Delta Air Lower as Treasurer Departs
Delta Air Lines (DAL ) shares fell Tuesday after the airline replaced its treasurer with a former Delta assistant treasurer. S&P cut its price target on the stock to $1.50 and reiterated its sell opinion. Merrill reportedly downgraded the shares to sell from neutral.
Fluor (FL ) shares fell after the company posted a second-quarter loss per share of 19 cents, vs. 54 cents earnings per share one year earlier, as charges related to a jury verdict offset a 32% revenue rise. The company sees 2005 earnings per share of $1.55-$1.75, including a charge. S&P reiterated its hold rating. First Albany put its model under review.
Sotheby's (BID ) shares moved higher after the auction house posted second quarter earnings per share from continuing operations of 67 cents, vs. 66 cents, on 5.6% higher revenues. Wedbush Morgan reiterates buy.
Church & Dwight (CHD ) shares climbed after the personal-care products outfit posted second quarter earnings per share of 51 cents, vs. 30 cents, on a 30% revenue rise. The company continues to see at least $1.75 2005 earnings per share. S&P reiterated its buy opinion.
Click Commerce (CKCM ) shares fell sharply after the company posted second-quarter earnings per share of 33 cents, vs. 15 cents (non-GAAP), on a sharp revenue rise. Pacific Growth cut its estimates.
Vistacare (VSTA ) shares were solidly lower after the company posted lower-than-expected third quarter earnings pers hare of 6 cents, vs. an 11-cent loss per share, on a 20% revenue rise. The company says its average daily census growth remains slower than expected, while admissions growth declined sequentially. Vistacare sees a breakeven fourth quarter.
Goldman upgraded its investment rating on shares of Delphi (DPH ) to in-line. On Monday, Delphi said that if talks with unions don't lead to a plan to address legacy costs, it will consider other alternatives, including a Chapter 11 bankruptcy filing, for its U.S. business. The shares were higher Tuesday.
Shares of Elan (ELN ) and Biogen Idec (BIIB ) advanced after the companies said findings from a safety evaluation of Tysabri in patients with multiple sclerosis (MS) resulted in no new confirmed cases of progressive multifocal leukoencephalopathy (PML).
Polo Ralph Lauren (RL ) posted first-quarter earnings per share of 48 cents, vs. 12 cents, on a 27% sales rise. The company sees second-quarter consolidated revenue growth in the low double digits. It raised its fiscal 2006 earnings per share forecast to $2.85-$2.92.
Blockbuster (BBI ) shares declined after the company posted a second-quarter loss of 22 cents (adjusted), vs. earnings per share of 27 cents, on 1.6% lower revenue. As a result of uncertainty and a continued decline in the rental industry, the company is no longer on track to achieve its 2005 guidance; it withdrew its previous 2005 guidance.
King Pharmaceuticals (KG ) shares rose after the company posted second quarter earnings per share (non-GAAP) from operations of 44 cents, vs. 5 cents, on a 68% revenue rise.
Cablevision (CVC ) shares ticked lower after the company posted a 6-cent second quarter loss per share, vs. a 54-cent loss from continuing operations, on 6% higher consolidated net revenue. S&P reiterated its hold rating.
Echostar Communications (DISH ) shares nudged higher after the company posted second quarter earnings per share (basic) of $1.89, vs. 18 cents, on an 18% revenue rise. Echostar notes that it posted second quarter earnings per share including a non-recurring, non-cash benefit of $1.31 to recognize tax benefits of previously reported tax losses. S&P reiterated its hold opinion.
E*Trade Financial (ET ) shares gained after the company announced plans to acquire Kobren Insight Management, a registered investment advisor that manages about $1 billion for private clients. The company expects the deal to contribute close to $10 million in revenues and $2.3 million in net income in 2006.
Clear Channel (CCU ) shares were lower after the company posted posted second quarter earnings per share of 40 cents, vs. 41 cents, on 1% lower revenue. The company reiterated its strategic plan for an IPO of its outdoor advertising business and a spinoff of its entertainment unit, and sees a related SEC form S-4 filing by Aug. 10. S&P reiterated its strong sell opinion.