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U.S. stocks edged higher on Tuesday, with the S&P 500 rising to a fresh record on strong consumer data, but gains were capped as investors found few reasons to make major changes to their portfolios amid a long-running rally. The Dow Jones industrial average was up 0.44 percent at 17,152.4 and the S&P 500 was up 0.35 percent at 2,004.96.
** BURGER KING WORLDWIDE INC, $31.69, -2.19 pct
** TIM HORTONS INC, $81.5, +9.07 pct
Burger King agreed to buy Canadian coffee and doughnut chain Tim Hortons in cash and stock to create the third-largest quick service restaurant group with sales of about $23 billion.
** BEST BUY CO INC, $30.43, -4.88 pct
The largest U.S. specialty retailer of consumer electronics reported a 4 percent drop in quarterly revenue due to lower traffic in its stores.
For a graphic on Best Buy vs. its peers: link.reuters.com/pub26v
** XUEDA EDUCATION GROUP, $3.87, -16.41 pct
The Chinese education company reported an 11 percent fall in second-quarter net income attributable to the company to $15.3 million as margins and average total revenue per student dropped. The company also said it expects third-quarter revenue to be down about 8 percent. Xueda forecast an adjusted net loss attributable to the company of 8 cents per ADS, compared with a profit of 4 cents per ADS a year earlier.
** KITE PHARMA INC, $25.9775, +16.49 pct
The drug developer said its experimental cancer immunotherapy showed potential in treating patients with an aggressive form of blood cancer, in an early-stage study.
** IKANG HEALTHCARE GROUP INC, $19.83, -12.45 pct
The Chinese preventive healthcare services provider reported weaker-than-expected first-quarter profit and revenue, hurt by a 46 percent rise in costs.
** DORAL FINANCIAL CORP,$7.14, -14.59 pct
The lender ended negotiations with Puerto Rico treasury department without settling claims related to a lawsuit.
Doral sued the government in June for voiding an agreement that required the treasury department to pay it about $230 mln in tax refunds. The Court of First Instance scheduled the trial for Sept. 16, 17 and 18.
** DIGITAL ALLY INC, $14.75, +18.00 pct
Public outrage over the Aug. 9 police shooting of 18-year-old Michael Brown in Ferguson, Missouri, has led a growing crowd to sign a White House petition calling for police to be required to wear cameras on the job. This in turn has fueled interest in the wearable camera maker’s devices.
** ADEPT TECHNOLOGY INC, $8.96, -19.50 pct
The robot maker’s CEO said he was “less than satisfied” with sales performance in the United States, as the company reported a bigger fourth-quarter loss.
** MEDICINOVA INC, $2.2699, +9.13 pct
The drugmaker said on Monday it got the U.S. FDA approval to begin clinical trial of an experimental drug in Lou Gehrig’s disease - a progressive neurodegenerative disorder.
The drug, codenamed MN-166, is being studied as a potential treatment in three addiction indications as well as progressive multiple sclerosis.
** ARCELORMITTAL SA, $14.71, +4.92 pct
Analysts at UBS Investment Research increased their price target on the steelmaker’s U.S.-listed stock to $19 from $14 and rating to “buy” from “sell”.
“We now see signs of an EU recovery, which could see sector profitability improve by a factor of three or four over the next 2-3 years,” the analysts said.
** SANDERSON FARMS INC, $90.12, -5.26 pct
The poultry producer reported third-quarter profit and sales lower-than-expected as poultry processing volume fell and employee compensation costs rose. The company said it processed lesser fresh poultry than it projected in May due to lower hatch rates and a fall in the weight of chickens. Sanderson also said that it set aside $15.5 million to pay bonuses, more than double last year, and set aside $11 million for contribution to employee stock ownership program, double the amount last year.
** TRINA SOLAR LTD, $12.36, -7.55 pct
The company’s second-quarter revenue lagged expectations as it sold fewer solar panels than expected and at a lower price.
** PROSPECT CAPITAL CORP, $10.56, -3.83 pct
The investment management company’s fourth-quarter net investment income dropped 8.7 percent to $84.1 million, or 25 cents per share, as operating expenses increased. Analysts on average had expected income of 32 cents per share, according to Thomson Reuters I/B/E/S.
** CNINSURE INC, $7.18, +2.72 pct
The Chinese insurer’s second-quarter revenue rose 21 percent and net income more than doubled, helped by higher revenue from its insurance brokerage business. The company said its expected third-quarter revenue to grow about 15 percent from year earlier.
** MEDIFAST INC, $31.51, +7.91 pct
Moduslink Securities Corp reported a 9.9 pct stake in the weight-loss products and services provider, becoming its second-largest shareholder. (1.usa.gov/VKWuLR)
** AFFILIATED MANAGERS GROUP INC, $212.28, +3.93 pct
Credit Suisse added the asset manager’s shares to its focus list, saying the company can use excess capital to make two to four acquisitions in the next one year, which would boost earnings. A week earlier, the brokerage trimmed its price target on the stock by $2 to $260.
** ARROWHEAD RESEARCH CORP, $15.16, +12.80 pct
** ACHILLION PHARMACEUTICALS INC, $11.1245, +3.20 pct
The hepatitis drug developers could be next takeover targets after Roche Holding AG acquired InterMune Inc, Deutsche Bank analyst Robyn Karnauskas said on CNBC Fast Money on Monday.
“Big Pharma will go after drugs that target big markets - anything that hits the liver is a big market,” Karnauskas added.
Achillion is developing hepatitis C drugs, while Arrowhead’s lead experimental drug targets hepatitis B. (Compiled by Abhirup Roy and Lehar Maan; Edited by Maju Samuel)