This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Office Depot, OfficeMax: After-Hours Trading

Stocks in this article: OMX ODP PSEC

NEW YORK ( TheStreet) -- Shares of both OfficeMax (OMX) and Office Depot (ODP) pulled back in late trades after rallying on merger speculation during Monday's regular session.

Oppenheimer & Co. reportedly stirred the pot this morning, issuing a research note that again raised the possibility of a combination. This time, the analyst authoring the note said Office Depot Chief Executive Officer Neil Austrian had expressed openness to a potential deal during a recent meeting.

Shares of Boca Raton, Fla.-based Office Depot jumped 6.5% to $4.07 on volume of 12.7 million in the regular session, while OfficeMax, headquartered in Naperville, Ill., saw its stock rise 7.5% to finish at $7.64 on volume of 5.1 million.

In extended trading, Office Depot shares were last quoted at $3.89, down 4.4%, on volume of around 120,000, while OfficeMax's stock was off 4.7% to $7.28 on volume of 24,000, according to

The stocks of both office supply retailers have been weak all year with Office Depot losing 30%, and OfficeMax down nearly 60% so far in 2011. With revenue of $11.6 billion in 2010, Office Depot is the larger of the two companies, operating roughly 1,500 stories with the majority -- around 1,100 located in the United States and Canada. OfficeMax's revenue totaled $7.2 billion in 2010, and the company has roughly 1,000 U.S. locations.

Topline growth has stalled for both companies, prompting the talk of consolidation. Wall Street sees flat revenue for both names in 2011, and analysts are in wait-and-see mode with a good portion -- 14 out of 18 for Office Depot and 8 of 17 for OfficeMax -- rating the stocks at hold or lower.

Neither company issued a statement on speculation Monday, despite the higher than average volume in their respective stocks.

Prospect Capital

Shares of Prospect Capital (PSEC) slumped in late trades after the New York-based investment company announced plans for a dilutive stock offering.

The company, which invests in private and publicly traded microcap businesses, said it's commenced an offering of 10 million shares of its common stock. The deal also includes an over-allotment option for the potential sale of an additional 1.5 million shares.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs