Financial stocks caught fire today with the Philadelphia Stock Exchange KBW Bank Index posting a 9.2% gain. American Express (AXP) - Get Report jumped 10 7/8, or 8.2%, to 143 3/4, while Citigroup (C) - Get Report pocketed 4 3/4, or 9.1%, to 57.
On a day when many stocks moved sharply higher, IPO
stuck out like a sore thumb. Shares slid 1 7/8, or 11.7%, to 14 1/8 from the $16-per-share offering price.
Earlier in the session, shares hit a high of 20, but ended the day in need of a repair job. Lead underwriter
Credit Suisse First Boston
priced 2.76 million shares at the top of the $14-$16 range last night. The company is an online home improvement company based in Redwood City, California.
climbed 3 1/8, or 7.8%, to 43 1/8 after it agreed to buy
oil and gas assets in Alaska for $7 billion. Arco added 2 5/16 to 85 9/16.
The deal, which is set to close in the second quarter, calls for Phillips to retain all of Arco's workers in Alaska. Phillips said the acquisition would tack on $1.28 a share to its fiscal 2000 earnings. Before the announcement, the 24-analyst estimate expected the company to post earnings of $3.27 a share.
Phillips Petroleum was upgraded today to buy from market perform at
Deutsche Banc Alex. Brown
Mergers, acquisitions and joint ventures
gained 1 5/16, or 6.1%, to 22 13/16 after it said it would acquire a majority interest in Taiwan fund manager
, boosting its position to 88% from 6%. Before the sale, Aetna held a 20% stake in the firm. Aetna rose 2 5/8, or 5.2%, to 53 5/8..
climbed 3 3/64 to 131 43 64 after it said it is buying a couple of companies. Cisco is buying privately held
, based in Menlo Park, Calif., a developer of standards-based, in-building wireless telephony solutions, for $200 million in stock.
Cisco is also buying
, a privately held company, for $301 million in stock.
lost 3 7/8, or 7.5%, to 47 5/8 and
dropped 2 5/16, or 22.6%, to 7 15/16 after the companies said they agreed to a $78.6 million merger. According to the terms, Inference shareholders would receive 0.1865 share of eGain for each share of Inference they hold. The deal is set to close within 90 days.
cleared plans by
Ericsson Energy Systems
, a unit of
. Emerson climbed 2 7/16, or 5.6%, to 45 3/4 while Ericsson jumped 4 7/16 to 93 5/8.
about a combo of their businesses have apparently stalled over price,
The Wall Street Journal
The newspaper, citing people close to the discussions, said that a pact between Tommy Hilfiger and Calvin Klein was expected to be announced as early as last week; however, the two sides have been unable to agree on a price. A British newspaper, the
, reported Sunday that Tommy Hilfiger was believed to be in talks to buy all or part of Calvin Klein. Tommy Hilfiger tacked on 1 to 14 1/8, or 7.6%, to 14 1/8.
was unchanged at 95 3/8 after it announced the birth of
, a new concern it says will slice weeks off the mortgage-closing process and save consumers more than $2,000 over the life of a loan by providing lower rates and reduced closing costs. Microsoft will hold a majority stake in the company.
Chase Capital Partners
Bank of America
will also be taking an equity interest in the venture.
has provided technology contributions and has a financial interest in the new company, Microsoft said. Chase climbed 7, or 8.4%, to 90 1/8; Wells Fargo added 2 1/2, or 6.9%, to 38 1/2 and Freddie Mac popped 4 13/16, or 11.3%, to 47 1/2.
gained 2 3/4, or 11.6%, to 26 1/2 after it said it is merging with
. Under terms of the deal, IRI stockholders will receive 0.3385 share of National-Oilwell stock for each IRI common share they own. IRI International hopped 2 1/8, or 37%, to 7 7/8.
Based on National-Oilwell's closing price yesterday, the deal is currently valued at $8.04 per IRI share, or $321 million. National-Oilwell will issue a total of 13.5 million shares of its stock for the transaction, which will be accounted for as a pooling of interests and is expected to be tax-free to both companies and IRI stockholders.
jumped 3 1/4, or 6.6%, to 52 7/8 after it said it will sell its subsidiary Cyprus Australia Coal to a unit of Switzerland-based
for $150 million.
climbed 13 1/16, or 6%, to 230 3/8 and
added 2, or 5.1%, to 41 9/16 have entered a deal to develop an e-commerce paint industry marketplace.
Earnings/revenue reports and previews
Earnings estimates from First Call/Thomson Financial; earnings reported on a diluted basis unless otherwise specified. New highs and lows on a closing basis unless otherwise specified.
gained 4 1/8 to 174 3/8 after it said it expects to post first-quarter earnings of 53 cents to 55 cents a share, beating the 11-analyst estimate of 48 cents a share.
, the Amsterdam-based global financial services concern, rose 4 1/8, or 8.5%, to 52 7/8 after it said operational net profit rose 53.5% in 1999 from 1998 to $3.243 billion. Operational net profit from insurance operations rose 19.6% to $1.961 billion, while profit from banking operations increased 171.5% to $1.282 billion thanks to better results from trading and decreased risk costs. After losing $988 million in 1998,
, its investment banking arm, posted a profit of $220 million in 1999.
added 1 7/8 to 51 15/16 after CEO Steve Bennett said at a company conference that he sees both its pro forma revenue and operating income increasing by more than 20% in fiscal 2001. The 11-analyst estimate expects the company to post fiscal 2001 earnings of 69 cents a share.
inched up 1/4 to 13 1/4 after it said third-quarter profits would not meet analyst estimates of 35 cents to 39 cents a share, citing lower-than-expected sales of office furniture and higher promotional costs .
lost 2 1/4 to 47 3/16 after it posted third-quarter earnings of 20 cents a share, a penny better than the 12-analyst estimate and up from the year-ago 15 cents.
Offerings and stock actions
shot up 3 1/16, or 8.5%, to 39 1/16 after it said it would add 1 million shares to its current share-repurchasing program.
declined 2 3/4 to 122 after it said it filed for a 7 million-share secondary offering and set a 3-for-1 stock split.
The over-allotment option in the IPO
has been fully allotted, co-lead manager
said. Infineon shed 3/8 to 70 5/8.
filed for a 3 million-share secondary offering, with 1 million shares being sold by
. Merix slipped 3 7/8, or 16.9%, to 19 and Tektronix leaped 6 3/8, or 10.9%, to 64 1/2.
lost 3 9/16, or 10%, to 32 1/16 after it said it priced a 2 million-share offering at $32 each.
gained 5 1/8, or 32%, to 21 1/8.
Chase Hambrecht & Quist
priced 3.5 million ADRs at $16 each, above the expected $13 to $15 range. PSI is a semiconductor packaging and testing service based in the Philippines.
Tele1 Europe Holding
tacked on 5 3/16, or 28%, to 23 11/16 after being priced at $18.50 per ADR, near the top of the estimated $17 to $19 range.
was the lead underwriter.
climbed 1 5/8 to 86 1/16 after its price target was raised to 95 at
Credit Suisse First Boston
American Home Products
rose 2 15/16, or 5.7%, to 54 7/8: NEW buy at
gained 9 9/16, or 26.7%, to 45 3/8: 12-18 month price target UP to 100 at
Banc of America
inched up 1/16 to 10 1/8: first-quarter earnings UP to 17 cents a share at
rose 4 7/8, or 9.7%, to 55 3/8: NEW buy at
lost 2 11/16 to 59: 2001 earnings estimate UP to $2.29 from $1.80 at
Warburg Dillon Read
gained 2 to 64 3/4: NEW buy at Bear Stearns.
gained 1 3/4 to 48 1/4: NEW strong buy and a price target of 70 at CSFB.
J.B. Hunt Transport
added 1/2 to 15 1/2: UP to buy at
Banc of America
; price target: 25.
: UP to intermediate-term buy from accumulate at
. Kohl's popped 9 7/8, or 11%, to 94 5/8.
: price target UP to 100 at CSFB. Lattice Semiconductor lifted 3 15/16, or 6.1%, to 68 1/16.
: DOWN to market perform from buy at
Donaldson Lufkin & Jenrette
. MacDermid fell 5 13/16, or 18.4%, to 25 11/16.
: UP to buy from hold at
. Manhattan Associates advanced 1 3/4, or 9.6%, to 19 7/8.
: price target UP to 17 from 10 at
Banc of America.
. Maxtor hopped 1, or 8.4%, to 12 13/16.
: UP to outperform from hold for the intermediate term at
. Micron Tech added 3/8 to 113 3/8.
: UP to buy from market perform at
Deutsche Banc Alex. Brown
. Phillips Petroleum mounted 3 1/8, or 7.8%, to 43 1/8.
: NEW intermediate and long-term buy at Merrill Lynch. Savvis Communications lost 1 31/32, or 8.9%, to 20 1/8.
: NEW strong buy at
. Software.com sank 14 1/16, or 9.8%, to 128 1/2.
: UP to recommended list from market outperform at
Textron gained 4 1/2, or 8.2%, to 59 5/16.
: NEW outperform at
Salomon Smith Barney
. Via Net.Works skidded 3 1/2, or 8%, to 40 1/4.
: NEW outperform at Salmon Smith Barney. W.R. Grace tacked on 1 15/16, or 18.7%, to 12 1/4.
: UP to buy at Banc of America; price target: 20. Werner Enterprise climbed 1 5/16, or 10.1%, to 14 3/16.
: Price target UP to 85 from 55 at
Credit Suisse First Boston.
Xilinx jumped 3 1/8 to 72 5/16.
Less than stellar news out of
today. Peapod said Bill Malloy, the company's CEO and president, is leaving due to health reasons and, because of that, parties to a previously announced potential investment of $120 million in the company have terminated the planned investment.
The company, which has had substantial operating losses since its birth, has $3 million in cash on hand. The company's board has told its financial advisor
to "explore strategic alternatives," including "possible alternative financing or a possible sale of the company." Peapod
declined 5/8, or 37%, to 1 1/16 after it said it planned to sell its former headquarters in Elgin, Ill. and is negotiating for a $20 million line of credit from banks.
The Heard on the Street column in the
takes a look at the mix of investors in
Federated Department Stores
and the difficulty the company is having pleasing either group. The company picked up a new strain of investors last year thanks to the addition of a mushrooming Internet operation, the column notes. Those new investors want Federated to invest heavily in the Net, which puts them at odds with the company's traditional investors who expect growing profits and not heavy Net expenditures, the column said. Federated Department Stores advanced 1 3/4 to 41 1/16.
hopped 4, or 25.5%, to 19 11/16 after it named John Hashman president.
In part because of a government antitrust probe of
, the two auction houses are facing their worst shortage of items for sale in nearly a decade, the
reported. Sotheby's skidded 1 3/16, or 5.5%, to 20 1/16.