Movers: Caterpillar, 3M, Schlumberger, Capital One, Google, SanDisk
Caterpillar (CAT) posts third quarter EPS of $1.40, vs. $1.14 a year ago, on 8.8% revenue rise. For 2007, it sees $44 billion in sales, EPS of $5.20-$5.60, vs. its previous forecast for $44 billion in sales, EPS of $5.30-$5.80. It says preliminary outlook for 2008 reflects a sales increase of 5%-10%, EPS up 5%-15% from mid-point of 2007 outlook range. Wachovia reiterates outperform, despite weaker-than-expected third quarter results.
3M Co. (MMM) posts third quarter EPS of $1.32, vs. $1.18 a year ago, on 5.4% sales rise. It raises $5.40-$5.60 2007 EPS guidance to $5.54-$5.62, which includes estimated full year 2007 net gain of $0.60-$0.65 per share, due to special items. But S&P says the company reduced top-end of its sales growth guidance on weak housing market and slower U.S. replenishment markets. S&P rrims estimates, keeps hold.
Schlumberger (SLB) posts third quarter EPS of $1.09, vs. $0.81 a year ago, on 19% revenue rise. It says that pressure pumping is showing signs of a deterioration in pricing, which it expects to continue. S&P reiterates buy.
Wachovia (WB) posts third quarter EPS of $0.89, vs. $1.17 a year ago, despite 4.3% rise in revenue (tax-equivalent). It notes that the disruption in capital markets resulted in valuation losses of $1.3 billion tax, reduced origination, distribution revenues in Corporate and Investment Bank.
Capital One Financial (COF) posts third quarter EPS of $2.09, vs. $1.89 a year ago, third quarter EPS from continuing operations on 25% higher net interest income. Including loss from discontinued operations of $898.0 million related to the shutdown of GreenPoint Mortgage, COF reported third quarter loss of $0.21. It still sees $5.00 2007 EPS. S&P maintains hold. Friedman Billings downgrades to market perform.
McDonald's (MCD) posts third quarter EPS from continuing operations of $0.83, vs. $0.68 a year ago, on 7.2% revenue rise.
Honeywell International (HON) posts third quarter EPS of $0.81, vs. $0.66 a year ago, on 9.8% sales rise. It raises 2007 sales guidance by $300 million to $34.2 billion, EPS guidance to $3.14-$3.16, free cash flow to $3.0 billion.
Advanced Micro Devices (AMD) posts $0.71 third quarter loss per share, vs. $0.27 EPS a year ago, as narrowed year-over-year gross margin, higher R&D and acquisitions costs offset 23% revenue rise. S&P reiterates hold.
Google (GOOG) reports third quarter EPS (GAAP basis) of $3.38, vs. $2.36 a year ago. Excluding one-time items, EPS was $3.91. Revenue rose 57% to $4.23 billion. The report was better than analysts expected.
SanDisk (SNDK) posts third quarter EPS (non-GAAP) of $0.54, vs. $0.61 a year ago, despite a 38% revenue. rise. It says prices will likely decline "moderately more" in the fourth quarter than in third quarter. It says it may not be able to meet 100% of the strong demand it sees through the fourth quarter holiday season. S&P says while third quarter EPS was below its estimate, upgrades to buy from hold.
Overstock.com (OSTK) posts $0.20 third quarter loss per share, vs. $1.19 loss a year ago, on 3.2% revenue rise. It posts $4.1 million third quarter EBITDA.
NYSE Euronext (NYX) will be added to S&P 500 after close of trading on Oct. 24, replacing Hilton Hotels, which is being acquired. S&P raises target, maintains buy.
Tempur-Pedic International (TPX) posts third quarter EPS of $0.49, vs. $0.
34 a year ago, on 22% sales rise. It raises 2007 guidance to EPS of $1.74-$1.76 on sales of $1.105-$1.115 billion. S&P ups target, reiterates hold.
Steven Madden (SHOO) receives inquiries from third parties with respect to acquisition of the company and shareholder communications urging that it explore alternatives to enhance shareholder value.
Intuitive Surgical (ISRG) posts third quarter EPS of $1.04, vs. $0.45 a year ago, on 64% revenue rise. S&P raises estimates, target, but keeps hold.
Xilinx (XLNX) posts second quarter EPS of $0.30, vs. $0.27 a year ago, as fewer shares offset 4.8% revenue decline. It sees 2%-6% quarter-to-quarter rise in third quarter revenue, with 62%-63% gross margin.
Harley-Davidson (HOG) posts third quarter EPS of $1.07, vs. $1.20 a year ago, on 5.8% revenue drop. It expects a modest decline in revenue, lower operating margin in 2007, EPS down 4%-6% from 2006. It sees moderate revenue growth in 2008, lower operating margin, EPS growth of 4%-7% from 2007.
Boston Scientific (BSX) posts third quarter EPS of $0.20 (adjusted), vs. $0.05 a year ago, on 1.1% revenue rise. It posts $0.18 third quarter loss, including acquisition- and divestiture-related charges. It sees $0.14-$0.19 fourth quarter adjusted EPS on sales of $2.05-$2.15 billion.
Avaya (AV) posts fourth quarter EPS of $0.19, vs. $0.17 a year ago (excluding items), on 4.8% revenue rise. It expects its private buyout by Silver Lake Partners and TPG Capital to close by the end of October.
Xerox (XRX) posts third quarter EPS of $0.27, vs. $0.23 a year ago, on 12% revenue rise. Year ago quarter excludes a $0.45 tax gain. It sees $0.39-$0.41 fourth quarter EPS, and $1.18-$1.20 for 2007.