Montreal toymaker Mega Brands Inc. has ended a 22-year profit string with a $97.1 million US loss driven partly by the cost ofrecalling magnetic toys because of the risk children might swallow magnets. The 2007 loss, which comes to $2.82 a share, compares with a 2006 profit $25.3million or 79 cents. Three-month Mega Brands chart Sales were downfour per cent to $524.5 million, and some of themwere distinctly unrewarding. The company took a $36.9 million hit on reduced inventory values...
Nasdaq Extends Win Streak To Five
May 15, 2008 on 11:17 pm | In Finance |
Watch today’s Markets Desk video.
Stocks tacked on more gains Wednesday, despite a couple of weaker-than-expected economic reports (see 11:00 am update).
According to preliminary data, the Nasdaq rose 0.3% and extended its winning streak to five. The S&P 500 crawled up 0.1%, the Dow 0.2%. Nasdaq volume fell about 13% and NYSE volume dropped 10%.
DXP Enterprises () rallied 1.75 to 42.24 on heavy volume as it continued to recover from a recent pullback. The industrial pump maker’s Accumulation/Distribution Rating has improved to B from D a couple of sessions ago. DXP was still 15% above a 36.71 buy point from a cup pattern.
THQ Inc. () rallied 1.94, or 6%, to an all-time high of 36.12 on nearly double its average trade. Late last month, A.G. Edwards started coverage of the video game publisher with a buy rating. THQ’s full-year 2007 profit is expected to surge 126%.
Arcelor Mittal () cleared a 54.45 buy point of a flat base. Shares jumped 1.44 to 55.04 on a 62% increase in volume. On Monday, the Luxembourg-based steel maker announced a $590 million share buy-back program. The stock is still within buying range up to 57.17 (the old high 54.35 plus 0.10 plus 5%).
On the downside, Monster Worldwide () gapped below its 200-day moving average and plunged 6.41, or 13%, to 42.10 on monster trade after it warned of lower sales in the first quarter. The online provider of employment services now expects Q1 sales between $328 million and $329 million. Its previous forecast was $330 million to $338 million. Analysts expected $333.1 million.
3:00 p.m. ET update: Indexes Pull Back In Late Trade
Stocks pared some gains going into the final hour of Wednesday’s session. The Nasdaq continued to lead the pack and was on pace for its fifth straight advance.
As of 2:40 p.m. ET, The Nasdaq added 0.3%. The S&P 500 was mostly unchanged. Nasdaq volume was tracking 12% lower. NYSE volume was tracking 15% lower.
Alternative energy, chip equipment, and gold/silver groups held on to gains. Transportation, staffing, and machinery groups were among the worst performers.
Mechel () erased early losses and picked up 2 points, or 6%, to 35.35, clearing a small consolidation. Last week, the Russian steel maker won an auction to buy a majority stake in Southern Kuzbass Power Plant.
Gildan Activewear () was off earlier highs, but still gained 1.72 of 62.02. Late last month, the clothing maker said it would close facilities in New York, Canada, and Mexico. The firm’s sales growth has accelerated for four straight quarters.
Standard Microsystems () added 0.80 to 32.65, its third straight heavy-volume advance. The maker of semiconductor solutions was nearing a 33.10 buy point in a cup-shaped pattern.
On the downside, U.S. Global Investors () turned tail after nearing its December high. Shares fell 1.28 to 30.59. The asset manager has surged since bouncing off its 40-week moving average last month.
1:00 p.m. ET update: Stocks Firm Up In Midday Trade
The major stock indexes turned higher midday Wednesday after a directionless morning.
As of 12:45 p.m. ET, The Nasdaq climbed 0.3% and the S&P 500 added 0.1%. Nasdaq volume was tracking 8% lower. NYSE volume was tracking 14% lower.
Chip equipment, alternative energy and gold/silver groups were among the top performers. Transportation, machinery and staffing groups headed lower.
Solar stocks heated up. SunPower () jumped 2.66, or 5%, to 49.80, clearing a short consolidation. The San Jose-based maker of solar power products boasts 10 straight quarters of triple-digit sales growth. Last week, Banc of America Securities started coverage with a buy rating.
Trina Solar () rallied 2.12 to 49.32 as it neared its all-time high. The China-based firm came public in December at 16 a share.
Perficient () bolted through a 20.95 buy point of a cup-with-handle pattern. Shares tacked on 1.30, or 6%, to 21.99. The IT consulting firm is featured in today’s Daily Stock Analysis.
Jones Soda () popped 1.22, or 6%, to an all-time high of 25.06. The beverage firm was on pace for its third straight heavy-volume advance. Jones has surged nearly 110% this year, trouncing its group’s performance of 5%.
Heavy-volume decliners included Ameristar Casinos (). It dropped 1.94, or 6%, to 30.53 on news that it would buy a unit of Resorts International Holdings LLC for $675 million in cash.
11:00 a.m. ET update: Stocks Little Changed In Early Trade
Stocks were narrowly mixed early Wednesday after Tuesday’s solid gains.
As of 10:45 a.m. ET, The Nasdaq rose 0.1%, while the S&P 500 was flat. Nasdaq volume was tracking 16% lower. NYSE volume was tracking 20% lower.
In economic news, the ISM services index fell to 52.4 in March from February’s 54.3. Economists expected a rise to 54.7. The prices paid component climbed to 63.3 from 53.8 as pricing pressure mounted.
Factory orders rose 1% in February, bouncing back from January’s 5.7% dive. But that fell shy of economists’ expectations of a 1.9% gain.
Acuity Brands () gapped above its 50-day moving average and rallied 3.65, or 7%, to 58.70 after it delivered earnings above views. Before the open, the maker of lighting and chemical products said fiscal second-quarter profit jumped 67% to 62 cents a share, beating views by 13 cents. The stock is shaping a new base after its early February highs.
Robbins & Myers () regained its 50-day line as shares gapped up and vaulted 5.22, or 14%, to 43.38. Late Tuesday, the maker of equipment systems for the energy, pharmaceutical, and industrial markets reported a 188% surge in fiscal Q2 earnings, but that was a penny below views. The company raised its full-year profit outlook to between $2.20 and $2.40 a share, from $2.10 to $2.30. Consensus estimates are for $2.30 a share.
Comtech Group () cleared an 18.19 buy point of a cup-with-handle pattern. It added 0.69 to 18.56. Volume was tracking about three times average.
A couple chip equipment makers scored nice gains after Stifel Nicolaus upgraded the sector to overweight from neutral. Varian Semiconductor Equipment Associates () gapped up 1.85 to a record high of 56.95 and MEMC Electronic Materials () jumped 2.62 to 62.34.
On the downside, Layne Christensen () pulled back 1.86 to 37.94 after Oppenheimer cut the stock to neutral from buy. On Tuesday, Layne climbed nearly 8% after its Q4 earnings shot up 110% and trounced views.
No Comments yet
Sorry, the comment form is closed at this time.
Crowd chat drags down sparkling wit »Alan Carr *** Playhouse LET’S just get something sorted out here. Just because you’ve seen someone on telly doesn’t automatically mean you can enter into a conversation with them. This rule especially applies when a) that person is onstage trying to do their job and b) when you are so drunk that said person-off-the-telly doesn’t have a clue what you are saying. And so to Alan Carr, who continually made the mistake of trying to ask the audience at the Playhouse to...