Wednesday's Winners & Losers: Virgin Mobile

Shares climb 46.7% after the company confirmed it is in deal talks with Korea's SK Telecom.
By TSC Staff ,

Shares of wireless provider

Virgin Mobile USA

( VM) jumped after the company confirmed it is in deal talks with Korea's SK Telecom. Virgin's shares climbed $1.42, or 46.7%, to $4.46, before falling back to $3.62 in recent trading.

Video-game developer

Electronic Arts

( ERTS) was off $1.63, or 3%, to $52.94 after the company

forecast weaker-than-expected earnings

Tuesday.

EA reported a net loss of $94 million, or 30 cents a share, in the quarter just ended vs. a loss of $25 million, or 8 cents a share, for the same quarter a year ago. For the current fiscal year, the company said earnings would range from $1.30 to $1.70 a share. Analysts were expecting $1.73 a share.

Merck

(MRK) - Get Report

shares took a breath Wednesday after a Texas appeals court overturned a verdict that had awarded $7.75 million to the widow of a 71-year-old heart attack victim. Leonel Garza had died after taking Vioxx for a month. The drug was pulled from the market in 2004 after research showed it increased the risk of heart attack and stroke.

Merck's shares were up 75 cents, or 1.9%, at $39.92.

Meanwhile, Zhuhai, China-based

China Architectural Engineering

( RCH), which designs, installs and maintains structural glass and light structure building systems, climbed 38.6% to $8.23 on first-quarter earnings. The company posted net income of $5.2 million, or 9 cents a share, compared with $1.7 million, or 3 cents a share, in the year-ago quarter. Analysts had predicted EPS of 3 cents.

Also, Sanford Bernstein analyst Tim Anderson increased his price target for

Schering-Plough

( SGP) stock to $25 from $22. Anderson, who has an outperform rating on the stock, upped his earnings estimates for the company based on sales trends of Vytorin and Zetia, the two cholesterol drugs that have been the center of debate since the company and partner Merck released study data earlier this year. Schering shares rose 76 cents, or 4%, to $19.70.

China Automotive Systems

(CAAS) - Get Report

, which makes power steering systems for autos, reported that its first-quarter income more than doubled year over year to $4.4 million, or 18 cents a share. Revenue also increased 46% year over year to $41.5 million, the Jing Zhou City, China, firm announced. Shares rocketed up 25% to $6.85.

This article was written by a staff member of TheStreet.com.

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