Wall Street plunged on Thursday morning, continuing its week-long streak of
volatility after disappointing home sales figures added to investors' growing
fear of the subprime and lending markets. New home sales fell 6.6% last month,
the largest percentage drop since sales fell by 12.7% in January.
Among the premarket movers this morning are a number of stocks with
attractive PowerRatings (for Investors). A PowerRating of 10 is highest, and our
data from 1995 through 2006 show that stocks with high PowerRatings have
historically
outperformed over the next
twelve months. Below are the price movement in premarket trading. The theme this
morning for all three stocks was strong earnings and weak guidance. All three
stocks are trading lower in premarket activity. But since these stocks all have
attractive PowerRatings, this morning's weakness could be a short-term pullback
that signals a buying opportunity.
|
Stock |
%
Gain |
PowerRating |
| Hanesbrands Inc. |
13.8% |
8 |
| Owens-Illinois Inc. |
12.7% |
8 |
| Graco Inc. |
6.5% |
8 |
| Triumph Group |
5.7% |
10 |
| Goodrich Corporation |
5.5% |
10 |
- Hanesbrands Inc. (HBI@HBI | Quote | Chart | News | PowerRating) is up 13.8% on Thursday
morning to $30.32. This took the shares to a new all-time high. The surge
comes despite the news that second-quarter profits were down 57% from last
year.
Net income of the Winston-Salem, North Carolina-based company dropped 57.1% to
$25.43 million or $0.26 per share from $59.29 million or $0.62 per share
reported in the same period last year.
On average, three analysts surveyed by First Call/Thomson Financial expected
the company to earn $0.20 per share.
HBI's market cap is $2.95 billion and it has a high PowerRating of 8.
- Owens-Illinois Inc. (OI@OI | Quote | Chart | News | PowerRating) is up 12.7% on Thursday morning
to $39.47 and has a high PowerRating of 8.
Owens-Illinois Inc. (OI) announced that its second quarter net earnings
available to common share owners were $144.3 million, compared with $37.2
million for the second quarter of 2006.
The Company reported net earnings per share of $0.89 for the second quarter of
2007 compared to $0.24 per share for the same quarter last year.
OI's market cap is $6 billion and its shares are up 110% since January.
- Graco Inc. (GGG@GGG | Quote | Chart | News | PowerRating) shares added 6.5% to $40.41. The
Minneapolis, Minnesota based company's second quarter net earnings of $44.2
million or $0.66 per share, up from $41.3 million or $0.60 per share in the
prior year quarter. On average, nine analysts polled by First Call/Thomson
Financial expected earnings of $0.61 per share for the quarter.
Net sales for the quarter grew to $231.4 million, up 6% from $218.6 million in
the corresponding quarter a year ago. The Street estimated revenues of $225.07
million for the quarter.
GGG has a high PowerRating of 8 and has a market cap of $2.7 billion.
- Triumph Group (TGI@TGI | Quote | Chart | News | PowerRating) gained 5.7% to $73.98 and has the highest PowerRating of
10. Airplane manufacturer Boeing Co. (BA) announced Wednesday
morning that it swung to profit for the second quarter as the year-ago quarter
was hurt by charges. On an adjusted basis, earnings surged on strong volume
and productivity gains apart from a 14% upside in top line helped by increased
deliveries. Both earnings and revenues came in well above the Wall Street
analysts' estimates.
The company witnessed a record backlog of $279 billion at the end of the
second quarter. Buoyed by robust backlog and delivery coupled with better
operating margin, the company lifted its 2007 earnings forecast while
reaffirming its 2008 earnings target.
TGI's market cap is $1.2 billion and its shares are up 42% year-to-date.
- Goodrich Corp. (GR@GR | Quote | Chart | News | PowerRating) rose 5.5% to $64.16 and has the highest
PowerRating of 10.
Supplier of aerospace and defense systems Goodrich Corp. on Thursday morning
posted a 54% growth in its second quarter profit, aided by higher sales,
mainly from commercial airplane aftermarket and defense and space sales.
Favorable sales mix and improved operational performance in most business
units also impacted the results positively. The Charlotte, North
Carolina-based company said its each of the three segments contributed to the
9% rise in sales.
Moving ahead, the company lifted its fiscal year 2007 earnings and revenue
forecast significantly, above analysts' consensus, reflecting improved
performance. Separately, Goodrich revealed the extension of a landing gear
deal with Boeing Co. (BA@BA | Quote | Chart | News | PowerRating).
GR's market cap is $7.9 billion and its shares are up 39% year-to-date.
