Bloomberg the Company

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Follow Us

Industry Products

Markets & Finance

Still Hold Stewart & Stevenson


Stewart & Stevenson Services (SSSS):

Maintain 3 STARS (hold)

Analysts: Michael Jaffe, James Sanders

The stock is sharply higher after the company is awarded a $374 million one-year contract extension to build Medium Tactical Vehicles for the U.S. Army. Deliveries under the award will take place Oct. 2 through Sept. 3. S&P still sees $1.25 EPS in fiscal 2002 (Jan.), but it is putting its $1.44 per share forecast for fiscal 2003 under review for a likely increase. Despite today's positive news, the difficult outlooks for the company's power products, petroleum equipment and airline products businesses temper S&P's enthusiasm for the shares.

Yahoo (YHOO):

Maintain 1 STAR (sell)

Analyst: Scott Kessler

Yahoo will likely be the acquirer of HotJobs.com as TMP Worldwide says it will not sweeten its offer. TMP said it would not alter terms of its agreement to acquire HotJobs for $355 million in stock. Because HotJobs on Dec. 24 deemed Yahoo's cash/stock offer valued at $436 million to be superior to TMP's, Yahoo will likely win the deal and pay a transaction break-up and legal fees to TMP of up to $17 million. Although the purchase would provide Yahoo more non-advertising revenues, HotJobs is much too small to have a notable favorable mix impact. The pending deal adds higher risk to overvalued Yahoo shares.


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus