Stocks to Watch: GES, COF, AAPL & More
Senior Producer, CNBC
Take a look at some of Thursday morning’s early movers:
Guess? - The clothing maker is forecasting first-quarter earnings of 25 to 28 cents per share, well below estimates of 48 cents. It says consumers in Europe have been hit hard by austerity measures, which will impact a company that gets 40 percent of its total revenue from Europe.
Capital One - The company is announcing a $1.25 billion common stock offering, with the proceeds being used to fund its previously announced acquisition of HSBC’s U.S. credit-card business. It also said it expects first-quarter earnings per share of $1.35, excluding certain items, two cents below current Wall Street estimates.
Yahoo! - Hedge fund Third Point says it will begin a proxy fight within a week to put four directors on Yahoo’s board. Third Point says Yahoo’s lack of responsiveness to its proposed directors leave it no choice but to begin that fight. Yahoo says it’s giving fair consideration to all director nominees.
Sanofi - The shares could benefit today, as drugmaker Shire has pulled its U.S. application to sell its Replagal, a treatment for Fabry disease. Sanofi’s Genzyme unit makes Replagal competitor Fabrazyme.
RADVision - The Israeli video conferencing company is being bought by telecom-equipment maker Avaya in a deal worth $230 million. Reports that this acquisition was close were out during the trading day yesterday, so Radvision shares may already reflect most of the benefit of this deal.
Cisco Systems - Cisco is buying London-based NDS for $5 billion, including the assumption of about $1 billion in debt. NDS develops video and content security software, and is 49 percent owned by News Corp.. The deal is expected to close during the second half of the year.
eBay - Credit Suisse is downgrading eBay's stock to "neutral" from "outperform" on a valuation basis. The firm remains positive on eBay's long term prospects.
Joy Global - Bank of America Merrill Lynch is downgrading the mining equipment maker's stock to "neutral" from "buy," based on the ongoing shift in demand from coal to natural gas.
Apple - The stock continues to see its price target upgraded by Wall Street firms, with Bernstein pushing its Apple per-share target to $710 from $600, and Piper Jaffray raising its target to $718 from $670.
Tyson Foods - Moody's has raised its outlook for the food processor to "positive," setting the stage for a possible upgrade of the debt to investment grade. Tyson debt is currently rated Ba1, the highest "junk" level and one notch below investment grade.
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