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.
, lately the favorite whipping boy of the tech sector (see earnings below), was whimpering again as the stock slid a further 39 3/4, or 10%, to 357 9/16. It's more than 100 points off its peak around 475, barely two weeks ago. And
recent suffering was compounded as it lost 4, or 6.3%, to 60, with its Monday
merger announcement continuing to make waves.
Fellow tech bellwethers felt the pain with
down 3 1/8 to 63 9/16 and
off 8 13/16, or 6.3%, to 130 3/8.
Telecom stocks were mixed as a slew of mixed signals buffeted the sector, with the
Nasdaq Telecommunications Index
ending the day up 0.4%.
gained 4%, while
stock rang up 2 13/16, or 5.4%, to 54 5/8 after it reaffirmed earnings expectations last night. (see below).
fell 2 5/16, or 5.2%, to 41 13/16,
fell about 1 to 56 and
slipped 5/8 to 66 11/16 after
downgraded its rating on the stocks.
Mergers, acquisitions and joint ventures
, a nationwide integrated communications provider, added 1 to 40 after it said that
Kohlberg Kravis Roberts
and a consortium of banks have agreed to provide it with up to $700 million in strategic financing. Compaq climbed 1 5/16 to 29 5/16 and Microsoft lost 3 9/16 to 105 13/16.
, Intermedia's 81%-owned subsidiary, is receiving a $100 million strategic investment from Compaq and Microsoft. Shares of Digex climbed 3 1/2, or 5.3%, to 69 1/2.
was unchanged at 46 13/16 after it said it has entered acquisition and supply agreements with
that would increase its yearly revenue by $1.5 billion. IBM rose 7/8 to 119 7/8. The deal calls for Celestica to buy $500 million in manufacturing operations and assets from IBM.
lost 1 7/16 to 38 1/2 and
inched up 3/16 to 8 7/16 after the companies said they entered into a strategic alliance, under which, in part, Humana will leverage Healtheon/WebMD's professional and consumer transaction platforms and its exclusive online and offline media assets in targeted health care markets.
added 5/16 to 19 after it said it entered into a three-year $600 million food and product distribution deal with
jumped 5 7/16, or 9.9%, to 60 5/16 after it said its
Sonera Smart Trust
division would join five certification authority platform providers, including
, to develop secure wireless e-commerce. Baltimore lost 1 1/4, to 79 3/4, Entrust added 3 5/8, or 7.1%, to 55 and Verisign dropped 5 7/16 to 160 7/16.
An association of
U S West
retirees is seeking to block that phone company's merger with
, charging that U S West misused pension funds to enrich shareholders and top officers,
The Wall Street Journal
reported. Shares of U S West fell 1/2 to 65 7/8, while Qwest slipped 7/16 to 38 9/16.
Two influential pension funds have written the chairman of
questioning the drug company's tactics related to its planned get-together with
American Home Products
reported. The pension funds are arguing that Warner's board should fully take into account
competing hostile bid. The letter was penned by the
California Public Employees' Retirement System
, which owns 3.7 million shares of Warner-Lambert, and Alan Hevesi, comptroller of New York City, the newspaper said. The newspaper reported New York City owns 3.5 million shares of Warner in its pension funds. Warner-Lambert inched up 15/16 to 86 13/16, American Home rose 11/16 to 42 3/16 and Pfizer gained 1 1/16 to 35 1/16.
Earnings/revenue reports and previews
AT&T CEO C. Michael Armstrong reaffirmed the company's 1999 earnings estimates of $2.15 to $2.20 a share, in line with the 25-analyst estimate of $2.19. The company said it expects to show 1999 pro forma revenue growth of 5% to 7%, and 2000 pro forma revenue growth of 8% to 9%, excluding the impact of
, its joint venture with
. British Telecom popped 6 3/4 to 199 1/4
rose 7/8 to 26 after it posted fourth-quarter earnings of 52 cents a share, beating the 21-analyst estimate of 51 cents and up from the year-ago 44 cents.
slipped 1/16 to 8 7/16 after it posted fourth-quarter earnings from continuing operations of 26 cents a share, ahead of the one-analyst estimate of 22 cents, but down from the year-ago 36 cents.
dropped 4 1/16, or 11%, to 32 11/16 after CEO Michael Robinson told
that the company was "comfortable" with the fourth-quarter three-analyst estimate of a 25-cent loss.
PacifiCare Health Systems
lost 1 1/2 to 50 1/16 after it said it will cut 250 employees in the next 12 months and take a first-quarter restructuring charge of $7 million to $8 million. The company said 200 more jobs would be cut by attrition and canceled openings.
was unchanged at 8 7/8 after it reported fourth-quarter earnings of 35 cents a share, beating the four-analyst estimate of 33 cents and the year-ago 29 cents.
rose 11/16 to 16 7/8 after it posted second-quarter earnings of 26 cents a share, beating the seven-analyst estimate of 24 cents a share and up from the year-ago 18 cent-profit.
climbed 1 to 60 1/8 after it posted fourth-quarter earnings of $1.06 a share, a penny ahead of the 23-analyst estimate and up from the year-ago 86 cents.
slipped 5/8 to 22 5/8 despite saying it sees first-quarter revenue of $37 million, up 20% from a year ago. The company also said its first-quarter net earnings appear to be on track.
Yahoo! late yesterday posted fourth-quarter pro forma earnings of 19 cents a share before items, beating the 27-analyst estimate of 15 cents and the year-ago 4 cents excluding items. The company said its revenue totaled $201.1 million, up from $91.3 million in last year's fourth quarter, and that its December traffic averaged 465 million page views a day, compared with an average of 167 million the year before. Yahoo! also announced a 2-for-1 stock split effective Feb. 14.
In a report,
wrote that while revenue and earnings "did not beat the highest estimates, the strength of the fundamental business drivers-audience, commerce, advertising and communications-suggests a strong year ahead." Blodget maintained his buy rating on the stock and gave the company an "A" grade for the quarter.
upped its 2000 earnings estimate on Yahoo to 75 cents a share from 65 cents.
For additional coverage of Yahoo!'s
earnings, and the
ongoing fallout check out a separate story from the
Offerings and stock actions
Bowne & Co.
climbed 1 1/16, or 10%, to 11 11/16 after it said it set a $40 million stock repurchasing program.
Delta Air Lines
climbed 5/8 to 52 after it said it set a $500 million share repurchasing program.
lost 5/16 to 27 after its board authorized a plan to repurchase 5%, or 2.4 million, of its outstanding shares of stock.
swam up 5 5/8, or 6.9%, to 87 1/8 after its board approved a 2-for-1 stock split.
fell 3/16 to 13 5/8 after it said it set a 1 million-share repurchasing program.
inched up 1/8 to 21 1/16 after it said its board approved the repurchase of up to $20 million of its shares.
upped its intermediate-term rating on
to buy from accumulate. Shares of Avista lifted 2 3/8, or 14.8%, to 18 3/8.
Deutsche Banc Alex. Brown
initiated coverage of
with a buy rating. Shares of America West fell 1/16 to 20 3/4.
Alex. Brown sliced its rating on
to market perform from strong buy.
also cut the stock's rating, to perform in line from outperform. Shares of Armstrong World dwindled 9 1/8, or 24.8%, to 27 5/8.
sliced its rating on
to attractive from buy. Shares of Bell Atlantic slid 15/16 to 57.
Merrill Lynch upped its rating on
to intermediate-term buy from accumulate. Shares of Costco declined 1/8 to 91 1/2.
Alex. Brown raised its rating on
to strong buy from buy. Shares of Dynegy popped 1 1/2 to 33 1/16.
Credit Suisse First Boston
raised its price target on
to 160 from 100.
also raised its long-term price target on the stock to 214 from 165. Shares of E-Tek climbed 5 5/16 to 126 1/16.
upped its price target on
to 168 and raised its fourth-quarter revenue estimate to $86.9 million, while increasing its 2000 revenue estimate to $652.5 million. Exodus share bounced 4 to 107 3/8.
PaineWebber sliced its rating on
to attractive from buy. Shares of GTE retreated 5/8 to 66 11/16.
Warburg Dillon Read
rolled out coverage of
with a strong buy rating and set a price target of 25. Shares of HealthExtras shed 5/8 to 66 11/16.
Salomon Smith Barney
telecom analyst Jack Grubman maintained his buy rating on MCI WorldCom, saying the stock is now trading at a "P/E discount to the market on 2000 reported earnings." Grubman disputed a
report that the America Online-
merger could hurt the stock's revenue from AOL, saying, "If AOL's customer base moved overnight to a high-speed cable infrastructure, traffic and revenues would increase to MCI WorldCom's
Separately, MCI WorldCom's CEO Bernie Ebbers said during a speech at the
National Press Club
in Washington that the company, after the closing of its merger with
, would provide local and long-distance telephone service in New York to rival
. Shares of MCI WorldCom finished up 1 11/16 to 44 1/8.
Morgan Stanley Dean Witter initiated coverage on
Minnesota Mining & Manufacturing
with an outperform rating. Shares of Minnesota Mining & Manufacturing bounced 1/4 to 100 3/4.
Merrill Lynch cut its rating on
to intermediate-term neutral from buy. Petroleum Geo-Services slipped 2 5/16, or 14.1%, to 14.
cut its rating on
to neutral from buy. Separately, the
New York Stock Exchange
said it has not delisted the stock but would closely monitor its situation. Rite Aid declined 2 11/16, or 25.2%, to 7 15/16.
initiated coverage of
with a buy rating. S1 mounted 4 1/4, or 5.8%, to 77 1/8.
PaineWebber trimmed its rating on
to attractive from buy. SBC Communication lost 2 5/16, or 5.2%, to 41 13/16.
Lehman Brothers sliced its rating on
to neutral from buy. Suncor Energy slipped 1 3/16 to 43.
retreated 2 9/16, or 7%, to 33 11/16 after it said Joe Roth will step down as studio chairman. Peter Schneider was named chairman of
Walt Disney Studios
For more on the Disney's
moves, check out the coverage from
sank 6, or 8.8%, to 62 3/4 after it said it tapped Jeffrey Brewer as its chairman and Ted Meisel as its CEO.
popped 2 to 80 on reports that it plans to close its commodities business.
covered the unconfirmed chatter in a
Separately, Merrill Lynch said it has appointed David Bowers to replace the retiring Charles Clough as its chief global investment strategist. Bowers has acted as the firm's chief European equity strategist for the past four years.
In the latest antitrust case against
, government lawyers appear to have reached an agreement that would include a breakup of the software titan,
reported. Under the plan favored by government lawyers, the software giant would be split into two separate companies, one for its
operating system and another for software, the newspaper reported, citing people familiar with the matter. Microsoft shares lost 3 9/16 to 105 13/16.
For more on Microsoft's
prospects, check out the coverage from