12 Min Read
April 16 (Reuters) - Some U.S. stocks on the move on Tuesday:
Stocks bounced back after their worst decline since early November, following solid earnings from Coca-Cola and Johnson & Johnson and inflation data that reinforced expectations that the Federal Reserve will keep its stimulus in place. The price of gold rebounded after its record daily drop in dollar terms on Monday. The Dow Jones industrial average rose 142.27 points, or 0.97 percent, to 14,741.47. The S&P 500 gained 19.27 points, or 1.24 percent, to 1,571.63 and the Nasdaq Composite added 42.77 points, or 1.33 percent, to 3,259.26.
** COCA-COLA CO, $42.26, up 5.4 pct (1235 ET)
The beverage maker reported a slightly higher-than-expected quarterly profit on Tuesday and announced a deal to unload some distribution territory to five independent U.S. bottlers,
** JOHNSON & JOHNSON, $83.37, up 2 pct (1237 ET)
The diversified healthcare company reported better-than-expected first-quarter earnings, as growth of newer medicines for cancer, hepatitis C and blood clots offset declining sales of its treatments for heartburn and attention deficit disorder.
** ALCOA INC, $8.11, up 1 pct (1237 ET)
The stock gained as copper prices edged up on hopes that the outlook for growth and demand from top consumer China would improve in coming months, prompting some short covering activity following hefty falls in the previous session. Three-month copper on the London Metal Exchange traded at $7,250 a tonne in official rings, up from Monday's close of $7,202, propping up shares of the largest U.S. aluminum producer.
** BOEING CO, $87.16, up 0.5 pct (1238 ET)
Jefferies & Co raised its price target on the aircraft maker's stock to $115 from $87. "Given the lengthy backlog and productivity initiatives, we can see earnings per share growing through 2016," analyst Howard Rubel wrote in a client note.
** GOLDMAN SACHS GROUP INC, $143.89, down 2 pct (1238 ET)
The New York-based bank reported higher quarterly earnings on Tuesday but said revenue from client trading fell 10 percent, raising questions about the health of its biggest money maker.
** CITIGROUP INC, $46.39, up 3.5 pct (1238 ET)
The No.3 U.S. bank's stock gained momentum after strong first-quarter results on Monday prompted at least two brokerages to raise their price target on the stock. "Our gut is the results likely confirm investor confidence and people stay long as Citi is interesting on an absolute basis and relative to US regionals and some European peers," Nomura analyst Glenn Schorr wrote in a note. Schorr also raised his target price on the stock to $50 from $45. Raymond James analyst Anthony Polini also increased his target price on the stock to $56 from $52. The bank had reported a stronger-than-expected 30 percent jump in profit on Monday on investment banking growth.
** U.S. BANCORP, $32.55, down 2 pct (1239 ET)
The fifth-largest U.S. commercial bank by assets reported a 1 percent decrease in quarterly revenue due to lower income from its mortgage banking business.
** GENERAL MOTORS CO, $29.27, up 1.2 pct (1239 ET)
The largest U.S. automaker said its first-quarter global sales rose 3.6 percent to nearly 2.4 million vehicles, as a strong showing in its two largest markets, the United States and China, offset cooling demand in Europe.
** RENEWABLE ENERGY GROUP INC, $8.90, up 4 pct (1239 ET)
West Central Cooperative, a beneficial owner of the biodiesel producer, said it sold 12,100 Renewable Energy shares at $9.50 each - a 11 percent premium to the stock's Monday's close on the Nasdaq.
** NEWMONT MINING CORP, $34.37, up 1 pct (1245 ET)
** ANGLOGOLD ASHANTI LTD, $18.54, up 1 pct (1245 ET)
** HARMONY GOLD MINING COMPANY LTD, $5.08, up 2 pct (1245 ET)
** BARRICK GOLD CORP , $20.09, down 1 pct (1245 ET)
** FIRST MAJESTIC SILVER INC, $11.88, down 3 pct (1245 ET)
** YAMANA GOLD INC , $11.99, up 1 pct (1245 ET)
** KINROSS GOLD CORP, $5.52, up 2 pct (1245 ET)
** RANDGOLD RESOURCES LTD, $71.02, up 3 pct (1245 ET)
Gold rebounded more than 1 percent after falling to two-year lows, although caution prevailed among investors worried over the health of the global economy. Gold's recovery comes a day after it shed $125 an ounce, its biggest-ever daily drop, as the selling that began on Friday stalled after prices hit their cheapest since January 2011. Spot gold was up 1.6 percent at $1,373.86 an ounce by 0714 GMT after hitting a session low of $1,321.35.
** UNIPIXEL INC, $36.75, up 15 pct (1242 ET)
Eastman Kodak Company and the LCD film maker said on Tuesday they have entered a manufacturing and supply agreement to produce touch sensors based on UniPixel's UniBoss multi-touch sensor film. The two companies will open a new manufacturing facility at Eastman Business Park in Rochester later this year. Unipixel shares touched a year-high at $36.83 earlier in the day.
** PEP BOYS-MANNY MOE AND JACK, $10.64, down 5.4 pct (1242 ET)
The automotive parts and service chain's quarterly loss widened from a year ago and missed the analysts' estimates of posting a profit of 5 cents per share, as the company took a pension related charge of $17.8 million for the quarter.
** STILLWATER MINING CO, $11.03, up 6 percent (1242 ET)
The platinum and palladium producer's shares rose on an uptick in prices of the precious metals. Platinum and palladium, which have been hammered by heavy selling along with other commodities, regained strength On Tuesday. Spot platinum was up 3 percent to $1,443 an ounce and palladium rose 4 percent to $678.50.
** SAREPTA THERAPEUTICS INC, $34.39, down 13 pct (1243 ET)
The company said U.S. health regulators have asked for additional information on eteplirsen, its experimental drug to treat a rare degenerative disease in boys.
At least two brokerages downgraded Sarepta's stock, citing the possibility that the drug will take longer to reach market.
** KEYNOTE SYSTEMS INC, $11.04, down 15 pct (1243 ET)
The company, which provides Internet and mobile cloud monitoring tools, estimated quarterly profit well below analysts' estimates saying four projects representing about $1.6 million in revenue were not accepted by customers. Shares touched their lowest in two-and-a-half years. Keynote said it expects a profit of 7 cents to 9 cents per share, excluding items, and revenue of $28.5 million to $29.5 million. Analysts expected an adjusted profit of 19 cents per share and revenue of $31.1 million, according to Thomson Reuters I/B/E/S.
** PIEDMONT OFFICE REALTY TRUST, $19.68, down 0.8 pct (1246 ET)
** BOSTON PROPERTIES INC, $109.63, up 1.4 pct (1246 ET)
** DIGITAL REALTY TRUST INC, $71.19, up 1.5 pct (1246 ET)
** PROLOGIS INC, $41.13, up 1.4 (1246 ET)
** EASTGROUP PROPERTIES INC, $61.22, up 2 pct (1246 ET)
** FIRST POTOMAC REALTY TRUST, $15.32, up 6 pct (1246 ET)
** DOUGLAS EMMETT INC, $25.89, up 1.1 (1246 ET)
Morgan Stanley said it expected REITs to remain in a sweet spot in 2013 given low interest rates and modest economic growth. The brokerage also said limited construction activity, especially in the commercial industry, would keep new supply off the market. Morgan Stanley raised its ratings on Boston Properties, EastGroup Properties and First Potomac to "overweight" from "equal weight." However, the brokerage cut its rating on Piedmont Office to "underweight" from "equal weight," citing operating performance challenges. Morgan Stanley also downgraded Douglas Emmett to "underweight" from "overweight."
** HALCON RESOURCES CORP, $6.80, up 6 pct (1247 ET)
Raymond James analysts initiated coverage on the oil and gas producer's stock with an "outperform" rating on Monday, estimating over 300 percent production growth this year. "The 81 percent liquids profile opens the door for higher margins with improving cost efficiencies and allows for strategic divestitures," analyst Andrew Coleman said.
** NORTHWEST BIOTHERAPEUTICS, $4.10, up 2.2 pct (1248 ET)
The biotechnology company said a late-stage trial testing its experimental brain cancer therapies has been adopted as a national priority trial in the UK, under a program managed by the National Institute for Health Research. Northwest said the support will help provide operational support for its study.
** Hertz Global Holdings Inc, $23.07, up 3.2 pct (1248 ET)
The No. 2 U.S. car rental company said it would buy a stake of about 20 percent in China Auto Rental (CAR), China's domestic market leader in car rentals. Under the agreement CAR will be granted a license for an initial 5-year term to operate on behalf of Hertz in China.
** ZIX CORP, $3.70, up 7 pct (1249 ET)
The company, which offers email encryption services, said on Monday it settled the lawsuit brought against it by RPost for alleged patent infringement. Terms of the settlement were not disclosed.
** WOLVERINE WORLD WIDE INC, $46.84, up 5 pct (1249 ET)
Wolverine World Wide's first-quarter results comfortably beat Wall Street estimates, as strong business in the United States offset challenges in Europe, prompting the shoemaker to forecast strong full-year results.
** HCA HOLDINGS INC, $37.68, up 3 pct (1249 ET)
The largest U.S. for-profit hospital operator on Monday announced a preliminary first-quarter revenue estimate that was below Wall Street expectations.
** MACK-CALI REALTY CORP, $27.16, down 3.5 pct (1249 ET)
The real estate investment trust said on Monday that it intends to reduce its second quarter dividend from the current 45 cents per common share to 30 cents per common share, to retain cash for investing in the company's multi-family residential platform.
Deutsche Bank cut its rating on the company's stock to "hold" from "buy."
** LDK SOLAR CO LTD, $1.07, down 4.5 pct (1251 ET)
The company partially defaulted on a $24 million bond due on Monday, almost a month after rival Suntech Power Holdings Co Ltd defaulted on its bonds, which could spark fears about the ability of other Chinese solar companies to repay debt. German-listed shares of the company fell about 26 percent on Tuesday morning.
** GENTIUM SPA, $7.94, up 3 pct (1251 ET)
The Italy-based pharmaceutical company said it appealed against the European health regulator's recommendation against granting marketing approval to Gentium's liver disorder drug. European Medicines Agency's Committee for Medicinal Products for Human Use has 60 days, from date of appeal filed, to consider a revision of its initial opinion.
Gentium is also seeking approval for the drug, named defibrotide, in the United States.
** J.C. PENNEY CO INC, $15.18, up 5.4 pct (1251 ET)
The U.S. retail chain has borrowed $850 million from its $1.85 billion revolving credit facility to help buy inventory as the department store operator revamps its business strategy after a failed turnaround.
Macy's Inc has filed an appeal challenging a judge's ruling that J.C. Penney can sell unbranded Martha Stewart goods in its stores for now - the latest salvo in a legal war between the two retailers over rights to the domestic doyenne's products.
** ANAREN INC, $22.46, up 15 pct (1252 ET)
Investment firm Vintage Capital Group LLC offered to buy telecommunication components maker Anaren for $23 per share in a deal valuing it at about $300 million.
** NETGEAR INC, $28.53, down 8 pct (1252 ET)
The network equipment maker estimated first-quarter revenue and earnings below analysts' expectations, citing lower-than-planned shipments of its new network attached storage product.
** W.W. GRAINGER INC, $243.52, up 8 pct (0949 ET)
The industrial distributor's first-quarter profit beat analysts' expectations, driven by a 13 percent rise in operating income, and the company raised the lower end of its 2013 forecast. (Compiled by Aditi Shrivastava; Editing by Joyjeet Das)