There are many key stocks to watch for The Unusual Suspects for the week ahead. Barron’s was rather influential, we have several carry-over issues from last week that are unresolved, there are several in-play names and we have earnings to look for. The cast of characters in this week’s Unusual Suspects will feature Abbott Laboratories (NYSE: ABT), Adobe Systems, Inc. (NASDAQ: ADBE), Apple Inc. (NASDAQ: AAPL), Allos Therapeutics, Inc. (NASDAQ: ALTH), Best Buy Co. (NYSE: BBY), Cheniere Energy, Inc. (AMEX: LNG), Cheniere Energy Partners LP. (AMEX: CQP), Cisco Systems Inc. (NASDAQ: CSCO), GT Solar International, Inc. (NASDAQ: SOLR), Intuit Inc. (NASDAQ: INTU), KV Pharmaceutical Co. (NYSE: KV-A), National Bank of Greece SA (NYSE: NBG), Netflix Inc. (NASDAQ: NFLX), Oracle Corporation (NASDAQ: ORCL), Research In Motion Limited (NASDAQ: RIMM), Skechers USA Inc. (NYSE: SKX), VMware, Inc. (NYSE: VMW), Xerox Corporation (NYSE: XRX), L-1 Identity Solutions Inc. (NYSE: ID), and Casey’s General Stores Inc. (NASDAQ: CASY) are all ongoing issues to watch.
We have compiled the news or the catalyst for each, as well as offered additional color and an expected move for the week ahead.
Abbott Laboratories (NYSE: ABT) is already worth almost $80 billion so we’d normally not care so much about one upcoming drug. The issue coming this Wednesday is a FDA panel review of its Meridia drug, which is to treat obesity. As the obesity class is largely unmet and as there have been many FDA roadblocks on this indication for others, this could easily be a new blockbuster drug if ultimately approved.
Adobe Systems, Inc. (NASDAQ: ADBE) and Apple Inc. (NASDAQ: AAPL) are one issue. It appears as though Steve Jobs decided that he was being too much like some other Technocrats in his heavy-handed and severely limiting blockage of Flash. This last week Apple relaxed some App restrictions and requirements, and Wall Street’s vote was that this means that Adobe’s Flash will now get to run on iPhone and iPad platforms. While Adobe closed down 2% at $32.20 Friday, its shares closed up 9.5% for the week and its 52-week range is $26.01 to $38.20. With Samsung apparently bringing a tablet earlier than expected, Steve Jobs may have waited too long to stop his heavy-handed tricks.
Allos Therapeutics, Inc. (NASDAQ: ALTH) was up 6.8% at $4.25 on Friday after it was floated out there are as one of the possible takeover candidates in the sector. Frankly, the argument sounded weak but there was over 300% normal share volume and the low call option volume was actually well above normal trading levels. The 52-week trading range is $3.58 to $8.79.
Best Buy Co. (NYSE: BBY) has earnings this coming Tuesday. With all the technology warnings seen and with the building of inventories, we have been critical of the lack of any guidance from the company. It has to be expected that Best Buy will talk down the yearly results when it reports, but there is a lot of that warning already baked into the cake now. At $33.88, its 52-week range is $30.90 to $48.83.
Cheniere Energy, Inc. (AMEX: LNG) saw a large pop of Friday night after it already closed up almost 6% at $2.66 Friday because of a Department of Energy approval allowing it to sell LNG all over the world. But then came more than a 10% pop after Jim Cramer talked it up on CNBC’s MAD MONEY. The 52-week trading range is $1.77 – $5.40, but investors may also not want to forget about the Cheniere Energy Partners LP. (AMEX: CQP) in there also.
Cisco Systems Inc. (NASDAQ: CSCO) has its analyst meeting on Tuesday. You know the routine and it is not an uncertain outlook. Chambers needs to address this dividend. Cisco is a tech growth leader, but the stock has been dead money and by the looks of it all the share buybacks conducted to date have just been to keep employee stock options from diluting the stock too bad. Chambers always talks about “Caishe-flow” and he needs to start paying a dividend.