Adobe Systems, Darden Restaurants, and News Corp. CINCINNATI--(BUSINESS WIRE)--Aug. 24, 2005 Among the stocks featured in the August 24 edition of Schaeffer's S&P 500 Index Hot Stocks are OfficeMax (NYSE:OMX), Coach (NYSE:COH), Adobe Systems (NASDAQ:ADBE), Darden Restaurants (NYSE:DRI), and News Corp. (NYSE:NWS). Schaeffer's S&P 500 Index Hot Stocks is just one of the many free market commentaries written everyday at www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research. For additional information about this report or to have it delivered to you free via email every day click on the following link. http://www.schaeffersresearch.com/redirect.aspx?CODE=PRSHS1M&PAGE=1 . Schaeffer's S&P 500 Index Hot Stocks for Wednesday, August 24, 2005: A daily feature available on SchaeffersResearch.com is the "SPX Hot Stocks" column. Each afternoon, we will provide a list of the day's top-20 performing stocks in the S&P 500 Index (SPX - 1,2132.51) as well as the bottom-20 names. Featured along with this table will be news that is moving some of the securities. NOTE: Stocks trading under $5 per share have been eliminated from this listing of the top-20 and bottom-20 performing stocks. Heavy selling has taken over heading into the final minutes of this Wednesday session of trading. The oily ghost of record high oil prices is being held responsible for the broad-based sell off, as the October futures contract hit a new record of $67.40 per barrel. With less than an hour left in the trading session, the SPX has lost 3.97 points, or 0.33 percent, with 56 of its 500 members clinging to positive territory. Earnings, merger news, and analyst activity are responsible for the majority of today's hot and cold stocks on the SPX. Leading things off, OfficeMax (NYSE:OMX) was the lucky beneficiary of an upgrade from Credit Suisse First Boston to "outperform" from "neutral," resulting in a more-than-five-percent surge in the shares heading into the final hour of trading. The brokerage firm attributed the upgrade to "higher confidence that either new management will fix the easy execution issues or the company will be broken up." Technically, OMX has surged above its 10-day and 20-day moving averages, but appears to have hit a snag at resistance in the 29 area. Falling in the earnings category, Coach (NYSE:COH) announced that its results for the first quarter are tracking ahead of expectations. For the quarter, COH now expects earnings of 25 cents per share on sales of at least $445 million, blowing past the Street's expectations for a profit of 24 cents per share on sales of $442.7 million. For the year, the company expects earnings of at least $1.25 per share on sales of $2.1 billion. Despite this news, and the subsequent 4.78-percent surge, the shares are having trouble with resistance at their 20-day and 10-week moving averages in the latter half of today's session. Yesterday afternoon, Oppenheimer stated that it expects Adobe Systems (NASDAQ:ADBE) and Macromedia (MACR) shareholders to approve the merger between the two when they meet after the bell on Wednesday. This was apparently encouraging news for investors, as ADBE has rallied more than three percent and taken out its 10-day and 20-day moving averages in the process. With no discernable news crossing the wire, Darden Restaurants (NYSE:DRI) has plunged more than 3.5 percent so far today. The shares have been trending lower for the better part of the past four weeks, and have now taken out former support at their 10-week and 20-week moving averages. The last time the equity breached this double-barreled support was in mid-March. Sticks and stones may break your bones, but analyst downgrades can really hurt you. Freeport-McMoran (FCX) is finding this out the hard way today, as BMO slashed its rating on the stock to "market perform" from "outperform." However, while the downgrade has pushed the shares lower by more than one percent so far, FCX appears to be holding tightly to support in the 40 area, home to its rising 10-week moving average. Bringing up the rear and accounting for the merger-and-acquisition portion of today's edition of hot stocks is News Corp. (NYSE:NWS). According to the London Times, NWS is planning to sell Dutch radio broadcaster Sky Radio. The Times cited an e-mail to employees as its source. Also according to the report, Rupert Murdoch, NWS chairman and CEO, believes that the popularity of digital music players is drawing listeners away from radio, brining the future of radio into question. Now, while the announcement of a sale usually brings about a rise in the shares of the selling party, NWS has given back roughly 1.5 percent so far on the news. Apparently investors aren't ready to give up the ghost on radio just yet. Click the following link to see a Chart of the SPX 500 Index's Top-20 Percentage Gainers: http://www.schaeffersresearch.com/wire?ID=13962 . Click the following link to see a Chart of the SPX 500 Index's Top-20 Percentage Losers: http://www.schaeffersresearch.com/wire?ID=13962 . Take advantage of the timely Schaeffer commentaries by signing up for their free e-newsletters -- Opening View, Market Recap and Monday Morning Outlook. Click here to have the Schaeffer's commentaries delivered to you free via email every day. http://www.schaeffersresearch.com/redirect.aspx?CODE=PRSHS1M&PAGE=1 . About Schaeffer's Investment Research (www.SchaeffersResearch.com) Schaeffer's Investment Research, founded by Bernie Schaeffer in 1981, is a financial information and trading resources company. It publishes Bernie Schaeffer's Option Advisor, the nation's leading options subscription newsletter. The firm's contrarian approach focuses on stocks with technical and fundamental trends that run counter to investor expectations. The firm's website, http://www.SchaeffersResearch.com , is recognized as one of the leading information sources for stock and options traders and was cited as the top options website by both Forbes and Barron's. Click here for more details about Schaeffer's trading methodology: http://www.SchaeffersResearch.com/method . CONTACT: Schaeffer's, Cincinnati Jocelynn Drake, 513-589-3800 firstname.lastname@example.org
Schaeffer's S&P 500 Index Hot Stocks Features OfficeMax, Coach,
Press spacebar to pause and continue. Press esc to stop.