximately 91% to $22.7 million or $0.55 per share compared with $11.9 million... 

11Jul2011 | | 0 comments | Continued

(FDO) Family Dollar Stores 2011 Third Quarter Earnings Scorecard

Family Dollar Stores Inc. (FDO), the operator of self-service retail discount store chains, recently posted third-quarter 2011 results. Street analysts had a week to ponder on the news. In the subsequent paragraphs, we will cover the recent earnings announcement, subsequent analysts’... 

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(CAB) Cabela’s Closes Secured Notes Sale

In a move to supplement its Financial Services Segment, Cabela’s Inc. (CAB) recently announced that its Credit Card Master Note Trust has concluded the sale of secured Notes worth $300 million. The company distributed the issuance into three parts, including $155 million of... 

11Jul2011 | | 0 comments | Continued

(AKS) AK Steel Holding Corporation Analyst Assigns Neutral Rating

We are maintaining our Neutral recommendation on AK Steel Holding Corporation (AKS). The company recorded first-quarter 2011 EPS of $0.08, beating the year-ago quarter’s $0.02 and striding ahead of the Zacks Consensus Estimate for a loss of a penny. AK Steel expects a strong... 

11Jul2011 | | 0 comments | Continued

(LUV) Southwest Airlines Offers Summer Sale

Southwest Airlines (LUV) announced discounts on its flight tickets for summer travel. The discounted airfares will vary from $39 to $179 each way across the U.S. The sale ends on July 14 and is being levied on travel between August 23 and December 14. The airfare sale comes with... 

11Jul2011 | | 0 comments | Continued

(TYC) Tyco International Concludes KEF Holdings Buy

Tyco International Ltd. (TYC) announced that it has completed the acquisition of a 75% stake in KEF Holdings Ltd., which is a UAE-based integrated valve manufacturer and provider of steel castings to the oil and gas, chemical, mining and power industries. This acquisition of... 

11Jul2011 | | 0 comments | Continued

(BBBY) Bed Bath & Beyond Analyst Maintains Neutral Rating

We have maintained our long-term Neutral recommendation on Bed Bath & Beyond Inc. (BBBY) with a target price of $62.00 per share. Moreover, the company has a Zacks #1 Rank, implying a short-term Strong Buy rating on the stock. Bed Bath & Beyond is currently in the midst... 

11Jul2011 | | 0 comments | Continued

(SLE) Sara Lee Pitches Hillshire to Women

Hillshire Farm, a popular brand of meat owned and marketed by Sara Lee Corporation (SLE), launches a new ad campaign ‘So Good, They’ll Think It’s For Them’ to attract the women customers and add to the success of the already existing ‘Go Meat’ tagline. Unlike... 

11Jul2011 | | 0 comments | Continued

(MDR) McDermott International Secures SURF Deal

The Australian unit of McDermott International Inc. (MDR) has won a deepwater offshore contract for the Macedon Gas Project in Western Australia. Per the terms of the deal, the company would be involved in engineering and construction of the project along with structural transportation... 

11Jul2011 | | 0 comments | Continued

(HIW) Highwoods Properties Renews Lease

Highwoods Properties, Inc. (HIW), a real estate investment trust, recently renewed its lease at 2635 Century Center in Atlanta with the General Services Administration (GSA) on behalf of the Federal Bureau of Investigation (FBI). Highwoods’ property at the 2635 Century Center... 

11Jul2011 | | 0 comments | Continued

(HOTT) Hot Topic Comps Steady

HOT Topic Inc. (HOTT) reported positive same-store sales of 0.4% for the month of June, repeating the performance in its sequentially preceding quarter and way ahead of the 2.1% fall in the year-earlier period. The company reported the third consecutive month of positive same-store... 

11Jul2011 | | 0 comments | Continued

(PBR) Petroleo Brasileiro S.A. Strikes Oil Yet Again

Petroleo Brasileiro S.A. or Petrobras (PBR) announced the discovery of two new oil and gas fields in the Espirito Santo basin, netting three finds in the arena. Although the estimated size of the fields was not disclosed, they definitely strengthen Petrobras’ position in the... 

11Jul2011 | | 0 comments | Continued

(PX) Praxair Signs Hydrogen Supply Deal

Praxair Inc. (PX) recently signed a multi-year contract to provide high-purity hydrogen to Hemlock Semiconductor, L.L.C. The financial terms of the transaction were not disclosed. Hemlock Semiconductor provides high-purity polycrystalline silicon and chlorosilanes for semiconductor... 

11Jul2011 | | 0 comments | Continued

(ARAY) Accuray Presents Promising CyberKnife Radiosurgery Data

Leading radiosurgery systems maker Accuray Incorporated (ARAY) has presented encouraging new clinical data highlighting the benefits of its popular CyberKnife radiosurgery system and its recently acquired TomoTherapy radiation therapy system in treating a vast continuum of lung... 

11Jul2011 | | 0 comments | Continued