eSpeed (ESPD) 20.17 +0.32: USB Piper Jaffray initiates coverage with a BUY rating and a price target of $25-27; believes company is
uniquely positioned to provide infrastructure for brokerages while expanding into new vertical markets.
Cheap Tickets (CTIX) 13.05 +0.76: Legg Mason upgrades to STRONG BUY from MARKET PERFORM with a price target of $18;
cites company's exceptionally attractive valuation and several potential catalysts that could improve both business and the share price in the
coming months: plans to launch an updated Web site, deal with Delta Airlines will broaden the amount of fares and destinations
offered, effective advertising driving volume and eastern U.S. Cheap Tickets announces it will open its fifth call center in Tampa.
Intl Rectifier (IRF) 62.26 -2.74: Stephens Inc downgrades to NEUTRAL from MARKET OUTPERFORM; cites recent run in stock
price and cautious near-term outlook; concerned with the level of inventories at distributors and the slowing demand for the more
commodity-like products.
Nortek (NTK) 28.97 -0.03: Manufacturer and distributor of building products announces plans to conduct an offering of approximately
$225 mln of senior subordinated notes due 2011; see press release.
FreeMarkets (FMKT) 14.40 +2.18: Prudential upgrades to BUY from HOLD after company agrees to terminate its merger agreement
with privately-held Adexa; companies will instead enter into non-exclusive cross-selling relationship; Prudential believes the termination of
the merger reduces execution risk significantly and allows FreeMarkets to concentrate on its core competency, sourcing; raises price target
to $20 from $12.
LM Ericsson (ERICY) 6.10 -4.69: Announces a frame agreement to provide its comprehensive IP backbone network, which includes
Juniper Networks (JNPR) leading IP backbone technology, to global customer France Telecom; the solution, support and services will
enable France Telecom Long Distance to offer IP backbone traffic with even higher bandwidth and quality of service; see press release.
11:00 -- 12:00 ET (Updated throughout the hour)******
Online Resources (ORCC) 2.15 +0.15: Internet application service provider to financial institutions announces the repurchase of
$3.5 mln of its series of convertible subordinated notes due 2005, resulting in a one-time gain of approximately $1 mln, after amortization
of financing origination costs; see press release.
Paychex (PAYX) 38.63 -1.36: CE Unterberg Towbin initiates coverage with a BUY rating and price target of $46; belives market
is under penetrated and sees growing opportunity; several newer, higher-value services should enhance both per customer revenue and its
overall margins.
Dycom Industries (DY) 20.70 +0.84: Friedman Billings upgrades to ACCUMULATE from MARKET PERFORM following
yesterday's earnings release; believes $25 mln repurchase program suggests management's improved visibility in the near term; 12-month
price target is $23-$25 per share.
Unilab (ULAB) 21.60 5.60: Provider of laboratory testing services opens at $21.80 after pricing 6.7 mln IPO shares at $16; Salomon
Smith Barney and CSFB served as joint lead underwriters; see press release.
Quantum DLT (DSS) 12.03 -0.22: Salomon Smith Barney downgrades to NEUTRAL from OUTPERFORM and lowers price target to
$12 from $14; believes the ongoing economic downturn will continue to challenge company as evidenced by sluggish Q4 (Mar) results with
revenue down 16%; April and May have offered few signs of a recovery; company is continuing its search for a CFO, placing longer-term
strategic initiatives on hold until a successor is able to start making major contributions.
Amazon.com (AMZN) 15.99 -0.45: Janney Montgomey Scott upgrades to ACCUMULATE from HOLD following Analyst Day;
encouraged by management's consistent level of enthusiasm; focus was quite clear and company's mission is operational excellence; raises
12-month price target to $22 from $15.
Procter & Gamble (PG) 66.05 +1/97: Lehman Brothers upgrades to BUY from MARKET PERFORM with a price target of $69;
perceives this as a good trading opportunity in front of their June 15 outlook meeting; expects the meeting to highlight more aggressive
actions to reduce asset base, FY02 recurring earnings growth to be confirmed and previously stated long-term growth targets to remain in
place.
10:00 -- 11:00 ET (Updated throughout the hour)******
GoTo.com (GOTO) 25.44 -1.20: -- Update -- Merrill Lynch downgrades near-term outlook to NEUTRAL from ACCUMULATE
based on valuation; stock has more than doubled in approximately the past month or so; believes fundamentals are intact; although upside
to estimate wouldn't surprise Merrill, given the valuation and the recent run in the stock firm believes it is prudent to wait for a for a better
entry point.
Guilford Pharm (GLFD) 22.95 -0.83: Announces that its supplemental New Drug Application to the U.S. Food and Drug
Administration has been accepted; company seeks approval to expand the labeled indication for GLIADEL Wafer (polifeprosan 20 with
carmustine implant) to include first line therapy in patients newly diagnosed with malignant glioma; see press release.
Southwest Air (LUV) 18.74: Raymond James downgrades to MARKET PERFORM from BUY; negative impact from the softness in
the economy is having a more pronounced effect on Southwest traffic, which Raymond Janes believes may cause company to become more
aggressive with fare promotions in order to curtail its weak traffic growth; street estimates are likely to be reduced further.
Actuant (ATU) 16.20 +0.14: Company warns Q3 (Jun) will be below most recent guidance; current First Call estimate is $0.50; sales
from continuing businesses are down approximately 8% from year-ago and came in slightly lower than $125 mln guidance; modest product
mix changes contributed to shortfall; see press release.
E*TRADE (ET) 7.94 -0.06: USB Piper Jaffray initiates coverage with a BUY rating and a price target of $10-12; says company is in
the midst of transition to full service online financial services organization.
Russell (RML) 18.39 delayed: Athletic apparel company warns Q2 (Jun) will be $0.12-0.16 per share, current First Call estimate is
$0.27; company announces the closure of sewing operations affecting approximately 800 positions; see press release.
Neuberger Berman (NEU) 77.50 -3.04: Files a registration statement with the Securities and Exchange Commission for a proposed
secondary offering of up to 5.2 mln shares of its common stock, including approximately 700,000 shares which may be sold pursuant to
the underwriters' over-allotment option; see press release. |
