From Briefing.com: 4:30 pm : A surprisingly strong increase in pending home sales and considerable strength in the financial sector struggled to prop up stocks and keep choppy trading at bay, but a late move by buyers made for a strong finish.
Stocks started the session in negative territory as participants were left largely unimpressed by the latest batch of earnings announcements, which didn't contain any real market movers. News that June personal income fell a larger-than-expected 1.3% and June spending made a generally in-line 0.4% increase also failed to stir action.
However, a much better-than-expected monthly increase of 3.6% for June pending home sales bounced stocks off of morning lows. The move proved unsustainable, but financials emerged to provide support to the broader market.
Financials stocks were down more than 1% in the early going, but rebounded to settle with an 2.1% gain, just shy of their session high. There wasn't any particular catalyst to account for the sharp reversal from red to green other than momentum buying. That momentum helped carry the major indices into positive territory midsession.
Despite leadership from the financial sector, the broader market was unable to break free from its fit of choppiness. Still, the apparent instability couldn't disrupt a strong advance into the close that gave stocks their fourth straight advance.
The stock market's latest winning streak has only added to an already impressive run that has stocks up nearly 15% in just over three weeks. Such a strong move has many calling for a pullback, but buyers remain in control.
Amid an increased willingness to move into stocks and take on risk, small-caps in the Russell 2000 and mid-caps in the S&P 400 outperformed the headline indices this session. Small- and mid-caps tacked on 0.9% and 0.8%, respectively.
Meanwhile, Treasuries fell out of favor after starting the session in higher ground. The benchmark 10-year Note shed some 12 ticks, which pushed its yield back toward 3.7%. The yield had been above 3.7% midway through the session.DJ30 +33.63 NASDAQ +2.70 NQ100 +0.0% R2K +0.9% SP400 +0.8% SP500 +3.02 NASDAQ Adv/Vol/Dec 1509/2.27 bln/1153 NYSE Adv/Vol/Dec 1851/1.25 bln/1168
4:17PM GT Solar misses by $0.01, misses on revs; reaffirms FY10 EPS guidance, revs guidance (SOLR) 5.91 -0.16 : Reports Q1 (Jun) earnings of $0.05 per share, $0.01 worse than the First Call consensus of $0.06; revenues rose 25.7% year/year to $71.8 mln vs the $85.9 mln consensus. Co reaffirms guidance for FY10, sees EPS of $0.45-0.60 vs. $0.51 consensus; sees FY10 revs of $450-550 vs. $508.69 mln consensus. At quarter's end, the company's backlog was $1.12 billion, with $330 million in the PV segment and $785 million in the polysilicon segment. Net bookings for the quarter were $9.8 million.
4:14PM Tessera Tech beats by $0.10, beats on revs; guides Q3 revs above consensus (TSRA) 28.55 -0.37 : Reports Q2 (Jun) GAAP earnings of $0.24 per share, $0.10 better than the First Call consensus of $0.14; revenues rose 10.7% year/year to $62.3 mln vs the $59.9 mln consensus. Co issues upside guidance for Q3, sees Q3 revs of $60-$62 mln vs. $56.77 mln consensus. 3Q09 Micro-electronics revenue is expected to range between $54.0 mln and $56.0 mln, all of which will be royalty and license related. Revenue will reflect the second quarter financial performance of the company's DRAM and Wireless licensees, which may have been stronger than anticipated, but was still down year-over-year. Q3 Imaging & Optics revenue, in total, is expected to be $6.0 mln. Imaging & Optics royalty and license fees revenue is expected to be $3.0 mln. Imaging & Optics products and services revenue is expected to be $3.0 mln.
4:09PM Intersil to Acquire Quellan, Creator of Q:ACTIVE (ISIL) 14.31 -0.09 : Co announces that it has signed a definitive agreement to acquire Quellan, Inc., a privately held leader in the design of high performance analog signal processing integrated circuits. The boards of directors of both companies have unanimously approved the merger. Intersil expects the acquisition will have an immaterial impact on revenue or earnings for the third quarter 2009 results.
4:02PM Coherent misses by $0.01, beats on revs (COHR) 19.90 -0.50 : Reports Q3 (Jun) loss of $0.09 per share, excluding non-recurring items, $0.01 worse than the First Call consensus of ($0.08); revenues fell 37.3% year/year to $98.5 mln vs the $95.1 mln consensus. Co says, "We anticipate that total orders will begin their recovery in the current fiscal quarter, led by microelectronics systems and service, and continue through fiscal 2010. As these orders convert to revenue, we can begin to realize the benefits from our footprint consolidation projects that have thus far been masked by the pullback in revenue."
7:32AM California Micro: Dialectic Capital Management files definitive proxy statement and sends letter to California Micro Devices Stockholders (CAMD) 3.08 : Dialectic Capital Management announces it has filed with the SEC definitive proxy materials in connection with the 2009 annual meeting of stockholders of California Micro Devices Corporation (CAMD) to be held on September 17, 2009. Dialectic also has sent a letter to the Company's stockholders urging them to elect three highly qualified and experienced director nominees, John Fichthorn, J. Michael Gullard and Kenneth Potashner, by signing, dating and returning the gold proxy card. The Dialectic group is the second largest stockholder of the Company and beneficially owns 2,025,011 shares, representing approximately 8.8% of the Company's outstanding.
7:16AM Cray beats by $0.10, beats on revs; guides FY09 revs above consensus (CRAY) 8.16 : Reports Q2 (Jun) earnings of $0.10 per share, $0.10 better than the First Call consensus of ($0.00); revenues rose 34.3% year/year to $62.7 mln vs the $61.1 mln consensus. Co issues upside guidance for FY09, sees FY09 revs of $290 mln vs. $262.72 mln consensus. Co says a modest income from operations for 2009 is likely; First Call Consensus is ($0.13). For 2010, Cray expects its revenue to continue to grow, perhaps modestly, and expects to be profitable. |
