BEFORE THE BELL: Merck Drops Bomb On Mkt, Manugistics Dn
By Chinita L. Anderson
Of DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--Merck & Co. (MRK) dropped a bomb on Wall Street Friday
morning, pushing pre-market activity into negative territory as the
"confessional" season continues.
The company's stock dropped $3.72 at $70.75, according to RediBook.com. The
powerhouse drug marker revised its second-quarter and full year outlook
because it doesn't expect Vioxx to reach "the top of its range" because of
slower than expected penetration of the coxib class into the analgesics and
arthritis market. The company also cited the adverse impact of foreign
exchange on its overall business.
The Whitehouse Station, N.J., company said it is comfortable with second
quarter estimates of 77 cents to 79 cents a share and 2001 earnings of $3.12
to $3.18 a share.
Manugistics Group Inc. (MANU) shares fell 14% to $31.46, according to
RediBook.com, after it reported adjusted first-quarter earnings of 3 cents a
share late Thursday. The Rockville, Md., company also said it expects
second-quarter adjusted earnings to be flat, in line with first-quarter
results.
Analysts polled by Thomson Financial/First Call had forecast the company
earning 4 cents a share for the second-quarter.
Symantec Corp. (SYMC) stock plumped $15.31 to $46.00, according to
RediBook.com. Late Thursday, the company lowered its first-quarter guidance
to between 39 cents and 47 cents a share, citing weak spending in the
consumer and small business segments worldwide and negative foreign currency
effects.
Twelve analysts surveyed by Thomson Financial/First Call had a consensus
estimate of 65 cents a share for the first quarter ending June 30.
On a more upbeat note, Research In Motion Ltd. (RIMM) shares rose $2.80 to
$32.20, according to RediBook.com, after it reported first-quarter earnings
of 5 cents a share, in line with analysts expectations. The Canadian company
also said it's maintaining a "positive outlook" for the second half of the
year.
-By Chinita L. Anderson, Dow Jones Newswires; 201-938-4513;
chinita.anderson@dowjones.com
(END) DOW JONES NEWS 06-22-01
09:04 AM
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