Edit: OR, The European markets are taking it on the chin. This may be a great buy the dip type of day but only for the brave... Of course, BRCM gets an upgrade and ALTR did talk about increasing revenues, so the SOX might be a place to be careful going short...here are the ALTR and BRCM comments. NOK as well. The life insurers are going to walk the plank...
07:38 ET Altera raises Q1 guidance (ALTR) 11.66: CSFB notes that ALTR raised its Q1 rev guidance to a +4% QoQ growth from its previous guidance of flat to up/down 2%; firm raises Q1 rev/EPS ests to $187.9 mln/$0.08 from $180.6 mln/$0.07, but says the stock is fully valued. Target is $12.
07:37 ET Fannie Mae to issue $250 mln in preferred stock (FNM) 59.25: The issue is expected to price sometime this week. Proceeds from the issue will be used for general corporate purposes, including the repurchase of common shares.
07:36 ET WPP Group plc to review its sole-source ad pact with WPP (WPPGY) 26.76: Dow Jones reports that Ford Motor Pres Nick Scheele said the automaker will reopen and review its sole-source advertising agreement with WPP Group, which he had previously approved. The move by the auto maker was an abrupt reversal and could mean a less advantageous agreement for WPP, the article concludes.
07:34 ET Talbots beats by a penny (TLB) 23.02 -0.41: Reports Q4 (Jan) earnings of $0.48 per share, $0.01 better than the Multex consensus of $0.47; revenues fell 0.3% year/year to $431.8 mln vs the $430.4 mln consensus.
07:30 ET Nokia mentioned favorably in WSJ article (NOK)
12.90: The Wall Street Journal has an article discussing the similarities between Nokia and European utility stocks. The article highlights attributes such as its ability to generate cash in "unsettled times." To further support this parallel, the article interviews a London based fund manager who points to the co's market share dominance in handsets, proven business model and strong balance sheet. The consensus of the article suggests further optimism associated with the long-term outlook on the stock.
07:29 ET AOL Time Warner probe widened to "abetting" of other co's (AOL) 11.11: The Washington Post reports that the federal investigation of AOL and two of its former key execs has been broadened to include alleged "aiding and abetting" of schemes by other co's to artificially inflate reported revenue.
07:23 ET IBM and BellSouth team to offer e-biz services (IBM) 75.35: Companies announce an agreement to collaborate on the delivery of hosting and network services to business customers in the U.S.
07:22 ET US life assurers at risk due to junk exposure - FT : The Financial Times reports that the creditworthiness of some US life assurers is at risk due to their large exposure to junk bonds, according to yesterday's report from Moody's; co's with the exposure include: UNM, CNA, JHF, TMK, and PLFE.
07:21 ET MDU Resources raises 2003 guidance; strong natural gas/oil prices (MDU) 26.58: Co boosts 2003 outlook to a range of $1.90-$2.15 from previous guidance of $1.80-$2.05 (Multex consensus $2.03). "The continuing strength of natural gas and oil prices is expected to increase the earnings potential of the natural gas and oil production segment for the first quarter..."
07:11 ET Morning Briefing : U.S. equity futures dragged into the red by European market freefall. The UK's FTSE is down 3.6% on the day; Germany's DAX falls 2.75% to lowest level in 7 yrs amid heavy selling in blue chips... While uncertainty of war keeping investors around the world on the sidelines, several analysts are taking to the field with upgrades this morning. For example, Solly out with an upgrade of BRCM to In-Line from Underperform; TXU raised to Buy at Merrill; PHG upped to Overweight at JP Morgan; DAL upped to Overweight at JP Morgan... Chipmaker ALTR boosted in pre-market after issuing favorable rev guidance during mid-qtr update... With possibility that war may be pushed off 2-3 weeks, shorts will not be as compelled to cover positions this week. So would expect morose, choppy action to continue for now. |
