This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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!

Stocks to Watch: Apple, Williams-Sonoma, McDonald's (Update 1)

Stocks in this article: AAPL AIG MCD WSM KMI EP ALTR MW

NEW YORK -- Apple (AAPL - Get Report) and five of the biggest U.S. publishers have been warned by the Justice Department it plans to sue them for allegedly colluding to raise the price of electronic books, The Wall Street Journal reported, citing people familiar with the matter.

Several of the parties have held talks to settle the antitrust case and head off a court battle, the people told the newspaper. A successful settlement could potentially lead to cheaper e-books for consumers.

The five publishers facing a potential suit are CBS' (CBS) Simon & Schuster; Lagardere's Hachette Book Group; Pearson's (PSO) Penguin Group (USA); Macmillan, a unit of Verlagsgruppe Georg von Holtzbrinck GmbH; and HarperCollins Publishers, a unit of News Corp. (NWSA).

Apple unveiled a new version of its iPad tablet on Wednesday.

Shares were up 0.7% to $534.41 in premarket trading.


The U.S. Treasury is selling $6 billion worth of its bailout-related holdings in insurance giant American International Group (AIG - Get Report).

AIG is expected to purchase up to $3 billion worth of the stock being sold by the Treasury, which will still hold nearly $42 billion sunk into the company following its 2008 bailout.

Shares were down 1.8% to $28.92.


Specialty retailer Williams-Sonoma (WSM - Get Report) beat estimates by posting fourth-quarter earnings of $1.17 a share on revenue of $1.27 billion. Analysts were looking for profit of $1.13 a share on sales of $1.25 billion.

For the first quarter, the company gave earnings guidance of 29 cents to 32 cents a shareon revenue ranging from $800 million to $820 million. Analysts forecast earnings of 33 cents a share on revenue of $805.2 million.

Shares were lower by 0.4% to $37.69.


McDonald's (MCD - Get Report) said Thursday February global comparable-store sales rose 7.5%.

U.S. same-store sales jumped 11%, "supported by strong customer demand for Chicken McBites, classic core favorites including Filet-O-Fish, signature beverage offerings, and McDonald's breakfast line-up," the company said.

Shares fell 3.7% to $96.46 in premarket trading.


CalSTRS, the California teachers pension fund, plans to vote against Kinder Morgan's (KMI) $23 billion acquisition of El Paso (EP).

"We have concerns with the lack of transparency and the apparent conflicts of interest that have surrounded the share appraisal process and we believe that shareholders may not receive full value for their shares should this transaction, as currently structured, be consummated," said a CalSTRS spokesman.


Chipmaker Altera (ALTR) is expected to post fourth-quarter earnings of 37 cents a share, down from 68 cents a share a year earlier.

Analysts forecast revenue of $427.11 million.


Men's Wearhouse (MW) saw its fourth-quarter losses narrow as the retail clothing store was able to increase selling prices in the U.S. and its gross margins. Sales grew 3.7% to $562.2 million, short of the $563.17 expected. Losses came in at 7 cents a share, narrower than 27 cents a share in the period a year earlier.

Analysts had expected a loss of 13 cents a share, excluding special items.

For the fiscal year, the company gave earnings guidance of $2.70 to $2.78 a share.

Shares were falling 0.2% to $40.12 before the open.


-- Written by Joseph Woelfel and Chao Deng.



>To contact the writer of this article, click here: Joseph Woelfel

>To submit a news tip, send an email to: tips@thestreet.com.

Related links:


Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link 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

Jim Cramer's protégé, 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
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, 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
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
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!

Markets

DOW 17,672.60 -141.38 -0.79%
S&P 500 2,051.82 -11.33 -0.55%
NASDAQ 4,757.8790 +7.4820 0.16%

Partners Compare Online Brokers

Free Reports

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