Daily Archives: November 9, 2006

El Cramer’o Gusta Chipotle Mexican Grills!

On the second feature stock on CNBC’s MAD MONEY tonight, Cramer went over Chipotle Mexican Grill, Inc. (CMG). Cramer thinks pizza is out, look at California Pizza Kitchen (CPKI) down 10% at $28.35 after-hours from its earnings report, and fast Mexican food is in. Cramer said he is also a food critic, but the food critic and the investor can come together for burrito investing. Cramer said he was in denial that pizza sales were down and he thought it was maybe just a Domino’s (DPZ) issue, but he was wrong. Domino’s had had same store sales declines since Q4 of last year. Before Cramer even mentioned CMG the stock gapped over 2% to $58.00 in after-hours trading on NYSE/Archipelago trading. Cramer thinks burritos are the new pizza as far as popularity. He also said Papa John’s (PZZA) was one people are leaving for “Taco John’s.” Cramer also noted Jack-in-the-Box (JBX) for its Qdoba Mexican Grills (3% of JBX business), which he said that the place wasn’t bad. Cramer said he is hesitant to be a BUY BUY BUY, but it has come down a bit. Cramer said that salsa is now the number 1 condiment in America. Cramer said you may never replace pizza in America, but investors need to be in burritos as people are eating more Mexican food than pizza. CMG & JBX are trumping PZZA & DPZ.Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 9:31 pm in Uncategorized

Cramer’s MAD MONEY: Calls a Triple in NYSE (NYX)

Tonight on CNBC’s MAD MONEY Jim Cramer was discussing New York Stock Exchange (NYX).He said there is an $87.00 stock that is going to $250.00 in the next two-years: New York Stock Exchange (NYX). He said it is still noted by Wall Street as fully valued, but they are wrong. He said it doesn’t even matter that it was up $5.00 today and you would wonder why it isn’t up even more. He said there are no sellers of the stock. The specialists aren’t selling, the old Archipelago holders aren’t sellers. Cramer thinks a NYSE & Euronext combination could be huge. Cramer said he was shocked at how quiet the floor was yesterday because it is thinning out. Cramer thinks the floorless trading is coming soon rather than later. he said the 500 worker cut this week was 17% of its workforce and they recently closed 1 of the 5 trading rooms. He thinks this is a secular growth story. He thinks it is going to $250 because: 1) hybrid systems rollout is speeding up trades, 2) they won’t have to get into bidding war over Euronext, 3) it was archaic and poorly run, but well run now and massive improvements, 4) Euronext savings will be $600 million, 5) working deals in india and Japan, and 6) the hybrid system will help trim that $350 million floor operation expenses. He thinks it can earn $10 per share faster than he even thought a month ago, even though the street is only at $5.00 EPS for 2008.Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 9:06 pm in Uncategorized

Disney Up Marginally After Earnings

Disney (DIS) earnings sure don’t look like any Mickey Mouse or Goofey results so far on the surface. The company posted EPS of $0.36 instead of $0.33 estimates and revenues of $8.7 Billion instead of $8.67 Billion. The company said earnings growth was from growth at its Studio Entertainment, Parks & Resorts, networks, broadcasting, and consumer products.“Disney had a spectacular year, posting record revenues, record net income, and record cash flow,” said Bob Iger, president and chief executive officer of the Walt Disney Company. “It is a result of the incredible creativity at our company.”DIS also repurchased 96 million shares in the quarter for some $2.8 Billion to bring total buybacks to 243 million shares. We’ll have to see what sort of guidance the company gives in its conference call. So far shares are up 0.2% at $33.65, but shares were up 1.45% to $33.58 in normal trading.One thing to note is that DIS is often criticized after the fact on the same day as earnings for showing items and the like, so that may be the reason for the muted response and immediate profit taking. Shares had initially jumped 1% after the report headlines. DIS 52-week trading range is $23.77 to $33.24.Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 7:22 pm in Uncategorized

Market Wrap (Nov. 9, 2006)

DJIA 12,106.11; Down 70.43 (0.58%)Nasdaq 2,376.01; Down 8.93 (0.37%)S&P500 1,378.79; Down 6.93 (0.50%)10YR-Bond 4.633%NYSE Volume 2,965,996,000NASD Volume 2,337,245,000When is a $64.3 Billion Trade Deficit for any single month considered good news? When it is about 7% lower than the August reading of $69 Billion because of lower oil prices is when. Our trade deficit with China alone was $23 Billion. Weekly jobless claims fell 20,000 this week to 308,000. We also now look like we officially have a democratic-led Congress now that the last senate race has been tallied.Cisco (CSCO) ruled the roost today. After it beat earnings and raised guidance the shares rose 6.5% to $26.72.Congratulations go out to KBW Inc, (KBW). Its IPO of 6.8 million shares went out at a $21.00 pricing, but it opened at $26.00, and closed at $26.90.Canadian Solar (CSIQ) rose to a close of $15.63 after it priced its 7.7 million share IPO at $15.00 per share.3M (MMM) sold 3 of its pharaceutical operation for $2.1 Billion in 3 transactions, but its shares actually slid 0.65% to $78.90.As oil prices went up and after Cramer annointed ExxonMobile (XOM), XOM rose 1.1% to $74.63 and the Oil Service HOLDRs (OIH) fell 0.1% to $139.75.Time Warner (TWX) rose 0.97% to $19.83 after pricing $5 Billion in debt securities with funds to be used as refinancing funds and for stock buybacks.NewsCorp (NWS) rose 0.9% to $22.06 after it beat earnings.Viacom (VIA) fell 3.1% to $38.43 after it posted lower earnings on movie results.Perrigo (PRGO) fell 5.6% to $17.00 after it had 11 million viles of acetomenophine recalled because of small metal scraps inside.Pfizer (PFE) fell almost 3% to $25.85 on fears that the company would be barred for presenting Lipitor successor data next week.J.C.Penney (JCP) rose 2% to $79.75 after better than expected earnings.Harley Davidson (HOG) only fell 1% to $71.45, despite the fact that it was downgraded at R.W.Baird and A.G.Edwards in seperate calls this morning.Deutsche Bank (DB) only fell 0.3% to $125.84 despite the brokerage arm of it getting kicked out of the hertz IPO today because of an employee sending improper emails to 175 institutional clients a week ahead of the offering.Lennar (LEN) fell 1% to $44.79 after its Chairman died yesterday.Qualcomm (QCOM) fell 4% to $34.83 after having some fair trade investigations surface in Japan.Urban Outfitters (URBN) rose a sharp 13% to $21.53 after the retailer earnings were not as bad as expected.Jupiter Media (JUPM) fell a sharp 36% to $5.83 after missing earnings expectations and taking downgrades.IMAX (IMAX) also fell another 30% to $3.38 after it posted a wide loss and as the company has gobe directionless. We are actually re-looking back at the company after having picked it as a BAIT SHOP member and been up substantially before telling investors to take profits and run because of valuation.Fox Hollow (FOXH) fell 19% to $28.90 after its guidance was weak and after downgrades today.Essex Corp (KEYW) rose 18% to $23.55 after Northrup Grumman acquired the company for its homeland defense portfolio.Goodyear Tire (GT) rose 15% to $17.54 after it beat lowered earnings expectations.Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 7:06 pm in Uncategorized

Cramer Annoints Exxon (XOM)

On CNBC’s STOP TRADING segment today, Jim Cramer was saying he is ready to annoint an oil company.Today Cramer first went over Cisco (CSCO) as THE new convergence play and he said the stock is not done going up. Cramer said he thinks that drug stocks are now overdone and they should start being bought gradually, but not all at once.Cramer was very positive on ExxonMobil (XOM) now that oil has bottomed. Cramer said it trades at 10-times earnings and this is the one that fund managers want to show they own it. Cramer said the democrats even with the drilling limitations won’t hurt it too bad. This is the one that isn’t a wildcatter and is the most predictable. Cramer said he likes Chevron (CVX) better than XOM, but that doesn’t matter because the street and funds like XOM better.Then Cramer discussed Borders Group (BGP). He called it a Buy at $18 to $19, but now he thinks it can go to mid-$20’s rather than mid-$30’s.Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 5:49 pm in Uncategorized

3M (MMM): What Do You Say When $2.1 Billion Cash Is No Help?

3M (MMM) is still in a funk, and that is even after the company got to piece-meal a unit out for higher cash.The company reached agreements to sell its global pharmaceuticals division in 3 separate deals for a combined $2.1 billion. There were earlier reports that warburg Pincus or an indian drug company would bid, and other private equity names had been speculated.Graceway Pharmaceuticals, a Tennessee-based drug unit of GTCR, will pay $875 million for 3M’s pharma operations in North and South Americas and will absorb Chester Valley Pharmaceuticals.Ironbridge Capital and Archer Capital in Australia bought 3M’s Asia-Pacific pharmaceutical operations for $349 million.Meda in Sweden will acquire 3M’s European pharmaceutical business for $857 million.The acquirers will acquire regional marketing and intellectual property rights for 3M’s well-known branded pharmaceuticals, including Aldara, Difflam, Duromine, Tambocor, Maxair, Metrogel-Vaginal and Minitran. 3M’s Drug Delivery Systems Division will be a source of supply to the acquiring companies for the products. The company also gets to essentially trim 1,050 workers from its 69,000+ ranks.Just a year ago 3M was considered a potential acquirer of other medical-tech operations. But that was before the stock went into coma. The stock is still up 33% over the last 5 years, but the street has considered it dead money for about 2-years as it has been stuck between $70 and $90 for just about the entire time. It didn’t help that the coatings business for plasma and flat panel screens tanked while the tech sector has been on fire.The stock tried to open positive on the day, but it slid lower with the market and shares are now down 0.5% to $79.00. That is a pretty sad message the market sends when you get to trim 1.5% of your workforce without paying large severances, get to get rid of certain operations that allow you to focus on core operations, and take in about $2.1 Billion in cash. The Motley Fool wrote that 3M was THE blue chip to own for 2007, but it looks like investors didn’t get the memo.3M is often referred to or compared to General Electric (GE), but they look a bit different on paper.

GE 3M
Mkt. Cap $364B $58 B
P/E 21.5 17.1
Cash $59.3B $1.29B
Assets $682B $22.6B
Liabilities $570B $11.7B
Dividend 2.80% 2.30%

Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 5:17 pm in Uncategorized

Most Actives Review: Horsemen Take the Cake, Led by CSCO

I noted yesterday that CSCO would dominate the field as far as technology trading volume for today. What an understatement. Even the day after Sirius (SIRI) earnings and the day after Cramer said SIRI could go up 50% from here it is all about CSCO and its related stocks. CSCO alone has done more volume in shares traded compared toall of the $5.00 and under most active tech names. The low priced actives have done roughly 10% of the NASDAQ volume, but CSCO was running above that whole group on its own. Check out the volume below:

Ticker Price Change Volume
FNSR $ 3.66 $ 0.11 7,552,318
LVLT $ 5.63 $ 0.09 16,420,621
SIRI $ 4.31 $ 0.19 64,502,608
SUNW $ 5.49 $ 0.04 25,848,504
PMCS $ 7.52 $ 0.05 5,462,490
CNXT $ 2.08 $ - 5,576,566
CHTR $ 2.53 $ (0.20) 16,386,739
Total 141,749,846
NASDAQ $2,392.13 $ 7.19 1,430,346,000
Ticker Price Change Volume
INTC $ 20.57 $ (0.14) 26,948,328
MSFT $ 29.23 $ 0.25 51,589,516
CSCO $ 26.88 $ 1.78 145,713,360
AAPL $ 83.77 $ 1.32 22,157,356
ORCL $ 18.74 $ 0.38 24,758,502
Total 271,167,062

Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 4:44 pm in Uncategorized

Would Apple Buy Sony? (AAPL)(SNE)

Not may years ago, when the iPod was in its infancy, Sony might have looked at buying Apple to own the new multimedia platform. Sony already had a PC business and the Mac operations could have fit right in.Now, the tables are turned a bit. And, while a couple of years ago, a deal of the magnitude of Apple buying Sony (which has a market cap of $40) would have been viewed as ridiculous. That was then. Today, the news is filled with deals like Kohlberg Kravis buying entertainment and telecom giant Vivendi for $50 billion.Sony is obviously in tough shape. But, that is why it is only worth $40 billion.Steve Jobs is clearly interested in content companies. His shares and board seat at Disney signal that. He has a PC business and a multimedia device business. Sony has a PC business, a game platform business, part of a global cellphone operation (Sony Ericsson), a movie studio, and its massive television and DVD player operations. Perhaps Jobs would not want to keep it all, but most of the pieces would expand Apple’s content relationships, device and download operations, and would open the door for Apple to market Macs and traditional PCs.Sony has revenue of about $66 billion, about the same as it was in 2001. Operating income, which ran between $2 billion and $4 billion from 1997 to 2001, now sits at about $1 billion. Sony has about $10 billion in cash and short-term investments and $6.5 billion in long-term debt.A lot of investors think Sony is dead meat. It traded for north of $150 in 2000, and now sits at $40 on a good day. Dead meat like Apple was dead meat before Jobs turned things around. In mid-2000, Apple’s stock was below $8. Now it trades at $84. And, Apple has a market cap of $72 billion.And, don’t forget, Apple has Steve Jobs.Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Posted on: November 9, 2006 – 2:45 pm in Uncategorized

Why Does Sony Stay In The PlayStation Business?

Stocks: (SNE)(MSFT)It is not often that investors can legitimately question why a company would stay in a business that at one point drove 60% of its operating profit. But, as Sony moves from the highly profitable PlayStation and PlayStation2, the company’s ability to make money on gaming may be disappearing.The new PlayStation3 will be more expensive than rival Xbox from Microsoft and Nintendo’s new Wii platform. And, when earlier Playstation models launched, the competition from other game devices and online game products was minimal. That has changed.Reuters points out that the new Xbox will probably sell 10 million units by the end of this year. By contrast, Sony may sell only 2 million Playstation3 units before the close of 2006. So, the debate about the success of the new Sony product will revolve around whether the units have enough attractive new features, like Blu-Ray capability, to hold a large share of the market.Sony is doing well in electronics as its last earnings report shows. Sales of PCs and televisions are going well. The company’s movie studio and financial businesses are also strong performers. The PC/television electronics and financial units are currently driving Sony’s operating income. It game unit (Playstation) is a huge drag on profits.Some investors would argue that Sony’s game operations can return to a place where they contirbute the majority of the company’s profit. But, the Playstation3 could also be a permanent drag on the company, and Sony’s string of problems does not need any additions.If Playstation3 is a train wreck a year from now, maybe Microsoft will buy the business. Sony may not be able to afford it.Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Posted on: November 9, 2006 – 2:07 pm in Uncategorized

BayStreet.ca

By William Trent, CFA of Stock Market BeatWe have been favorably disposed toward Rockwell Automation (ROK), which has reported decent sales growth and its factory automation products appear well suited to the current need for improved manufacturing efficiency. The company is also cleaning up its balance sheet.Baldor Electric Co agreed to acquire the power systems business and assets of Rockwell Automation Inc for $1.8 billion in cash and stock. Baldor Electric Co will pay $1.75 billion in cash and about $50 million in stock. The power systems business sells its products under the Reliance Electric and Dodge brand names. The deal is expected to close in the first quarter of 2007.According to the recent Power Systems fourth quarter sales were $264.9 million, an increase of 15 percent compared to sales of $231.1 million in the 2005 fourth quarter. Segment operating earnings were $41.6 million, an increase of 87 percent compared to $22.2 million in the fourth quarter of 2005. The increase in segment operating earnings was attributed to higher volume, productivity, net price, and lower restructuring charges somewhat offset by inflation. Power Systems return on sales was 15.7 percent in the fourth quarter of 2006 compared to 9.6 percent in 2005.Sales for the full year were $1,010.1 million, an increase of 15 percent compared to $879.6 million in 2005. Segment operating earnings were $162.6 million, an increase of 47 percent compared to $110.3 million in 2005. Power Systems return on sales for the year was 16.1 percent compared to 12.5 percent in 2005.The unit comprised just over 18% of the company’s sales in FY06 but only 4% of segment operating income. The sale values it at 15% of the company’s enterprise value, which seems to us like a solid price.The author may hold a position in the securities discussed. The author’s current holdings are as follows: Long: Intuit (INTU) put options; Nasdaq 100 (QQQQ) put options; Bookham (BKHM; Ballard Power (BLDP); Syntax Brillian (BRLC); CMGI (CMGI); Genentech (DNA); Ion Media Networks (ION); Lion’s Gate (LGF); Three Five Systems (TFS); Adobe Systems (ADBE) call options; Ceradyne (CRDN); IShares Japan (EWJ); StreetTracks Gold (GLD); Starbucks (SBUX); U.S. Oil Fund (USO); Plantronics (PLT) call options; Short: Lion’s Gate (LGF) call options; Dell (DELL) put options; Ceradyne (CRDN) call options; Plantronics (PLT) put options.

Posted on: November 9, 2006 – 1:46 pm in Uncategorized

Hedge Fund Manager Ackman Says Borders Group (BGP) is Cheap, Plans to Disclose 11% Stake

From 13D TrackerAt an investors conference today activist hedge fund manger Bill Ackman, who runs Pershing Square Capital, said Borders Group Inc. (NYSE: BGP) is cheap and could be worth $36 per share in the next 18 months. He plans to disclose an 11% stake in the company shortly.According to reports from Bloomberg, Ackman was positive on the the company’s repurchase plan which he said was “aggressive”. He was also positive on the new CEO George Jones, a former Saks executive.Ackman recently told Barron’s that he increased his stake in Borders’ rival Barnes & Noble (NYSE: BKS) from 2.3% to 8%. Ackman made similar comments on Barnes & Noble, saying the stock is significantly undervalued.Ackman may be best known for his fight to implement changes at McDonald’s Corp. (NYSE: MCD). He was also instrumental in getting Wendy’s International (NYSE: WEN) to make aggressive changes, including spinning off its Tim Horton’s (NYSE: THI) chain.Shares of Borders Group are up about 10% to $23.71 in early action Thursday.http://www.13dtracker.blogspot.com/

Posted on: November 9, 2006 – 1:44 pm in Uncategorized

Satellite TV’s Fall To Earth (DISH)(DTV)(VZ)(T)(S)(INTC)(MOT)

Satellite TV has a business model that is too good to be true. Results from Echostar and DirecTV would indicate that they are thriving in both subscriber and revenue growth. But, there are at least three competing businesses that will make the expansion of the satellite TV operators come at a much higher cost.Fiber-to-the-home. Today, telephone companies are happy to have partnerships with the satellite companies. Since they cannot deliver television signals to most of their customers, they telephone company can provide voice and broadband, and tie-in with the satellite guy for the TV piece. Once the Verizon and AT&T fiber networks are in place, they are competing with DirecTV and Echostar. And, the telephone company can bundle voice and broadband into the deadly triple-play to convert satellite customer to their platforms.Cable. Cable is the only real competition to satellite now. But, analog lines have restricted the amount of high-definition programming that can go into the home if the “pipe” is going to provide voice and broadband as well. There are technologies being developed that will solve that problem. At that point, cable goes from being modest competition to a formidable enemy.WiMax. Two years ago, WiMax appeared to be a technology developed by schizophrenics. But, with Intel, Motorola, and Samsung working the room, it would appear that WiMax will be available in a number of countries around the world including the US, where Sprint is building a $3 billion network for its 4G phones. South Korea is about to completely blanket Seoul, one of the world’s largest cities, with WiMax. In theory, WiMax could deliver a television signal to the home. The FCC would have something to say about this, but that does not mean that large enough license fees would not get those august commissioners to take a look at allowing WiMax TV for the right tool paid to Uncle Sam. WiMax does not have the “rain fade” issue that satellite TV has. In a big storm, the picture disappears. Completely. A lot of satellite TV customers, especially in places like Florida and Washington State, have rain almost every day.Satellite TV’s downfall eventually may be that it is uni-directional. It sends a signal down to the home, but does not take a signal back. The satellite people have set up a system where you can send data to them over a phone line, but it is, at best, a wacky contraption that customers would rather do without. The same people who may do without satellite TV all together.Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Posted on: November 9, 2006 – 1:38 pm in Uncategorized

KBW’s IPO Opened Strong At $26.00 Out Of The Chute

KBW, Inc. (KBW), the parent of Keefe Bruyette & Woods, did open up and opened up even higher than I would have guessed. The opening price out of the chute was $26.00.It priced 6.8 million shares (3.9 million from the company itself) at $21.00, which was a slightly higher number of shares and at the top of the $19.00 to $21.00 range. I have been very positive on the IPO ahead of the pricing and if I was given IPO shares I would still hold these if it was my money. I wasn’t given access to any shares and don’t even have access to them so it doesn’t really matter.Part of the reason the stock is doing so well (outside of the strong business they are in) is because the low float of stock. This now puts the company at even more than 2-times listed book value, but if you look out to 2007 and 2008 that ratio will end up being far lower on a static stock price.if you want more background data here is what was posted yesterday.Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 12:56 pm in Uncategorized

Analysts Playing Catch-Up in Cisco Systems (CSCO)

Cisco Systems (CSCO) is now trading up 9% at $27.40 pre-market after beating earnings yesterday. It has already traded about 6 million share pre-market and CSCO shares will likely be the most active of the large-cap tech names today. CSCO posted $0.31 EPS vs $0.29 estimates and revenues of $8.18 Billion vs $7.9 Billion estimates. It also raised its guidance on an organic basis and on a post-Scientific Atlanta basis. CSCO put Q4 at 24% to 25% revenue growth instead of a 21% growth indicated, and 14% to 15% on a pre-Scientific Atlanta basis instead of the original 10% to 15% range previously given.Yesterday we noted that Cisco was above the call of duty and that analysts would have to play catch-up in the stock today. These are just a sample of the analyst calls on CSCO shares today, although there are essentially 15 calls out and more will be out later in the morning:A.G.Edwards target raised to $31.00.Banc of America raised its target to $30.00.Goldman Sachs raised its target to $35.00.JMP Securities target raised to $29.00.Pacific Crest target raised to $30.00.Piper Jaffray target raised to $28.00.UBS raised its rating to Buy and raised target to $32.00.The average stock price target going into earnings in August was $23.00+. The target going into earnings yesterday was $26.00 or thereabouts. It appears as though the new price target average on teh street is going to settle in at about $28.00+. That is actually only about 3% higher than pre-market levels, so we’ll have to see if the stock gets more follow-on calls in the coming weeks from the same firms or if the stock settles in to some levels. Stay tuned.Jon C. OggNovember 9, 2006

Posted on: November 9, 2006 – 12:23 pm in Uncategorized

Big Web Properties Will Look Abroad For $$$

Stocks: (YHOO)(TWX)(GOOG)(NWS)(EBAY)(MSFT)New data indicates that most large US-based websites are going the majority of their traffic from outside their home country. It’s a vexing problem.A lot of the advertising at big sites like Yahoo! is aimed at US consumers. The more page views and unique visitors that come from off-shore, the tougher it is to do proper targeting.While it is a problem, it could be a chance to pick up revenue from marketer who want to targer audiences outside the US.Yahoo! has 76% of its unique visitors coming from outside the US. For Microsoft, the number is 79%. Google stands at 80%. Ebay at 70%.It would appear that operations like AOL and Fox (mostly MySpace and Fox news) are more uniquely US properties. AOL has only 50% of its unique visitors from overseas. Fox is at about 45%.In the release of the study, an analyst a ComScore makes an observation: “The high proportion of visitors and page views from outside the U.S. represents a solid growth opportunity for U.S.-based ad-supported properties, which currently derive most of their revenues from domestic online advertising.” If that’s right, ad revenue growth at large websites like Yahoo! may not have to slow down after all. At least not near-termDouglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Posted on: November 9, 2006 – 11:56 am in Uncategorized

Pre-Market Stock Notes (Nov. 9, 2006)

(ACET) Aceto $0.10 EPS vs $0.09e.(ASTM) Aastrom -$0.03 EPS vs -$0.04e.(BDN) Brandywine Realty filed to sell 2.5M shares for shareholders.(BMC) BMC Software $0.37 EPS vs $0.32e.(BRCM) Broadcom delayed quarterly filing over options review.(BSMD) BioSphere Medical gets FDA approval for proprietary QuadraSphere(TM) Microspheres.(BYI) Bally Tech said Oregon Lottery is buying 2,300 machines.(BVF) $0.83 EPS vs $0.65e.(CEDC) Central European Dist. filed to sell $100+M in shares.(CRZO) Carrizo O&G $0.15 EPS vs $0.12e.(CSCO) Cisco trading up 8% after beating earnings and raising revenue targets.(CSIQ) Cnadian Solar 7.7M share IPO priced at $15.00; top of range.(CTRP) Ctrip.com $0.30 EPS vs $0.30e.(CYPB) Cypress Bio -$0.04 EPS vs -$0.08e.(DIET) eDiets $0.02 EPS vs $0.02e.(FACE) Physicians Formula Holding 7.5M share IPO priced at $17; high end of range and higher number of shares.(FDO) Family Dollar delayed filing its annual report over options review.(FLO) Flowers Foods $0.28 EPS vs $0.29e.(FOXH) Fox Hollow Tech trading down 22% after earnings and downgrades.(FST) Forest oil $0.48 EPS vs $0.47e.(GIGM) Giga Media $0.11 EPS vs $0.07e.(GLBC) Global Crossing R$466M vs $470M(e).(GT) Goodyear $0.33 EPS vs $0.24e; unsure if comparable b/c revenues in-line.(HLS) HealthSouth R$731.2M vs $795M(e).(JUPM) Jupiter Media $0.05 EPS vs $0.08e and R$33.8M vs $35.9M(e).(INT) World Fuel Services $0.59 EPS vs $0.53e.(KBW) KBW 6.8M share IPO priced at $21.00; top of range and share count hiked slightly yesterday.(KEYW) Essex Corp up 17% after NOC acquires it.(KG) King Pharma $0.44 EPS vs $0.38e.(KONG) KongZhong $0.16 EPS vs $0.11e.(LEE) Lee Enterprises $0.35 EPS vs $0.43e.(LGBT) PlanetOut -$0.07 EPS vs -$0.04e.(MLNM) Millenium Pharma filed to sell $200M in notes.(MSO) Martha Stewart Ent. filed to sell 2+M shares for holder.(NOC) Northrop Gruman raised guidance after TRW gain.(NWS) News Corp trading down 1% after beating earnings because of gains on TV stations.(OB) OneBeacon Insurance 24M share IPO priced at $25.00; middle of range.(OI) Owens Illinois CEO will leave at month end over personal reasons.(PCLN) Priceline.com $0.72 EPS vs $0.67e.(QCOM) Qualcomm may have fair trade investigation in Japan.(RCNI) RCN R$149.7M vs $157M(e).(RMIX) US Concrete $0.29 EPS vs $0.28e; lowered Q4 guidance but sees revenue growth in 2007 over 2006.(RTLX) Retailix may be acquired by Verifone-PAY according to online reports.(SNIC) Sonic Solutions lowered guidance.(SNY) Sanofi Aventis gets Acomplia approval in Mexico.(THS) Treehouse Foods $0.24 EPS vs $0.19e.(TOMO) Tom Online $0.14/R$38.9M vs $0.08/$33.9M(e).(TRMA) Trico marine $1.17 EPS vs $0.97e.(TS) Tenaris $0.81 EPS vs $0.75e.(ULBI) Ultralife Batteries -$0.11 EPS vs -$0.06e.(URBN) Urban Outfitters $0.21 EPS vs $0.18e.(VIA) Viacom $0.51 EPS vs $0.48e.

Posted on: November 9, 2006 – 11:35 am in Uncategorized

Cablevision Results Shake The Telecoms (CMCSA)(TWX)(T)(VZ)(CVC)

Cablevision revenues were no great stuff. Revenue rose to $1.41 billion from $1.24 billion in the same quarter a year ago. The company’s net loss was a bit improved to $53 million.Average monthly revenue per video subscriber rose from $96.69 to $113.13 from last year’s quarter. That should be very, very good news to cable companies and the telecoms who want to offer IPTV over fiber. The consumer will spend a healthy buck and the revenue per unit grows much faster than inflation.Cablevision added almost 94,000 digital video subscribers, over 74,000 high speed data customers and 113,000 digital phone customer (VoIP). On that note, the cable execs at Time Warner and Comcast should be heading to DisneyLand.On the other hand, the managements at AT&T and Verizon need to be put on suicide watch. Cablevision is hardly the largest cable company. That it put on over 100,000 VoIP customers in a quarter is really extraordinary. If their pace is for half a million new digital phone units per annum and Time Warner and Comcast are added more of these units due to their larger size, the telecoms are obviously watching millions of their core customers walk out the door.The fiber-to-the-home service that the telecoms want to offer to their customers so that those clients can have high-speed internet and IPTV depends somewhat on them having a stable customer base. That won’t be true of the cable guys have their way.Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Posted on: November 9, 2006 – 11:32 am in Uncategorized

Select Analyst calls (Nov. 9, 2006)

AAWW cut to Hold at Jefferies.CSCO raised to Buy at UBS; multipl price target upgrades.CXR cut to Underperform at Credit Suisse.FE cut to Hold at Jefferies.FOXH cut to Neutral at First Albany, cut to Mkt Perform at Piper Jaffray.GG started as Outperform at CIBC.HOG cut to Hold at AGEdwards, cut to Neutral at Baird.LNET cut to Peer Perform at Bear Stearns.LOW cut to Hold at Stifel.MCHX cut to Mkt Perform at Piper Jaffray.MFB cut to Neutral at Credit Suisse.NNN raised to Outperform at Raymond James.NTBK raised to Mkt Perform at FBR.NYT cut to Underweight at Morgan Stanley.PALM started as Buy at B of A.PMTC started as Buy at Jefferies.PNX cut to Underweight at Morgan Stanley.RVBD started as Peer Perform at Thomas Weisel.SAP started as Buy at Jefferies.SHPGY started as Outperform at Bear Stearns.SIVB started as Buy at Oppenheimer.SCHS cut to Neutral at Oppenheimer.SIRI cut to Mkt Perform at Wachovia.SNIC raised to Overweight at JPMorgan.VLRX cut to Neutral at UBS.WPI started as Sector Perform at CIBC.WW cut to Hold at Deutsche Bank.

Posted on: November 9, 2006 – 11:26 am in Uncategorized

News Corporation And The MySpace Fiction (NWS)

News Corp released earnings for its latest quarter. Revenue rose 4.1% to $5.91 billion. The company made a nifty profit of $843. It has a loss the year earlier. Operating income fell 6.4% to $851 millon.The company’s movie studio did poorly. So did it TV stations. But its cable operation and Fox both had a banner period. Cable operating income grew 26% and Fox’s ad revenue drove operating income up 20% at that unit. Roger Ailes may be the most hated man in media, but he delivers the goods.MySpace is nowhere to be found in the earnings report. God, investors hope it did not get lost. Based on all of the press reports, it is the future of the company. Some nut job at RBC Capital said MySpace would be worth $15 billion in three years.The only place MySpace could be is in “other”, a category for burying the stuff that is too small to report our in segment revenue and operating income. In terms of size, News Corp lists film, entertainment, television, newspapers, cable programming, satellite broadcast, book publishing, and newspaper inserts.”Other” is slightly bigger than the newspaper insert programs which brought in revenue of $275 billion and operating income of $78 million. That’s a good business. Nice margins.”Other” on the other hand, had revenue of $395 million in the quarter, up nicely from $272 milloin in the same quarter a year ago. Operating loss in the unit (if you can call it that) was $73 million up from a los of $26 million last year.The News Corp figures show that MySpace is no great shakes, at least not now. News Corp is just another newspaper, cable, and movie studio company. It’s well run, but that it is primary distinquishing characteristic. Not MySpace. Not yet.By the way, get the RBC Capital analyst and flog himDouglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Posted on: November 9, 2006 – 11:06 am in Uncategorized

Europe Market Report 11/9/2006 Vodafone Up: GlaxoSmithKline, BT Down

Stocks: (BCS)(BP)(BT)(GSK)(PUK)(RTRSY)(UN)(UL)(VOD)(DCX)(DB)(BT)(SI)(ALA)(AXA)(FTE)(V)Markets in Europe were narrowly mixed at 7:50 AM New York time.The FTSE was down .3% to 6,220. Barclays was down .4% to 711.5. BP was up .2% to 600.5. BT was off 1.8% to 286.5. GlaxoSmithKline was off 1.5% to 1383. Prudential was down 1.1% to 638. Reuters was up .4% to 456.5. Unilever was up .9% to 1396. Vodafone was up 1.5% to 134.The DAXX was flat at 6,351. DaimlerChrysler was down .9% to 45.93. DeutscheBank was down .6% to 98.05. Deutsche Telekom was down .1% to 13.43. Siemens was up 3.4% to 74.25.The CAC 40 was up .1% to 5,443. Alcatel was up 1.5% to 10.48. AXA was off .8% to 30.38. France Telecom was up .1% to 19.96. ST Micro was down .4% to 13.74. Vivendi was up .9% to 29.7.Data from ReutersDouglas A. McIntyre

Posted on: November 9, 2006 – 10:59 am in Uncategorized