The unofficial closing bells put the DJIA down more than 34 points to 12,820.53 (-0.27%), the NASDAQ rose less than 1 point (0.01%) to 2,933.82, and the S&P 500 fell -0.34% or nearly 5 points to 1,353.38.

There were several analyst upgrades and downgrades today, including Apple Inc. (NASDAQ: AAPL) maintained ‘outperform’ but estimates cut at Credit Suisse (more coverage here); AT&T Inc. (NYSE: T) raised to ‘outperform’ at Credit Suisse; Best Buy Co. Inc. (NYSE: BBY) cut to ‘neutral’ with a target price of $20 at Credit Suisse; Verizon Communications Inc. (NYSE: VZ) raised to ‘outperform’ at Credit Suisse; and Arena Pharmaceuticals Inc. (NASDAQ: ARNA) raised to ‘buy’ at Jefferies and to ‘outperform’ at Leerink Swann.

Earnings reports since markets closed last night have led to some price changes as of the last half hour of trading today: Dillard’s Inc. (NYSE: DDS) is up 7.3% at $70.99 after posting a new 52-week high of $72.47 earlier today (more coverage here); ReneSola Ltd. (NYSE: SOL) is up 5.6% at $1.89 (more coverage here); Nvidia Corp. (NASDAQ: NVDA) is up 6.9% at $13.28 (more coverage here); and Uranium Resources Inc. (NASDAQ: URRE) is down -2.4% at $0.80.

On Monday we are scheduled to get earnings from Groupon Inc. (NASDAQ: GRPN), InterOil Corp. (NYSE: IOC), JA Solar Holdings Co. Ltd. (NASDAQ: JASO), Kior Corp. (NASDAQ: KIOR), and Silver Wheaton Corp. (NYSE: SLW).

Other standouts from today include the following stocks:

A number of ETFs had reverse splits of 1-for-5 today, and showed gains of 400% as a result. These included the ProShares UltraPro Short S&P500 (AMEX: SPXU) and other ProShares funds.

Arena Pharmaceuticals is up 76.2% at $6.45 after posting a new 52-week high of $7.01 earlier today. The drug maker received FDA approval to sell its lorcaserin diet drug in the US. Orexigen Therapeutics Inc. (NASDAQ: OREX) and Vivus Inc. (NASDAQ: VVUS) also have similar drugs in development and posted nice gains today as well.

Chesapeake Energy Corp. (NYSE: CHK) is down -10.7% at $15.35 after posting a new 52-week low of $15.21 earlier today. The company filed is proxy statement with the SEC today and it’s a doozy. More coverage here.

Stay tuned for Monday. We have noted the following events on the schedule (all times Eastern):

• 11:30 a.m. – 3- and 6-month bill auction

Your email address

subscribe

terms and conditions

Have a great weekend!

Paul Ausick

Adtran Inc. (NASDAQ: ADTN) Reiterated Buy and $39 target at Argus.

Apple Inc. (NASDAQ: AAPL) Maintained Outperform but cut estimates at Credit Suisse (full details).

Arena Pharmaceuticals (NASDAQ: ARNA) Raised to Buy at Jefferies; Raised to Outperform at Leerink Swann.

AT&T, Inc. (NYSE: T) Raised to Outperform at Credit Suisse.

Beam Spirits Inc. (NYSE: BEAM) Maintained Hold at Argus.

Bed Bath & Beyond (NASDAQ: BBBY) Raised to Outperform at Credit Suisse.

Best Buy (NYSE: BBY) Cut to Neutral with $20 target at Credit Suisse.

Buffalo Wild Wings (NASDAQ: BWLD) Started as Outperform at Wells Fargo.

Chevron Corp. (NYSE: CVX) Reiterated Buy with $130 target at Argus.

Heckmann Corporation (NYSE: HEK) Started as Outperform with $5 target at Credit Suisse.

J.P. Morgan Chase & Co. (NYSE: JPM) Maintained Outperform but cut estimates at Credit Suisse; Cut to Hold at Stifel Nicolaus; Cut to Market Perform at FBR.

Myriad Genetics Inc. (NASDAQ: MYGN) Started as Neutral at BofA/ML.

ProAssurance Corp. (NYSE: PRA) named Bull of the Day at Zacks.

RadioShack Corp. (NYSE: RSH) named Bear of the Day at Zacks.

Rexnord Corporation (NYSE: RXN) Started as Neutral at Credit Suisse.

Research In Motion Limited (NASDAQ: RIMM) Maintained Neutral and cut estimates at Credit Suisse.

Sun Life Financial Inc. (NYSE: SLF) Raised to Outperform at Credit Suisse.

Texas Roadhouse (NASDAQ: TXRH) Started as Market Perform at Wells Fargo.

Verizon Communications, Inc. (NYSE: VZ) Raised to Outperform at Credit Suisse.

If you enjoyed the top analyst upgrades and downgrades, you can join our free email newsletter that includes analyst summaries each morning sent right to your inbox.  We also cover top issues such as IPOs, special financial exclusives, mergers and more. Sign up in the box below.

Your email address

subscribe

terms and conditions

JON C. OGG

JP Morgan (NYSE: JPM) books a $2 billion trading loss, and the figure could rise by another $1 billion. (Reuters)

China’s industrial production and retail activity slow to multiyear lows. (Reuters)

Germany tells Greece it must rely on its reforms and not more bailout alterations. (Reuters)

Yahoo!’s (NASDAQ: YHOO) CEO says he never supplied its board with a resume. (Reuters)

Sony’s (NYSE: SNE) shares fall to a multidecade low after it posts a huge annual loss. (Reuters)

AT&T (NYSE: T) and Leap Wireless (NASDAQ: LEAP) are said to have discussed a buyout. (Reuters)

Chesapeake Energy (NYSE: CHK) has huge liabilities from $1.4 billion off-balance-sheet commitment. (WSJ)

China wants the Big Four auditors to turn over their local activities to native firms. (WSJ)

Credit Agricole’s earnings are hurt by positions in Greece. (WSJ)

T-Mobile says it had severe customer losses last quarter. (WSJ)

Intel (NASDAQ: INTC) says demand from corporate customers remains good. (WSJ)

Top CEOs lobby Congress on concerns about the nation’s increased debt. (WSJ)

Bank of France data shows France will have zero GDP growth in the first half. (WSJ)

An FDA advisory committee backs a new obesity drug from Arena Pharmaceuticals (NASDAQ: ARNA). (WSJ)

Mortgage rates continue to fall to all-time lows. (WSJ)

Corn prices fall as the U.S. increases estimates for crop sizes. (WSJ)

Microsoft (NASDAQ: MSFT) and Facebook join forces to create a new version of Bing to better compete with Google (NASDAQ: GOOG). (NYT)

Policy markets discover that the U.S. manufacturing industry needs subsidies to survive. (NYT)

Moody’s issues warnings about capital reserves to many global banks. (FT)

U.S. banks may be hurt by a series of credit agency downgrades that could happen in the next month. (FT)

An FTC review could delay Facebook’s deal to buy Instagram. (FT)

Spain may be given more time to handle its debt if it submits to reviews and audits of its financials. (FT)

UK consumer confidence falls, according to the National Building Society. (Bloomberg)

Douglas A. McIntyre

American International Group, Inc. (NYSE: AIG) Raised to Buy at Goldman Sachs.

Analog Devices, Inc. (NASDAQ: ADI) Cut to Neutral at UBS.

Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) Raised to Outperform at BMO.

ConocoPhillips (NYSE: COP) Resumed as Neutral at Credit Suisse.

Demand Media, Inc. (NYSE: DMD) Raised to Buy at Citigroup.

The Dow Chemical Company (NYSE: DOW) Raised to Overweight at Morgan Stanley.

Fossil, Inc. (NASDAQ: FOSL) Cut to Neutral at JPMorgan.

The Hershey Company (NYSE: HSY) Raised to Buy at Argus.

Jive Software, Inc. (NASDAQ: JIVE) Started as Hold at Needham

Marvell Technology Group Ltd. (NASDAQ: MRVL) Cut to Neutral at UBS.

Mercadolibre, Inc. (NASDAQ: MELI) Cut to Market Perform at Raymond James.

Phillips 66 (NYSE: PSX) Started as Outperform at Credit Suisse.

Qihoo 360 Technology Co. Ltd (NYSE: QIHU) Started as Buy at ThinkEquity.

Ubiquiti Networks, Inc. (NASDAQ: UBNT) Started as Outperform at Wedbush (late Tuesday call).

Youku Inc. (NYSE: YOKU) Started as Hold at ThinkEquity.

If you enjoyed the top analyst upgrades and downgrades, you can join our free email newsletter that includes analyst summaries each morning sent right to your inbox.  We also cover top issues such as IPOs, special financial exclusives, mergers and more. Sign up in the box below.

Your email address

subscribe

terms and conditions

JON C. OGG

Dendreon Corporation (NASDAQ: DNDN) said that its total revenue rose almost 200% to $82 million, but that is almost in-line and shows no upside surprise for PROVENGE sales.  Despite still having some $559 million in cash and near-term liquidity, a drop of 21% to $9.17 is really not hurting the overall biotech sector anywhere close to as much as we feared it would.

VIVUS Inc. (NASDAQ: VVUS) is weak after earnings as well as the loss was wider than expected, but it now has some of $333.4 million in cash and short-term now that it raised cash via a secondary offering.  This is still in a holding pattern as the current Qnexa NDA final decision is still out to about July 17, 2012.  A surprise mover to the upside is Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) with a rally ahead of its FDA meeting for lorcaserin as a weight-loss pill.  Arena shares are up 15% at $3.14 against a 52-week range of $1.23 to $3.47 and the current market cap is $571 million.

Vertex Pharmaceuticals Inc. (NASDAQ: VRTX) was up so much on Monday that you would have thought it was a takeover stock rather than a cystic fibrosis drug test that caused the pop.  Shares were up huge on Monday and Tuesday is seeing another day of bucking the trend as shares are up 5.3% at $61.20 at yet another 52-week high.  Its market cap is now magically almost $13 billion.  So far on Tuesday we have seen the following analyst rating changes: Raised to Equal-weight at Morgan Stanley; Raised to Outperform at Wells Fargo; and Raised to Buy at Needham.

Alnylam Pharmaceuticals, Inc. (NASDAQ: ALNY) is one of the upside exception today as J.P. Morgan initiated coverage with an Overweight rating.  Shares are up almost 5% at $10.44 against a 52-week range of $5.88 to $13.75.

Amgen Inc. (NASDAQ: AMGN) is a mix somewhere between biotech and pharma and it is following the defensive stocks today with a gain of 0.6% to $70.04 against a 52-week high of $72.00.  That new 2.1% dividend yield is offering some cushion it appears.

Savient Pharmaceuticals, Inc. (NASDAQ: SVNT) shows that investors will reward emerging pharma players merely for reaching agreements with creditors,  This stock is up 19% at $1.855 on only 2 million shares after it reached an agreement with some creditors to restructure a portion of its debt in a move anticipated to bring the equivalent of $44 million.  Its market cap is $131 million and the $1.86 compares to a 52-week range of $1.26 to $9.14.

JON C. OGG

The FDA has now decided to delay its approval decision date by three months (out to July 17) on VIVUS’ obesity pill called Qnexa.  VIVUS had submitted the FDA’s requested data on the company’s risk evaluation and mitigation strategy.  The new plan was based upon discussions that VIVUS had with the agency after FDA panel advisers voted in favor of Qnexa in late-February.  That move sent shares through the roof even though the panel did raise some concerns that Qnexa may potentially contribute to birth defects in pregnant women and due to some heart risks.

As a reminder, VIVUS is in a race with Arena Pharmaceuticals Inc. (NASDAQ: ARNA) and also with Orexigen Therapeutics Inc. (NASDAQ: OREX) to win the first FDA approval for an obesity pill in more than a decade.  The weight loss pill market has been riddled with side effects and the history has been less than pleasant.  Now the hope is that the obesity epidemic has reached such a large size and has created such a high cost that the FDA will weigh the benefits over the risks.

VIVUS shares were down about 8% around $21.10 on last look on Monday evening after the FDA delay was announced and shares are indicated around $21.15 in early bird trading on Tuesday morning with well over 2 hours until the market opens.

JON C. OGG

Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) Cut to Neutral at Piper Jaffray.

A123 Systems, Inc. (NASDAQ: AONE) Cut to Hold at Deutsche Bank.

Chimera Investment Corporation (NYSE: CIM) Cut to Hold at Deutsche Bank.

DirecTV, Inc. (NASDAQ: DTV) Raised to Buy at Citigroup; Reiterated as Buy at Canaccord Genuity.

Freescale Semiconductor Holdings (NYSE: FSL) Started as Neutral at Goldman Sachs.

Hatteras Financial Corporation (NYSE: HTS) Raised to Buy at Deutsche Bank.

IAC/InterActiveCorp (NASDAQ: IACI) Cut to Neutral at Citigroup.

Kinder Morgan Inc. (NYSE: KMI) Started as Equal-weight at Morgan Stanley.

NVIDIA Corporation (NYSE: NVDA) Raised to Market Perform at JMP Securities.

Progressive Corporation (NYSE: PGR) Raised to Outperform at Credit Suisse.

Salesforce.com (NYSE: CRM) Reiterated as Buy and raised target to $180 at Canaccord Genuity.

Verizon Communications Inc. (NYSE: VZ) Cut to Sector Perform at RBC.

Weight Watchers International Inc. (NYSE: WTW) Started as Outperform at Credit Suisse.

If you enjoyed the top analyst upgrades and downgrades, you can join our free email newsletter that includes analyst summaries each morning sent right to your inbox.  We also cover top issues such as IPOs, special financial exclusives, mergers and more. Sign up in the box below.

Your email address

subscribe

terms and conditions

JON C. OGG

The unofficial closing bells put the DJIA up more than 161 points to 13,241.93(1.23%), the NASDAQ rose nearly 55 points (1.78%) to 3,122.57, and the S&P 500 rose 1.39% or more than 19 points to 1,416.50.

There were several analyst upgrades and downgrades today, including Baker Hughes Inc. (NYSE: BHI) cut to ‘market perform’ at Wells Fargo; Micron Technology Inc. (NASDAQ: MU) cut to ‘perform’ at Oppenheimer; Safeway Inc. (NYSE: SWY) cut to ‘neutral’ at Credit Suisse; Tesla Motors Inc. (NASDAQ: TSLA) raised to ‘buy’ at Wunderlich; and Magic Investment Corp. (NYSE: MTG) started as ‘market perform’ at Keefe Bruyette Woods.

Earnings reports since markets closed last night have led to some price changes as of the last half hour of trading today: Cal-Maine Foods Inc. (NASDAQ: CALM) is down -5.7% at $39.58; and Saratoga Resources Inc. (AMEX: SARA) is up 6.9% at $7.43. After markets close today Apollo Group Inc. (NASDAQ: APOL) and Gol Linhas Aereas Inteligentes SA (NYSE: GOL) report earnings. Before the markets open in the morning, we’ll get earnings from Walgreen Co. (NYSE: WAG) and homebuilder Lennar Corp. (NYSE: LEN).

Other standouts from today include the following stocks:

Verenium Corp. (NASDAQ: VRNM) is up nearly 20% at $3.69 after posting a new 52-week high of $4.15 earlier today. The enzyme maker is selling some assets. More coverage here.

Schulumberger Ltd. (NYSE: SLB) is down -1.1% at $72.36. The oil field services giant warned on earnings. More coverage here.

A123 Systems Inc. (NASDAQ: AONE) is down about -13.4% at $1.47 after posting a new 52-week low of $1.45 earlier. The company will recall certain batteries for replacement. More coverage here.

AudioCodes Ltd. (NASDAQ: AUDC) is down -16.2% at $2.95. The network gear maker lowered its outlook. More coverage here.

Arena Pharmaceuticals Inc. (NASDAQ: ARNA) is up more than 24% at $2.99 after posting a new 52-week high of $3.19. The drug-maker has begun the process of getting a new drug to market in Europe. More coverage here.

Stay tuned for Tuesday. Federal Reserve Chairman Ben Bernanke and Boston Fed President Eric Rosengren are giving speeches. We have also noted the following events on the schedule (all times Eastern):

• 9:00 a.m. – S&P Case-Shiller housing price index
• 10:00 a.m. – Conference Board consumer confidence index
• 10:00 a.m. – Richmond Fed manufacturing index
• 11:30 a.m. – 4-week Treasury bill auction
• 2:00 p.m. – 2-year note auction

Your email address

subscribe

terms and conditions

Paul Ausick

The company also said that it had scheduled a meeting with the US Food and Drug Administration for May 10th to discuss resubmission of the company’s new drug application in the US. Lorcaserin is one of three weight-loss drugs currently in the mix for FDA approval. Qnexa from Vivus Inc. (NASDAQ: VVUS) and Contrave from Orexigen Therapeutics Inc. (NASDAQ: OREX) are the others.

Arena’s shares are up nearly 17% this morning, at $2.81 after posting a new 52-week high of $2.88 earlier. The 52-week low is $1.21.

A win for one obesity drug is actually considered a win for all potential obesity drugs because the FDA has been so reluctant to approve or allow obesity treatments compared to the past.

Orexigen Therapeutics, Inc. (NASDAQ: OREX) was up over 5% today at $3.21, but shares in the after-hours session are trading up a sharp 18% at $3.70.

Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) is often considered the #3 player of the group and its shares closed up 0.5% at $1.81 and is up another 2.2% at $1.89 in the after-hours trading session.

VIVUS was halted today so we will have to wait for the early pre-market trading indications early Thursday morning.  After a $10.55 close yesterday, the 52-week trading range for the stock is $6.00 to $13.18.

While the short interest has actually been slightly down, there are still some 15.6 million shares as of the last NASDAQ short interest report and the average daily volume on non-news days is not even 3 million shares.

As a reminder, the FDA is not required to follow the panel recommendation (even if it usually does) for a formal marketing approval.

The FDA LIVE page called today…. The committee will discuss the safety and efficacy of new drug application (NDA) 22-580, proposed trade name QNEXA (phentermine/topiramate) Controlled-Release Capsules, manufactured by VIVUS, Inc., as an adjunct to diet and exercise for weight management in patients with a body mass index (BMI) equal to or greater than 30 kilograms (kg) per square meter or a BMI equal to or greater than 27 kg per square meter if accompanied by weight-related comorbidities.

JON C. OGG