10 Min Read
April 5 (Reuters) - Some U.S. stocks on the move on Friday:
U.S. stocks dropped more than 1 percent on Friday in the wake of payrolls data that was much weaker than expected, the latest in a series of reports to indicate economic growth may be losing momentum.
The Dow Jones industrial average was down 140.64 points, or 0.96 percent. The Standard & Poor's 500 Index was down 17.41 points, or 1.12 percent. The Nasdaq Composite Index was down 47.49 points, or 1.47 percent.
** CITIGROUP, $41.77, down 2 pct (0933 ET)
** JPMORGAN CHASE & CO, $46.98, down 1 pct
** BANK OF AMERICA, $11.68, down 2 pct
** D.R. HORTON INC, $22.34, down 2 pct
** PULTEGROUP INC, $18.43, 3 pct
** LENNAR CORP, $38.02, down 2 pct
** TOLL BROTHERS INC, $31.21, down 2 pct
** KB HOME, $20.02, down 3 pct
Shares of lenders and homebuilders fell after March payrolls data came in well below expectations, as American employers hired at the slowest pace in nine months, a sign a that Washington's austerity drive could be stealing momentum from the economy.
The economy added just 88,000 jobs last month and the jobless rate ticked a tenth of a point lower to 7.6 percent, largely due to people dropping out of the work force, Labor Department data showed on Friday.
** DRDGOLD LTD , $7.49, up 5 pct (0950 ET)
** MCEWEN MINING INC , $2.76, up 5 pct
** ROYAL GOLD INC, $69.88, $4 pct
** NEWMONT MINING CORP, $39.98, up 2 pct
** YAMANA GOLD INC , $14.59, up 2 pct
** GOLDCORP INC , $32.03, up 1 pct
Spot gold traded around $1,550 an ounce on Friday, repairing some of the damage after slipping a day earlier to its lowest level since May last year at $1.539.74.
The prices jumped after U.S. non-farm payrolls data came in much weaker than expected, stoking fears the recovery of the world's largest economy is losing momentum.
** F5 NETWORKS INC, $73.10, down 19 pct (0930 ET)
** JUNIPER NETWORKS INC, $16.79, down 6 pct
** CITRIX SYSTEMS INC, $64.70, down 7 pct
** CISCO SYSTEMS INC, $20.14, down 4 pct
** CAVIUM INC, $32.92, down 8 pct (1013 ET)
F5 Networks estimated second-quarter results way below analysts' expectations, hurt by U.S. federal budget cuts and a delay in orders in North America.
The outlook dragged shares of other network gear makers.
A host of brokerages, including Citi Investment Research, Piper Jaffray and William Blair & Co, downgraded F5 network's stock on Friday, while several others cut their target price on the stock.
"From our perspective, it feels like the business isn't a mid-teens grower any more as the market gets a bit more saturated and F5's ability to take additional market share wanes," Jefferies & Co analyst George Notter wrote in a note and slashed his price target on the stock to $82 from $91.50.
** DELTA AIR LINES INC, $14.04, down 5 pct (1011 ET)
** ALASKA AIR GROUP INC, $58.28, down 2.7 pct
** UNITED CONTINENTAL HOLDINGS INC, $28.10, down 4 pct
** U.S. AIRWAYS GROUP, $15.18, down 3 pct (1013 ET)
** JETBLUE AIRWAYS CORP, $6.41, down 1.2 pct
** SOUTHWEST AIRLINES CO, $12.56, down 2 pct
J.P. Morgan Securities cut its revenue expectations for U.S. airlines by 2 percent to 3 percent for 2013 and 2014 and said it expects monthly revenue per available seat mile (RASM) to turn negative for some airlines, hurt by sequestration. RASM is the money received for each available seat mile.
"We're growing weary that purported revenue benefits of consolidation appear nowhere to be found," it said in a note to clients.
** HEWLETT-PACKARD, $21.87, down 2 pct (0932 ET)
Hewlett-Packard Chairman Ray Lane, who has come under fire from shareholders for his role in the acquisition of software company Autonomy Plc, has relinquished his post in the No.1 personal computer maker's latest board shake-up. Director and activist investor Ralph Whitworth will serve as interim chairman until Lane's replacement is found.
The appointment of activist investor Ralph Whitworth as his interim replacement is a positive move that sets the stage for a more "shareholder friendly" board, analysts said on Friday.
** FACEBOOK INC, $26.74, down 1 pct (0941 ET)
** GOOGLE INC, $781.28, down 1.7 pct
The company on Thursday unveiled its most ambitious attempt yet to enter the mobile computing market without a phone of its own, introducing a new app that replaces the home screen on some Android smartphones.
Analysts say should the new software take off, it may begin to draw users away from Google services. Offering Facebook messaging, social networking and photos on the very first screen that Android users see could divert attention from the panoply of services, such as search and email, which generate advertising revue for Google.
** RIGEL PHARMACEUTICALS, $4.99, down 33 pct (0936 ET)
London-based AstraZeneca, which licensed its experimental rheumatoid arthritis pill named fostamatinib from Rigel in 2010, said it met only one of two goals in a late-stage clinical trial. Rigel's stock was the top percentage loser on the Nasdaq.
** NII HOLDINGS, $4.98, up 9 pct (0939 ET)
The Latin American telecom service provider said on Thursday its has agreed to sell its Peruvian operations to Empresa Nacional de Telecomunicaciones SA for about $400 million. NII's stock was on eof the top percentage gainers on the Nasdaq.
** RADWARE LTD, $28.98, down 22 pct (0936 ET)
The Isreal-based network equipment maker estimated first-quarter results below analysts' expectations on weak performance in EMEA and China. The company is scheduled to report quarterly results on April 25.
** ALAMOS GOLD INC , $12.87, up 2 pct (1020 ET)
Brokerage CIBC resumed coverage of the Canadian gold miner with a "sector performer" rating, saying that with the failed hostile bid for peer Aurizon Mines Ltd behind it, Alamos can now focus on production from newly-acquired assets in Turkey to partly offset rising costs and lower-grade gold ores.
** APPLE INC, $422.57, down 1 pct (0934 ET)
Samsung Electronics, the iPhone's main adversary, estimated its January-March operating profit rose 53 percent to 8.7 trillion won ($7.7 billion) as sales of mid-tier smartphones helped the South Korean company tide over the off-peak season.
** SABA SOFTWARE INC, $7.14, down 7 pct (0935 ET)
The enterprise software provider said on Thursday it will delist its common stock from the Nasdaq later this week, as it had failed to comply with the U.S. Securities and Exchange Commission's filing requirements for continued listing.
Saba, which said last March it was reviewing certain international transactions, has not issued quarterly results since then.
** PICO HOLDINGS INC, $23.18, up 7.8 pct (1001 ET)
Homebuilder UCP LLC, owned by diversified holding company Pico Holdings Inc, filed with U.S. regulators to raise up to $125 million through an initial public offering of its shares. U.S. homebuilders are taking advantage of a strong recovery in the housing market, which is getting a boost from low mortgage rates and rising rents.
** ACURA PHARMACEUTICALS INC, $2.20, up 7 pct (1031 ET)
The company said it received a U.S. patent for its abuse resistant drug technology, which prevents common methods of substance abuse like snorting and injecting drugs. The abuse resistant drug technology is called Aversion and certain claims in the patent are licensed to Pfizer Inc, the company said in a statement.
** EXCO RESOURCES INC, $7.18, up 7 pct (1034 ET)
** BILL BARRETT CORP, $20.77, up 5 pct (1034 ET)
** ULTRA PETROLEUM CORP, $19.88, up 5 pct (1034 ET)
Goldman Sachs upgraded Bill Barrett's stock to "buy" from "neutral", citing a likely increase in natural gas prices as they no longer saw a surplus in supply, according to streetinsider.com.
The brokerage said prices would rise to the upper end of $4 to $4.50 per million metric British thermal units range, benefitting oil and gas companies with a higher mix of natural gas.
** ENERGY TRANSFER PARTNERS, $48.19, down 4 pct (0954 ET)
The pipeline company priced its offering of 12 million common units at $48.05 per unit, below Thursday's close of $50.35.
** EVERCORE PARTNERS INC, $36.67, down 5 pct (0955 ET)
Keefe Bruyette & Woods downgraded the boutique investment bank to "marketperform" from "outperform," citing a slowdown in global completed M&A volume. The brokerage also cuts its target price on the stock to $41 from $42.
** WD-40 CO, $54.81, up 3 pct (0936 ET)
The lubricant maker's second-quarter profit zoomed past Wall Street expectations as price increases and stability in commodity costs boosted margins.
The company also benefited from supply chain initiatives in China and North America. Gross margin was 50.9 percent in the quarter, compared with 49.0 percent, a year earlier.
** TEREX CORP, $29.73, down 7 pct (0937 ET)
Wells Fargo Securities cut its rating on the equipment maker's stock to "market perform" from "outperform" on concerns that weak construction activity in Europe could hit demand for cranes. Crane demand in the United States has also moderated, with little growth in demand for rough terrain, all terrain and boom trucks, Wells Fargo said.
** MAKO SURGICAL CORP, $10.74, up 2 pct (0939 ET)
The medical device maker said it was granted a court order instructing privately owned medical technology company Blue Belt Technology Inc, against employing a former sales manager of Mako. The order also instructed Blue Belt to destroy all business information owned by Mako.
** WALT DISNEY CO, $56.90, down 1 pct (0940 ET)
The company expects to begin layoffs at its studio and consumer product divisions within the next two weeks, a source with knowledge of the matter told Reuters, in the latest cost-reduction step to emerge from a company-wide review. (Compiled by Pallavi Ail in Bangalore,)