The majority of the most actively traded stocks on Wednesday were making big moves to the upside as investors reacted to merger news and earnings updates.
Cablevision Systems jumped 8% after the cable broadcasting company confirmed that the Dolan family will take it private for $10.6 billion. The offer of $36.26 a share is 20% above the controlling family's previous offer. The stock has almost doubled in the past year.
Nortel Networks issued first-quarter guidance above analysts' estimates, prompting gains of more than 5%. The Canadian networking company said it expects quarterly revenue to rise 4% to $2.48 billion, above analysts' forecast of $2.37 billion, and also maintained 2007 revenue guidance.
"Nortel is a well-positioned vendor and should continue to benefit from its CDMA and enterprise businesses in the near future," said Prudential analyst Inder Singh, in a client note Wednesday.
MasterCard shares advanced 10% amid heavy trading volume after the credit card company said first-quarter earnings and revenue rose due to growth in international cardholder purchases.
Time Warner rose more than 2% on above-average volume after it reported first-quarter profit that beat Wall Street expectations, boosted by subscriber growth and higher Internet advertising sales. The world's largest media company reported earnings of $1.2 billion, or 31 cents a share.
Cavium Networks surged 25% above its initial public offering price of $13.50 in its first day of trading. The specialty chipmaker, which priced the offering above its initial range of $10 to $12, began trading on the Nasdaq under the ticker symbol CAVM.