Big Earnings Week, Here Are The Early Results
Stocks are lower as Wall Street awaits this week’s earnings reports from 1500
companies. Synopsys
(
SNPS |
Quote |
Chart |
News |
PowerRating)
will terminate its merger agreement with Monolithic Systems
(
MOSY |
Quote |
Chart |
News |
PowerRating).
MOSY fell 40% on the news. Synopsys will pay a $10 million termination fee and
gave no reasons for the move. McDonald’s
(
MCD |
Quote |
Chart |
News |
PowerRating) CEO Jim Cantalupo
death of an apparent heart attack sent shares down
3% before MCD recovered most of its losses. Current COO Charlie Bell was named
CEO.
Eli Lilly
(
LLY |
Quote |
Chart |
News |
PowerRating)
reported earnings of $400.4 million with revenue up 17% at $3.38 billion. Total
net income fell by 2% with global sales volume up 10%. Excluding one-time
charges, Eli earned 70 cents, 4 pennies ahead of consensus. Its Zyprexa sales
rose 15% with Gemzar sales up 19%.
| Dow | -32.58 |
10419.32 |
| S&P 500 |
-1.82 | 1133.58 |
| Nasdaq | +11.15 |
2006.92 |
The day’s leading sectors are
Biotechs
(
BTK.X |
Quote |
Chart |
News |
PowerRating) +2.09%, Disk Drives
(
DDX.X |
Quote |
Chart |
News |
PowerRating) +1.25%,
Internet
(
ECM.X |
Quote |
Chart |
News |
PowerRating) +1.06%, and Semis
(
SOX.X |
Quote |
Chart |
News |
PowerRating) +0.67%
Weak today are Airlines
(
XAL.X |
Quote |
Chart |
News |
PowerRating) -1.10%, and Gold and Silver
(
XAU.X |
Quote |
Chart |
News |
PowerRating) -1.08%
Economic news releases today
included leading indicators up 0.3%.
10-year Notes are -25 at
111 175
The dollar
is -0.14 at 90.10
Gold is +0.10 at 401.70
Crude oil is +0.21 at
37.20
Volume is 552,000,000 on
the NYSE, and 800,000,000 on the Nasdaq.
Market breadth is mixed.
| NYSE | Issues | |
| Advancing |
1383 | Up Vol 217 |
| Declining | 1732 | Down Vol 316 |
| Ratio | 1.29 | 1.47 |
| Nasdaq |
||
| Advancing |
1447 | Up Vol 530 |
| Declining |
1551 | Down Vol 249 |
| Ratio | 1.07 | 2.18 |
Top Dow stocks are:
Coca-Cola
(
KO |
Quote |
Chart |
News |
PowerRating),
+2.52% at 53.25, Microsoft
(
MSFT |
Quote |
Chart |
News |
PowerRating), +1.39% at 25.48, Altria
(
MO |
Quote |
Chart |
News |
PowerRating),
+0.93% at 56.43, and Intel
(
INTC |
Quote |
Chart |
News |
PowerRating) +0.86% at 26.62.
Stocks in the news:
ImClone Systems
(
IMCL |
Quote |
Chart |
News |
PowerRating) traded higher after the FDA agreed to review its Erbitux plant. Banc
of America Securities initiated coverage on IMCL and set a price target of $90.
Printer maker Lexmark
(
LXK |
Quote |
Chart |
News |
PowerRating) reported
earnings of $121 million with revenue up at $1.26 billion. For the next quarter
it expects earnings to reach 93 cents a share with revenue growth in the high
single digits.
3M
(
MMM |
Quote |
Chart |
News |
PowerRating) posted earnings of $722
million with revenue up at $4.94 billion. Full year EPS was also raised to
$3.60-$3.70.
Wachovia’s
(
WB |
Quote |
Chart |
News |
PowerRating) net income rose to
$1.25 billion on revenue of $5.68 billion. Its capital management division
experienced a 90% increase in profit with corporate and investment banking up
62%.
Brice Wightman
bricew@tradingmarkets.com