10 Min Read
(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. stock indexes rose on Monday as expectations the Federal Reserve will push any interest rate increases further into the year offset concerns over faltering economic growth spurred by a surprisingly weak jobs report on Friday. The Dow Jones industrial average was up 0.92 percent at 17,926.2, the S&P 500 was up 0.89 percent at 2,085.39 and the Nasdaq Composite was up 0.79 percent at 4,925.728.
** SHANDA GAMES LTD, $6.79, +4.62 pct
The Chinese online game developer said that it had agreed to be taken private by Capitalhold Ltd and its unit Capitalcorp Ltd in a deal valued at $1.9 billion. Capitalhold will pay $3.55 per ordinary share and $7.10 per American depositary share for Shanda.
** CHEETAH MOBILE INC, $20.9, +4.03 pct
The Chinese security software maker has signed an agreement with social and mobile advertising software provider Nanigans Inc. Cheetah Mobile will be exclusive partner of Nanigans in the Greater China region to manage campaigns for advertisers.
** TARGACEPT INC, $2.57, -9.82 pct
Pfizer Inc has ended a research and license deal on an experimental hemophilia drug with Catalyst Biosciences, which is merging with drug developer Targacept. Targacept said it was reviewing implications of the termination on the proposed merger with Catalyst.
** 3D SYSTEMS CORP, $28.63, +4.30 pct
The company acquired 3D printing sales and service provider Easyway Design and Manufacture Co in China, creating 3D Systems China.
** VOLTARI CORP, $4.13, +57.03 pct
The digital advertising company's deferred tax assets make it "a great buyout target" for a profitable company, which can use them to reduce future taxes, according to a commentary on Seeking Alpha. Voltari had $187 million in deferred tax assets as of Dec. 31.
** M&T BANK CORP, $123.9, -2.60 pct
** HUDSON CITY BANCORP INC, $9.77, -6.86 pct
M&T Bank said the proposed takeover of Hudson City had hit a snag. The Federal Reserve is unable to complete its review of the merger before the deal termination date of April 30. The deal, announced in August 2012 and expected to close in the second quarter of 2013, had previously run into trouble after the Fed raised concerns about M&T's anti-money laundering procedures.
** DELPHI AUTOMOTIVE PLC, $84.18, +3.70 pct
Brokerages raised their price targets on the stock after the company outlined its three-year organic growth and margin targets, which topped analysts' expectations. Morgan Stanley raised its target to $105 from $90, with "overweight" rating. Deutsche Bank, Credit Suisse, UBS also raise their targets.
** SUCAMPO PHARMACEUTICALS INC, $17.25, +10.08 pct
Analysts at Guggenheim Securities started covering the stock with a "buy" rating and a price target of $23. "We think Sucampo's forward integration from a royalty-driven business model to revenue-generating company will drive upward earnings revisions," analysts wrote in a note.
** LUMBER LIQUIDATORS HOLDINGS INC, $34.27, +3.22 pct
Raymond James & Associates Inc raised its rating on the hardwood flooring retailer's stock to "outperform" from "market perform", saying despite the crisis due to the "devastating" CBS News '60 Minutes' story on the company's Chinese-made laminated flooring, the "trend of sales, earnings, and share value will track higher over the longer term."
** CURIS INC, $2.54, +8.09 pct
The drug developer said on Monday that the U.S. Food and Drug Administration had granted orphan status for its lead cancer drug, CUDC-907. The company said the drug was being tested in early-stage studies and mid-stage studies were expected to begin in the second half of year.
** TESLA MOTORS INC, $205.12, +7.39 pct
The company said it delivered a record 10,030 cars in the first quarter, a 55 percent increase compared with the number of deliveries in the first quarter of last year.
** VENTAS INC, $76.9, +5.01 pct
The healthcare real estate investment trust said it would buy privately held hospital chain Ardent Medical Services Inc for $1.75 billion in cash.
** CAPNIA INC, $7.56, +1.48 pct
The medical diagnostics company said it was awarded research grant of about $220,000 by a division of the National Institutes of Health. The grant is to help fund the development of a modified version of the company's CoSense device, used for diagnosing sickle cell disease.
** SEABRIDGE GOLD INC, $6.57, +14.46 pct
** ANGLOGOLD ASHANTI LTD, $10.06, +6.79 pct
** AGNICO EAGLE MINES LTD, $31.17, +4.84 pct
** IAMGOLD CORP, $2.08, +5.05 pct
** SIBANYE GOLD LTD, $9.18, +4.79 pct
** YAMANA GOLD, $3.915, +4.68 pct
Shares of gold and silver miners gained as gold prices rose 1 percent to a seven-week high, climbing for a second straight session following U.S. jobs data. U.S. employment in March rose at slowest pace in more than a year, fueling expectations the Fed could postpone an anticipated rate increase.
** IMAX CORP, $35.79, +4.50 pct
Canaccord Genuity analysts raised their rating on the entertainment technology company's stock to "buy" from "hold," citing higher box office expectations of films slated for release in 2015. The brokerage also raised its price target to $38 from $35. "Furious 7, released in April, is now expected to generate just under $400 million domestically in its first month, well above the $240 million expected two months ago," analysts wrote in a note. "The strong results here would be an excellent lead-in to Avengers 2, which would likely be the biggest movie of 2015," they wrote.
** DIGITAL ALLY INC, $12.75, -6.80 pct
The wearable camera maker's shares fell after rising on Thursday following its tweet about a "big announcement" to be made on Friday. However, the announcement related to a five-year title sponsorship for Web.com Tour's Kansas City golf tournament. Investors had expected a material disclosure was forthcoming, according to Benzinga.
** MATTEL INC, $23.915, +5.59 pct
B. Riley & Co raised its rating on the company's stock to "buy" from "neutral". Mattel appointed on Thursday Christopher Sinclair as its permanent chief executive, betting on an insider to lead the company's efforts to regain favor among young customers. Sinclair is focused on a rapid turnaround and has a "clear game plan", B. Riley analyst Linda Bolton Weiser wrote in a note.
** NEWMONT MINING CORP, $22.57, +1.03 pct
Deutsche Bank analysts raised their price target on the gold producer's stock to $23 from $21, citing improvements in the company's balance sheet post the sale of its Penmont assets in Mexico as well as a better 2015-2017 outlook
** RESONANT INC, $4.8, -35.05 pct
The radio-frequency component developer said on Friday that its first customer terminated a development agreement and asked the company to pursue commercialization through a manufacturer. Resonant is re-evaluating its earlier forecast on when it will get its first revenue.
** BIND THERAPEUTICS INC, $5.81, +5.25 pct
The drug developer extended its global collaboration with Pfizer Inc to develop Accurins that optimize therapeutic potential of two cancer drugs in Pfizer's pipeline.
** UNIQURE NV, $33.4637, +46.39 pct
The Netherlands-based drug developer signed an agreement with Bristor-Myers Squibb Co to develop gene therapies for cardiovascular diseases. Bristol-Myers will make near-term payments of about $100 million to UniQure, including an upfront payment of $50 million on the closing of transaction. UniQure will also be eligible for milestone payments of up to $217 million for each other gene therapy product that is potentially developed under the collaboration.
** MAGNUM HUNTER RESOURCES CORP, $2.62, -6.43 pct
The oil and gas producer may face enforcement action by the U.S. Securities and Exchange Commission after investigations related to its financial reporting in 2012 and 2013. The company received 'Wells notice' from the SEC on Friday.
** CYTORI THERAPEUTICS INC, $1.35, +16.38 pct
The cell therapy developer said Chinese regulators had cleared its device that uses the patient's own cells to repair injured tissue. Cytori said its licensee Lorem Vascular would immediately launch the device, Celution Systmes, in key hospitals in China.
** EOG RESOURCES INC, $95.18, +2.66 pct
** DEVON ENERGY CORP, $63.79, +1.98 pct
** HESS CORP, $72.25, +4.41 pct
** MURPHY OIL CORP, $49.92, +3.16 pct
** RPC INC, $14.18, +6.06 pct
** C&J ENERGY SERVICES INC, $12.65, +11.26 pct
** NATIONAL OILWELL VARCO INC, $52.84, +3.16 pct
** SCHLUMBERGER NV, $86.94, +3.02 pct
Shares of oil companies rose after oil futures climbed more than $1 per barrel on Monday. Saudi Arabia raised its prices for crude sales to Asia for the second month running, signaling improved demand in the region.
** DELTA AIR LINES INC, $41.49, -1.80 pct
** JETBLUE AIRWAYS CORP, $18.62, -1.53 pct
** AMERICAN AIRLINES GROUP INC, $48, -2.39 pct
** UNITED CONTINENTAL HOLDING INC, $60.21, -2.70 pct
** SOUTHWEST AIRLINES CO, $41.33, -3.57 pct
Shares of U.S. airlines fell as oil futures climbed more than $1 per barrel. Saudi Arabia raised its prices for crude sales to Asia for the second month running, signaling improved demand in the region. Brent crude for May delivery touched a high of $56.90 per barrel while U.S. crude for May delivery rose $1 to $50.14 per barrel.
** SANDISK CORP, $67.51, +4.55 pct
Susquehanna Financial Group analyst Mehdi Hosseini said an analysis suggested that Western Digital Corp could acquire the memory chip maker for a 35 percent premium to the stock's current price. The combined company's earnings will become accretive by the second year, Hosseini said. (Compiled by Neha Dimri in Bengaluru; Editing by Kirti Pandey)