8 Min Read
(Adds Pepsico, Campbell, Herbalife, gold and silver stocks, Procera, Greenbrier, The Medicines, Cyan; Updates Boeing, Monsanto, Wet Seal, Kalobios) (For faster updates on individual market-movers, Eikon users please use search string "STXBZ US"; for the Day Ahead newsletter, link.reuters.com/mex49s; for the Morning News Call newsletter, link.reuters.com/nex49s)
U.S. stocks bounced back on Wednesday after five sessions of losses, following strong private sector jobs data and as deflation concerns in the euro zone were seen pushing the bloc's central bank into action. The Dow Jones industrial average was up 0.46 percent at 17,452.23, the S&P 500 was up 0.52 percent at 2,012.93, after five sessions of declines, and the Nasdaq Composite was up 0.79 percent at 4628.99.
** PEPSICO INC, $95.12, +2.26 pct
** CAMPBELL SOUP CO, $44.8, +4.09 pct
The World Street Journal reported that Brazilian investment firm 3G Capital Partners was considering bids for the companies. (on.wsj.com/1KkoEm2).
** PROCERA NETWORKS INC, $8.49, +19.75 pct
The network equipment maker expects fourth-quarter revenue of $23.5-$24.5 million, above analysts' average estimate of $20.9 million. Procera said it expects to be profitable in the fourth quarter, on an adjusted basis. Analysts on average were expecting a loss of 1 cent per share.
** IAMGOLD CORP, $3.2, -1.54 pct
** FIRST MAJESTIC SILVER CORP, $6.22, -2.20 pct
** AURICO GOLD INC, $3.96, +1.02 pct
** PAN AMERICAN SILVER CORP, $10.23, -0.10 pct
** KINROSS GOLD CORP, $3.36, +0.90 pct
** YAMANA GOLD INC, $4.525, +1.00 pct
** GOLDCORP INC, $20.67, +1.77 pct
** SEABRIDGE GOLD INC, $9.07, +2.49 pct
Gold and silver miners' U.S.-listed shares fell as a strong dollar pulled down gold prices after a three-day rise. Spot gold fell 0.5 pct to $1,212.16 an ounce. Spot silver was down 1.3 pct to $16.31 an ounce.
** GREENBRIER COS INC, $52.64, +6.75 pct
The railcar maker raised its full-year profit and revenue forecast after reporting a better-than-expected first-quarter profit. The company was to buy a 19.5 percent stake in Brazilian railcar manufacturer Amsted-Maxion Hortolandia for $15 million.
** THE MEDICINES CO, $24.88, -1.54 pct
The drugmaker will offer $300 million convertible notes due in 2022, with pricing scheduled after market closes on Wednesday.
** CYAN INC, $3.25, +27.45 pct
The maker of software-defined network applications raised its fourth-quarter revenue forecast to $30 million-$31 million, from $24 million-$26 million.
** HERBALIFE LTD, $30.29, -0.43 pct
Activist investor Bill Ackman of Pershing Square Capital Management said the weight-loss and nutritional products maker's earnings will miss estimates and it will have to revise its forecast. (cnb.cx/1HMWfCZ)
Portfolio manager Paul Sohn, who led Soros Fund Management to invest in Herbalife, left Soros last year, CNBC reported on Tuesday, citing unnamed sources.
** BOEING CO, $128.86, +1.04 pct
The planemaker said it delivered 723 jetliners in 2014, hitting its own target, setting an industry record and retaining its title as the world's biggest plane maker, besting rival Airbus Group.
** MONSANTO CO, $117.43, +1.44 pct
The world's largest seed company reported a 34 percent drop in quarterly profit, in part because of lower planted corn acreage in South America and a shift in timing of some sales, but the decline was less steep than analysts expected.
** WET SEAL INC, $0.1098, +99.64 pct
The struggling apparel retailer said it laid off about 3,700 full- and part-time employees on Wednesday as it went ahead with the closure of 338 stores. The closures follow the failure to re-negotiate meaningful concessions from landlords, the company said.
** KALOBIOS PHARMACEUTICALS INC, $0.5728, -68.70 pct
The drug developer said it would discontinue development of its drug for lung infections in cystic fibrosis patients after it failed in a mid-stage study.
The company said the drug, codenamed KB001-A, was being developed to treat a powerful superbug that caused lung infections. Shares has fallen below $1 first time ever.
** NETLIST INC, $1.02, +21.07 pct
Needham & Co raised its rating on the memory products maker's stock to "buy" from "hold". Analyst Richard Kugele said Netlist has likely won a preliminary injunction on Jan. 6 over SanDisk Corp, preventing future shipments of the ULLtraDIMM.
Kugele says granting the injunction means court believes Netlist stands a "very high likelihood" of prevailing in the upcoming contract and trade secret case over the product.
** GALECTIN THERAPEUTICS INC, $4.1, +26.94 pct
The drug developer said final results of the early-stage trial of its GR-MD-02 in fatty liver disease, or nonalcoholic steatohepatitis with advanced fibrosis, demonstrated that the drug was safe and well tolerated after multiple doses.
** J.C. PENNEY CO INC, $7.7, +17.38 pct
The department store operator said same-store sales rose 3.7 percent in November and December, boosting its shares and offering a glimpse of what is expected to be the best holiday season for retailers since.
** PORTUGAL TELECOM SGPS SA, $0.8, -15.79 pct
Shares in Portugal Telecom slumped 20 percent to all-time lows on Wednesday as investors dumped the stock after authorities searched its offices on suspicions of fraud.
** ZAFGEN INC, $36.2239, +12.60 pct
The company said a mid-stage study showed its experimental drug reduced weight in patients obese due to damage to a part of the brain. The drug, beloranib, was tested against a placebo in 14 adults with obesity resulting from damage to the hypothalamus following surgery to remove a kind of brain tumor.
** KARYOPHARM THERAPEUTICS INC, $31.67, -5.38 pct
The drug developer priced its public offering of 3 million shares at $33 each, a discount of 1.4 percent to stock's Tuesday closing. Offering represents about 9 percent of Karyopharm's outstanding shares as of Jan. 6, according to Thomson Reuters data.
** ALKERMES PLC, $64.615, +6.05 pct
Alkermes said its experimental drug to treat schizophrenia met the main goal in a mid-stage trial. The drug, codenamed ALKS 3831, is a combination of samidorphan and the antipsychotic olanzapine.
** KEURIG GREEN MOUNTAIN INC, $132.55, +4.21 pct
** SNAPPLE GROUP INC, $71.8, +0.45 pct
The maker of the K-Cup single-serve coffee pod will sell Dr Pepper Snapple Group's soda pods for its at-home cold beverage system, Keurig Cold, expected to be launched this year.
** SIRIUS XM HOLDINGS, $3.4, +1.49 pct
The satellite radio service company said it would beat its 2014 revenue forecast of $4.15 billion after net subscriber additions exceeded expectations. The company reported about 1.8 million net subscriber additions for the year, above its increased forecast of 1.5 million.
** AVEO PHARMACEUTICALS INC, $0.781, -7.02 pct
The company doing business as Aveo Oncology said it planned to cut two-thirds of its workforce, or 40 positions, as part of a restructuring that includes the departure of Chief Scientific Officer Jeno Gyuris.
** CONTINENTAL RESOURCES INC, $34.59, +2.98 pct
CEO Harold Hamm, embroiled in a bitter divorce, offered to pay his former wife $974.8 million, but she rejected a hand-written check, lawyers for both sides said on Tuesday.
** SUPERVALU INC, $9.31, +1.31 pct
The supermarket chain reported third-quarter adjusted profit and sales above analysts' estimates as comparable sales rise at its Save-A-Lot stores. sales at Save-A-Lot stores rose 6.9 percent in third quarter. Analysts expected 4.8 percent rise, according to Consensus Metrix poll. (Compiled by Lehar Maan; Editing by Joyjeet Das)