This Day On The Street
Continue to site
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 to Watch: Pacific Sunwear, MEMC

NEW YORK ( TheStreet) -- Pacific Sunwear of California (PSUN - Get Report), the specialty retailer, unveiled a restructuring plan Wednesday that calls for the closure of 175 to 200 underperforming stores over the next 14 months.

The company also said it has secured a five-year, $60 million term loan from private-equity firm Golden Gate Capital, and that it has completed a five-year, $100 million revolving credit line with Wells Fargo Capital Finance.

"The combination of these transactions greatly enhances our financial and operating position, and is another critical step forward as we work to re-establish PacSun as a leading specialty retailer across the U.S.," said Gary Schoenfeld, the company's president and CEO, in a statement. "With the support from all of our major landlords, we can now focus on our targeted base of 550-600 better performing stores and our enhanced merchandising and marketing strategies for becoming the preferred destination among teens and young adults for great style and great brands."

Shares were surging 37% to $1.85.

MEMC Electronic Materials (WFR) said it will reduce its total work force by more 1,300 people, or about 20% of its employees, in 2012 and beyond as part of a global restructuring plan.

Shares were tumbling 3.1% to $4.08.

Unionized Boeing (BA - Get Report) machinists voted to approve a four-year contract extension.

"This contract will help secure a better future for our employees, our customers, our communities and our company," said Jim Albaugh, president and CEO of Boeing Commercial Airplanes. "It reflects an effort on the part of the company and the union to find a better way to work together and achieve common ground."

Boeing promised that if workers approved the pact, the company would build the new version of the 737 in the Puget Sound region, while the machinists said they would drop their allegations that Boeing opened a nonunion assembly plant in South Carolina in retaliation for a previous strike.

Machinists went on strike in 2005 and 2008. The strike in 2008 led to delivery delays for Boeing's first 787.

Separately, Bloomberg reported that FedEx (FDX - Get Report) plans to order about 30 Boeing wide-body freighters to replace older, less fuel- efficient jets. The report cited people familiar with the situation.

The planes would be valued at about $5.26 billion at list prices, the report said.

Boeing shares were up 0.6% at $71.

Costco (COST - Get Report), the warehouse retailer, earned $320 million, or 73 cents a share, in the fiscal first quarter, up from $312 million, or 71 cents, a year earlier.

The latest quarter includes charges of 7 cents a share.

Net sales rose 13% to $21.18 billion from $18.82 billion. Including membership fees, revenue rose 12% to $21.63 billion. Comparable-store sales in the quarter rose 10%.

Analysts were expecting profit of 80 cents a share on sales of $21.29 billion.

Costco said membership fee revenue rose 7.5% in the first quarter to $447 million.

Shares were falling 0.5% to $87.05 in premarket trading Thursday.

Smithfield Foods (SFD), the pork producer, reported second-quarter profit 76 cents a share on revenue of $3.3 billion, beating the average analyst earnings estimate of 71 cents a share on revenue of $3.2 billion.

Shares were trading sideways at $24.93.

Brown-Forman (BF.A - Get Report), the maker of Jack Daniels and Southern Comfort, is expected by analysts Thursday to earn $1.09 a share in the fiscal second quarter on revenue of $957 million.

THQ (THQI), the entertainment software maker, lowered its revenue outlook for the third quarter because of weak sales of its uDraw game tablet on the XBox 360 and Sony Playstation 3 gaming systems.

-- Written by Joseph Woelfel and Andrea Tse

>To contact the writer of this article, click here: Andrea Tse.

>To submit a news tip, send an email to:

Related links:

>To submit a news tip, send an email to:

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
THQI $0.31 0.00%
WFR $0.00 0.00%
SFD $0.00 0.00%
BA $131.96 -0.40%
BF.A $101.96 -1.30%


Chart of I:DJI
DOW 17,706.25 -44.66 -0.25%
S&P 500 2,049.60 -13.77 -0.67%
NASDAQ 4,732.7250 -30.4990 -0.64%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs