Nortel Networks (NT) 14.62: -- Update -- CE Unterberg Towbin initiates coverage with a BUY and 12-month price target of $21; firm says not a screaming buy, but favorable risk/reward; believes the uncertain outlook on service providers' 2001 capital spending is generally reflected in NorTel's current price and that even a modest improvement in 2002 would justify firm's target.
Sun Microsystems (SUNW) 18.67: JP Morgan reiterates BUY rating and price target of $45.
Intel (INTC) 27.85: ABN AMRO initiates coverage with a HOLD and a $25 price target; does not expect INTC's stock to trade at slight premium to the market's multiple despite trading at a substantial premium over the last several years; although company has tremendous financial stability with $11.6 bln in cash, does not see strength being able to materially add to company's growth rate going forward.
RSA Security (RSAS) 29.94: Deutsche Banc Alex. Brown initiates coverage on the provider of e-business encryption and public key management systems with a BUY.
Exodus Comms (EXDS) 8.26: Provider of Internet system and network management solutions announces reseller agreement with Counterpane Internet Security to provide Exoduscustomers with a comprehensive Managed Security Monitoring solution; see press release.
Tellabs (TLAB) 37.38: Morgan Stanley downgrades to NEUTRAL from OUTPERFORM; notes that downgrades based on wider "industry" call; additionally lowers rating on JDSU, NT, and SCMR; as noted earlier in discussing JDSU, firm has derived bearish outlook based on over 40 data points after speaking with carriers, systems vendors and component companies.
Exult (EXLT) 15.10: Goldman Sachs initiates coverage with a MKT OUTPERFORM; notes that their initiation is based on a larger focus on the BPO market; firm anticipates EXLT to reach profitability in the first half of 2002 as it leverages its expanded infrastructure.
Bank of America (BAC) 59.60: ABN AMRO upgrades to BUY from ADD following firm's meeting with Ken Lewis, CEO of BAC; raises estimates by $0.20 in 2001 to $5.00 and by $0.10 to $5.35 for 2002; ABN says they were very impressed by Lewis' focus on improving customer service and organic growth.
Jabil Circuit (JBL) 31.76: CIBC Wrld Mkts downgrades to BUY from STRONG BUY rating and price target of $36 based on price; says fundamentally believes JBL is an excellent operator and well positioned for the upturn in the EMS industry; however stock currently trading at a premium to its peers.
JDS Uniphase (JDSU) 19.17: Morgan Stanley downgrades to NEUTRAL from OUTPERFORM; says industry recovery later than Street expects, could be as late as Q302; notes that bearish outlook based on over 40 data points derived from carriers, systems vendors and component companies.
Integral Systems (ISYS) 21.79: Company announces that it has won a contract by Boeing Satellite Systems (BA) to develop an I&T (Integration and Test) system for a new Boeing spacecraft project; terms of the deal were not disclosed; see press release.
Loudeye Tech (LOUD) 1.08: Company announces an agreement with America Online (AOL) under which Loudeye will provide America Online with music samples, music catalog encoding and metadata services; see press release.
TMP Worldwide (TMPW) 59.78: Operator of Monster.com acquires privately held Flipdog.com; terms of the deal were not disclosed; see press release.
Fox Entertainment (FOX) 25.40: Merrill Lynch upgrades to NT BUY from NT ACCUM rating and a 12-month price target of $40; says in their view believes Fox represents the most compelling value in the sector.
Lucent Tech (LU) 8.32: Banc of America Sec downgrades to BUY from STRONG BUY rating and price target of $30.
Cognos Inc (COGN) 18.50: Company warns for Q1; expects earnings per share to come in between breakeven to a loss of $0.04; current First Call EPS estimate is $0.04. Additionally announces plans to eliminate 300 positions, roughly 10% citing need to reduce expenses in order to align the Company's cost structure and operations in the current economic environment.; see press release.
Toll Brothers (TOL) 31.05: Reports Q2 earnings of $1.17 a share, $0.19 better than the First Call consensus estimate, vs year-ago earnings of $0.75; revenues rose 33.0% to $497.55 mln from a year-ago of $373.99 mln; see press release.
Optio Software (OPTO) 0.70: Reports Q1 loss of $0.16 a share, $0.01 better than the First Call consensus estimate, vs year-ago earnings of $0.02; revenues fell 8.4% to $8.55 mln from a year-ago of $9.34 mln; see press release.
AFTER THE CLOSE (29-May-01)******
USX-U.S. Steel (X) 19.83 +0.07: Company announces that its board of directors has named USX Chairman and CEO Thomas J. Usher as acting president of the U. S. Steel Group (X), effective immediately; see press release.
Williams Comms (WCG) 4.75 -0.30: Company enters agreement with America Movil (AMOV), S.A. de C.V.; under the deal, Williams will sell its interest in Brazilian wireless provider Algar Telecom Leste (ATL) to America Movil; see press release.
Tetra Tech (TTEK) 29.85 +1.00: Provider of management consulting and engineering services acquires Dallas based, Maxim Technologies; terms of the deal were not disclosed; see press release.
Aether Systems (AETH) 12.13 -1.42: Company says that based on current information, they remain confident in meeting previously disclosed Q2 guidance including $37 mln in revenues for Q2; additionally announces company buyback of $20 million in convertible debt; see press release.
LightPath (LPTH) 10.23 -4.26: -- Update -- After a Wit SoundView downgrade hammered its stock today, company reaffirms guidance and says that it is not aware of any unreported changes in its relationships with significant customers. Stock rebound 1 pt after hours; see press release.
Active After Hours : Nasdaq 100 After Hours Indicator trading down 18.62....stocks on the move (change vs. close) MSFT trading down 0.41...ADVP trading down 0.76...SUNW now down 1.19.
Taro Pharm (TARO) 56.49 -0.52: Manufacturer, marketer and distributor of OTC and prescription pharmaceuticals announces that the FDA has approved its Abbreviated New Drug Application (ANDA) for Clotrimazole; see press release.
OmniSky (OMNY) 2.90 +0.09: Company announces agreement with Office Depot (ODP) to sell its wireless service in more than 500 Office Depot locations around the country; see press release.
Pall Corp (PLL) 22.91 -0.03: Reports Q3 earnings of $0.30 a share, in line with the First Call consensus, vs year-ago earnings of $0.34; revenues rose 0.9% to $321.06 mln from a year-ago of $318.05 mln. Company is also reducing its global workforce by just over 5%, which will result in a fourth quarter severance charge; issues warning for Y01, expecting $1.08-$1.13 vs current First Call EPS estimate of $1.17; see press release.
AdvancePCS (ADVP) 61.76 -1.12: Reports Q4 earnings of $0.22 a share, $0.02 better than the First Call consensus estimate, vs year-ago earnings of $0.21; revenues rose 474.2% to $2.9 bln from a year-ago of $521 mln; see press release.
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- Conference call concluded with SUNW -0.66 vs. 4 p.m. close.
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- On call, mgmt says Q4 pro forma estimates of 2 to 4 cents "are not far off" from break even on a GAAP basis. SUNW -0.66 vs. 4 p.m. close
Lucent/Alcatel : Investors cheering the end of talks between Lucent (LU) and Alcatel (ALA), with both stocks trading up after hours, changes vs close: LU +0.34, ALA +2.0.
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- On call, product transition to UltraSparc 3 is not driving shortfall relative to expectations. Mgmt sees simple "overall slowdown in demand" as the culprit for today's warning. SUNW -0.66 vs. 4 p.m. close
RadioShack (RSH) 32.85 -1.02: Company warns for Q2; sees EPS of $0.25-0.27 vs current consensus estimate of $0.34 and says that FY01 earnings could decline 10% vs prior year; cites weak sales in Q2, with a 2% decline in April comparable store sales expected to be followed by flat sales in May; see press release.
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- On call, demand in Europe has "tailed off more than we thought." Some slowdown in Asia but main culprit is Europe. Looks like U.S. has stabilized. Mgmt. says "the news is Europe, the surprise is Europe." SUNW -0.70 vs. 4 p.m. close
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- On call, pricing looks comparable to last quarter. The shortfall relative to expectations is driven by macroeconomic conditions. Mgmt does not expect gross margin improvement sequentially... expects gross margins "in the same range as Q2 and Q3." SUNW -0.70 vs. 4 p.m. close
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- As a mid-quarter call, mgmt will not address long term growth implications. Expects backlog reduction in the range of $200 mln to $250 mln. SUNW -0.68 vs. 4 p.m. close
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- On call, mgmt. expects pro forma Q4 net income in the range of 2 to 4 cents. SUNW -0.52 vs close.
Lucent Tech (LU) 8.32 -1.08: -- Update -- Companies confirm that they were in merger talks, but that the talks have not produced an agreement and have been terminated.
PUMATECH (PUMA) 3.95 -0.46: Reports Q3 loss of $0.11 a share, in line with the First Call consensus of ($0.11); revenues rose 29.1% to $10.35 mln from a year-ago of $8.01 mln; see press release.
Solectron (SLR) 22.92 -1.49: Company announces that it has acquired Cisco's (CSCO) Dense Wave Division Multiplexing (DWDM) multiplex, demultiplex, and add/drop optical module manufacturing capabilities, and assumes responsibility for Cisco's manufacturing of these modules for the next two years; see press release.
Sun Microsystems (SUNW) 18.67 -1.80: -- Update -- Company warns for Q4; sees $0.02-0.04 versus the current EPS estimate of $0.06; revenues are expected to be $3.8-4.0 bln -- below Mar qtr revenues of $4.095 bln and current estimates of $4.35 bln. Company does not cite factors for the shortfall; conference call begins at 16:30 ET; see press release.
Telik (TELK) 7.25 +0.08: Company announced that a Phase 2 trial of its TLK286 drug candidate has been initiated in the treatment of refractory ovarian cancer patients. This is the second Phase 2 trial of TLK286 and follows the initiation of a Phase 2 trial in refractory colon cancer patients in March 2001.
Sun Microsystems (SUNW) 18.67 -1.80: Trading halted in SUNW; unclear if this indicates that a press release might precede the 16:30 ET mid-qtr conference call. |
