10:17 ET Com21 (CMTO) 2.52 +0.21 (+9.1%): Company's flagship product, the DOXport 1110 cable modem, has received Level 2
Approval from Excite@Home (ATHM), allowing Com21 to begin distributing its flagship modem to all Excite@Home cable partners.
10:12 ET Nasdaq Composite : -- Technical -- Index slumped to support in the 2210 area in early dealings and staged a modest bounce.
However, the failure to take out 2242 has left the weaker bias dominant short term. Initial supports are at 2200 (congestion) and 2193 (50%
of the May 16/23 rally). Weakening daily readings suggest that the a more extensive pullback is at least potentially developing.
10:09 ET EMC Corp (EMC) 35.19 -1.91 (-5.2%): -- Update -- Announces plan to reduce workforce by about 4% (or about 1,100
positions) over the next several weeks, in attempt to lower expenses to better reflect previously discussed 2001 revenue growth target of
20% or greater. Company still expects to invest approx. $1 billion in R&D during 2001.
10:05 ET Midway Games (MWY) 10.44 +1.39 (+15.4%): Gaps up in reaction to UBS Warburg upgrade (pre-market); firm raised view
on interactive entertainment software developer to STRONG BUY from Hold and lifted price target to $18 from $8; expects 2002 to be a
breakthrough year for the company.
10:01 ET Economic Data : Consumer Confidence for May was reported at 115.5, firmly above the consensus of 111. The expectations
index rose to 86.8 and the current situation index advanced to 158.6.
09:55 ET KPMG Consulting (KCIN) 19.46 +0.51 (+2.7%): SG Cowen upgrades to STRONG BUY from Neutral; firm feeling more
comfortable with KCIN's ability to meet analysts' estimates; analysis does not indicate any significant project deferrals this quarter.
09:51 ET Simplex Solutions (SPLX) 21.05 -0.72: SG Cowen initiates with a BUY rating a price target of 28; firm says largest competitor
is AVNT and SPLX is taking share from AVNT; estimates the market for system on a chip (SOC) verification/analysis software at $1 billion
in 2004; sets FY 2001 ests at $0.08 EPS on revs of $47 mln.; note SPLX is a recent IPO and SG Cowen underwrote a portion of the deal.
09:47 ET Gapping Up : Stocks that gapped higher and continue to hold a firmly positive bias include: SCIO (+10%), AKAM (+7.7%),
AUGT (+3.9%), ENER (3.4%), LEXG (+3.4%) and SSPE (+4.3%).
09:46 ET HealthAxis (HAXS) 1.50 +0.20 (+15.4%): Inks 3-yr agreement with Blue Cross and Blue Shield Association for the
implementation of a national Internet sales portal.
09:37 ET Sector Watch : Early tone in the tech arena is firmly in the negative camp with computer-hardware, Internet, software,
semiconductor and networking pacing the way. Other losing groups include: biotech, gold, airline and broker/dealer. On the upside this
morning are several stocks in the alternative energy sector: CPST (+4.6%), PLUG (+3.1%), SATC (+3.3%), MCEL (+1.4%) and FCEL
(+1.1%). Also posting gains are energy, drug and healthcare.
09:34 ET RealNetworks (RNWK) 12.10 -0.99 (-7.5%): Hit by reports that AOL Time Warner may be in talks to include Microsoft's
(MSFT) Windows Media Player in AOL's access software.
09:31 ET Open Market (OMKT) 1.65 +0.16 (+10.7%): Enters into a definitive binding agreement with an institutional investor to provide
the company with up to $40 mln 000 in equity financing, via periodic sales of common stock over a 24 month term.
09:25 ET LightPath (LPTH) 14.49: Wit SoundView downgrades LPTH to a HOLD from a Strong Buy and cuts FY02 revenue estimate
to $61 mln from $83.5 mln and EPS to $0.09 from $0.48; cites weakening market environment and concern that company has lost a major
customer. |
