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Issues on outperform list post solid gains; Sprint, left at the altar, falters
June 28, 2000: 3:33 p.m. ET
NEW YORK (CNNfn) - Seven members of Lehman Brothers' list of 10 companies it expects to outperform the market performed exceptionally well Wednesday, and some technology stocks bounced back after a grim day Tuesday.
But stock in IXYS, a semiconductor maker, took a beating after the company announced it is the target of a patent suit.
Wednesday's winners
Bea Systems Inc. (BEAS: Research, Estimates) up 7-9/64 to 46-5/64.
Cendant Corp. (CD: Research, Estimates) up 1-5/16 to 14-3/16.
Gemstar International Group Ltd. (GMST: Research, Estimates) up 4-1/4 to 54-1/8.
Hewlett Packard Co. (HWP: Research, Estimates) up 7-5/16 to 123-15/16.
Juniper Networks Inc. (JNPR: Research, Estimates) up 11-7/16 to 137-7/8.
Tellabs Inc. (TLAB: Research, Estimates) up 5-3/8 to 68-1/16.
Agilent Technologies (A: Research, Estimates) up 4-1/16 to 79-1/2.
Bea Systems, Cendant, Gemstar International, Hewlett Packard, Juniper and Tellabs were among the 10 stocks named by Lehman Brothers as likely to outperform the market in the next year. Other stocks on the Lehman list included Eli Lilly (LLY: Research, Estimates), Micron Technology (MU: Research, Estimates), and Nortel Networks (NT: Research, Estimates).
CMGI Inc. (CMGI: Research, Estimates) up 4-1/2 to 49-1/4.
Macromedia Inc. (MACR: Research, Estimates) up 7-3/8 to 95-3/8.
Marimba Inc. (MRBA: Research, Estimates) up 2-3/8 to 14-7/8.
Analyst Steven Frankel of Adams Harkness & Hill said there will be a "nice snapback" in the Internet sector after a wide sell-off Tuesday. "Things got pretty ugly toward the close" Tuesday, Frankel said. "Today (Wednesday), you've seen a broad rebound."
CSX Corp. (CSX: Research, Estimates) up 2-3/16 to 22-3/4.
Troubled railroad CSX has become the latest target of financier Carl Icahn.
Lexicon Genetics Inc. (LEXG: Research, Estimates) up 7-15/16 to 34-7/8.
Lexicon Genetics announced that it has been issued a patent for its proprietary gene-trapping technology.
Amkor Technology Inc. (AMKR: Research, Estimates) up 5-13/16 to 35. The independent provider of semiconductor packaging and test services said Tuesday that second-quarter revenue and earnings per share would not meet expectations because of a production shift for a major customer, tight semiconductor wafer supply, and manufacturing problems in the Philippines. But Mark Grossman, an analyst at SG Cowen Securities Inc., said the issue seems to be isolated to one quarter and that investors are expecting the company to bounce back.
WorldCom Inc. (WCOM: Research, Estimates) up 5-3/8 to 45-1/16. WorldCom may seek to get out of the long-distance telephone business in the wake of a Justice Department lawsuit to block the telecom company's $129 billion buyout of Sprint Corp., according to a news report Wednesday.
Conseco Inc. (CNC: Research, Estimates) up 3/4 to 7-1/4. The financial services company has selected Gary C. Wendt, credited with turning GE Capital Services into a financial-services powerhouse, as the chief executive to turn the company around, the Wall Street Journal reported.
Amazon.com (AMZN: Research, Estimates) up 1-1/4 to 37-3/4.
ABN Amro initiated coverage of Amazon.com, giving it a "buy" rating.
Tech-Sym Corp. (TSY: Research, Estimates) up 4-3/8 to 28-1/2.
Veritas Capital Fund LP agreed to acquire the defense technology company Tech-Sym for $30 a share.
SCI Systems Inc. (SCI: Research, Estimates) up 5-1/16 to 30-1/16.
Electronics company SCI Systems rebounded from a Tuesday slump.
Startec Global Communications (STGC: Research, Estimates) up 2-7/8 to 13-5/8.
Internet communications company Startec Global announced it has been chosen by China Telecom to deliver inbound and outbound voice-over-Internet services in the Chinese market.
Embarcadero Technologies Inc. (EMBT: Research, Estimates) up 6-1/2 to 32-1/2.
Database-management company Embarcadero Technologies announced a venture with Rational Software's Unified Partner Program.
Transcontinental Realty Investors Inc. (TCI: Research, Estimates) up 2-5/8 to 10-5/16.
Real-estate investment trust Transcontinental Realty Investors announced the resignation of two members of its board of directors.
Wednesday's losers
Sprint Corp. (FON: Research, Estimates) down 5-7/16 to 52-15/16.
While rewarding WorldCom for backing away from a Sprint merger, investors punished Sprint.
IXYS Corp. (SYXI: Research, Estimates) down 18-5/8 to 46. The semiconductor maker said it is being sued by International Rectifier Corp. for patent infringement.
Genuity Inc. (GENU: Research, Estimates) down 1-19/32 to 9-13/32.
Internet infrastructure company Genuity's eagerly anticipated initial public offering appeared to buck the recent surge in Internet infrastructure companies going public when shares slipped below the $11 offering price.
Mack-Cali Realty Corp. (CLI: Research, Estimates) down 2-1/16 to 24-15/16.
Prentiss Properties Trust (PP: Research, Estimates) down 3 to 22-15/16.
Mack-Cali said it is buying Prentiss Properties Trust for $2.3 billion, including a $975 million stock swap, creating the nation's fourth-largest office real estate investment trust.
Dial Corp. (DL: Research, Estimates) down 2-3/16 to 10-7/8.
Soap maker Dial said it expects earnings for its first half and fiscal 2000 to fall about 30 percent, well below last year's results and analysts' expectations.
AAR Corp. (AIR: Research, Estimates) down 1-9/16 to 11-11/16.
AAR Corp. reported fiscal fourth-quarter earnings of $6.47 million excluding one-time items, or 20 cents a share, compared with $11.7 million, or 42 cents a share, in the year-earlier period, and well below First Call's consensus forecast of 40 cents a share.
US LEC Corp. (CLEC: Research, Estimates) down 6-3/4 to 15-7/8.
US LEC stock took a beating despite winning a controversial victory over BellSouth (BLS: Research, Estimates) in a dispute over Internet connections.
Tele Sudeste Celular (TSD: Research, Estimates) down 7-1/2 to 36-1/2.
Spanish Telefonica's offer to swap its shares in the form of Brazilian depositary receipts (BDRs) for those of its Brazilian subsidiary Tele Sudeste Celular expires Friday.
-- compiled by Staff Writers Antoinette Coulton and Mark Gongloff from staff and wire reports<<< |
