MSO Makes A New High–Here’s Why

Stocks were lower, with the Nasdaq–and especially
Internet stocks–hit especially hard on Amazon’s earnings.  The
Dow staged a small rally mid-day but still closed in the red.

Amazon

(
AMZN |
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Chart |
News |
PowerRating) reported 0.35 vs 0.40, pro forma, missing estimates. Revenues beat
at $2.54 billion vs a $2.4 billion expectation, but margins were weak.  The
stock fell 14% on heavy volume.

Boeing
(
BA |
Quote |
Chart |
News |
PowerRating)
reported earnings that beat by 0.18, but Q4 profit was lower on charges related
to the closing of its 717 program and the cancellation of an Air Force tanker
order. Net income fell 84%; revenue rose 1%. The company expects to deliver 320
planes in 2005.

Cyberonix
(
CYBX |
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Chart |
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PowerRating) was given approval to sell an implantable device
to treat chronic depression. The stock rose 42%.

Martha Stewart Living
(
MSO |
Quote |
Chart |
News |
PowerRating) was in focus on news she will host
"The Apprentice: Martha Stewart."  MSO rose 4.64%

January retails sales were mixed; many companies blamed the weather. Teen
retails, though, were strong. Factory orders rose 0.3% last month; economists
were expecting a 0.6% gain. Worker productivity slowed to an 0.8% annual rate,
the smallest gain in almost four years. Jobless claims for the week of 1/29 fell
unexpectedly by 9,000 to 316,000; the 4-week moving average 331,500.

Costs are going up. Whirlpool
(
WHR |
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News |
PowerRating) announced it would be raising
prices due to higher raw material costs.

In case you’re wondering, Super Bowl ads this year are going for $2.4
million—for a 30-second spot.

After the close, DoubleClick
(
DCLK |
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Chart |
News |
PowerRating) reported 0.08, beating by
0.03. Avid Tech
(
AVID |
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Chart |
News |
PowerRating) beat by 0.02, ex-items. American Power
Conversion [APCC|APCC} beat by 0.01.

Stocks in the News

Raytheon
(
RTN |
Quote |
Chart |
News |
PowerRating) beat the Street, citing higher military spending;
the company also reaffirmed 2005 guidance.

JC Penney
(
JCP |
Quote |
Chart |
News |
PowerRating) raised guidance for Q4.

Starwood
(
HOT |
Quote |
Chart |
News |
PowerRating) reported 0.57, pro-forma,  vs a 0.45 estimate.

Mylan
(
MYL |
Quote |
Chart |
News |
PowerRating) missed by 0.05 and lowered guidance