Updated from 10:12 a.m.
Boy! It seems like nearly every company in a 5,000-mile radius reported earnings. Of course, that's an overstatement. Only half reported. Check out the headlines for more details, but pay close attention to what will be moving markets -- like the revenue miss from
, the warning from
and the latest word of 2001 from the folks at
Click 'em. Trade 'em. Give 'em to your relatives:
Home Depot Says it Will Ring Up Disappointing Quarter
ICN Pharmaceuticals Warns 2000 and 2001 Results to Fall Short
Homebuilder D.R. Horton Tops Expectations by A Wide Margin
Sun closed today down $4, or 11.5%, to $30.88. Home Depot finished down $3.25, or 7.3%, to $41. Nortel ended the day up $3.31, or 9%, to $40.
After Thursday's Close
Altera Falls Short for the Fourth Quarter
BMC Beats Estimates as Net, Revenue Fall
CMGI Offers More Bad News on the Future
Commerce One Beats Forecasts
Critical Path Misses Estimates, Offers Bleak Forecast
Dallas Semiconductor Meets Lowered Estimates
eBay Profits Beat Estimates
Genentech's Numbers Meet Expectations
Inktomi Meets Estimates, but Guides Down for Next Two Quarters
Iomega Fourth-Quarter Profit, Revenue Fall From a Year Ago
Nortel On Target, Says 2001 On Low End of Forecasts
Microsoft Meets Expectations
Sun Microsystems Misses Revenue Estimates
Mergers, acquisitions and joint ventures
After Thursday's Close
have announced a deal to squeeze a miniversion of the AOL portal onto the little wireless phone screen, marking AOL's first venture into this kind of wireless Web access. For more on the deal, check out
America Online, Nokia in Wireless Microbrowser Pact from earlier today.
AOL closed up $4.03, or 8.1%, to $53.80. Nokia closed down $1.88, or 4.6%, to $39.13.
Back to top
Earnings/revenue reports and previews
( SOE) reported earnings of 20 cents a share before transaction costs, beating the seven-broker consensus looking for earnings of 15 cents a share. For the year-ago period, the company earned 16 cents a share. Southern Energy closed up $1, or 4.3%, to $24.38.
After Thursday's Close
( BBSW) announced fourth-quarter losses of 15 cents a share, a penny better than Wall Street estimates and 2 cents better than the year-ago quarter. The company said it will miss analyst estimates for all of 2001, putting its first quarter at a loss of 11 cents a share, three pennies shy of the estimate. Broadbase said profitability will not come until the fourth quarter, with the third coming in at break even. Analysts had expected the company to post a penny a share profit in the third quarter, with the fourth coming in with earnings of 5 cents a share. Broadbase closed down $1.94, or 17.5%, to $6.19.
, whose business is getting you to place telephone calls over the Internet, announced a pro forma loss of a nickel a share, exactly what the analysts expected. But now that investors are demanding profitability instead of growth, Clarent will be reorganizing.
In order to attract more business, Clarent said it would be splitting into three segments, one devoted to attracting long-distance customers, one for local carriers and another for corporations. Clarent closed down 50 cents, or 3.7%, to $13.25.
announced a first-quarter loss of 7 cents a share, exactly what the analysts expected. Conexant preannounced results in December and put its first-quarter losses between a nickel and a dime. The company said that bloated inventory levels due to slowing sales hurt the first-quarter results and forced it to shelve a planned late-January public offering of its Internet infrastructure business. Conexant said it would return to growth in the third quarter, with profitability coming in the second half of 2001. Conexant closed down $1.57, or 8.3%, at $17.19.
( EMLX) reported second-quarter earnings that easily surpassed analysts' expectations, coming in at 25 cents a share, better than Wall Street's expected 18 cent profit and the year-ago 11 cents. Revenue rose to $71.1 million from $33.6 million a year ago. Emulex believes that total revenue could reach as much as $80 million in the third quarter ending in March, and $295 million for the fiscal year ending in June. Assuming the pending acquisition of
closes by March, the company thinks it can achieve earnings of about 23 cents a share in its fiscal third quarter, up from its prior forecast of 19 cents.
The company also projected earnings of up to 85 cents for fiscal 2001, up from its December forecast of 74 cents. For fiscal 2002, Emulex believes it can reach earnings of up to $1.10 a share, up from its original projection of $1. Emulex closed up $4, or 4.1%, to $101.13.
( HET) announced that its fourth quarter will be coming in with a loss of between $1.36 and $1.40 a share. Charges related to two bankruptcies, that of a New Orleans-based casino and its National Airlines, make up the bulk of the losses, with poor weather and low winnings also adding to the problems. Fear not, gambling fans -- Wall Street accounting usually doesn't include one-time charges. Harrah's said the fourth quarter will come in between 31 cents and 35 cents a share, pretty much where the analysts expected -- 32 cents a share. Harrah's closed flat at $26.13.
( HPC), despite the name, said its fourth-quarter earnings would come in weaker than expected, between $68 million and $72 million. Slowing demand and a weak euro were blamed for the soft performance. Expect the full details on Feb. 8, when the company releases all its fourth-quarter results. Hercules also said its talks with Eastman Chemical over the sale of its resins division and FiberVisions unit have ended. Hercules, perhaps striking the pose of the "Thinker," will mull their fate in the future. Hercules closed down $2.88, or 16.6%, to $14.50.
( HB) announced fourth-quarter earnings per share of 83 cents a share, topping the 80 cent analyst estimate and the year-ago 58 cents. The company, based in Batesville, Ind., unironically provides services to both the funeral and health care industries. The company also said that Daniel Hillenbrand, long-time chairman, has announced his retirement. He will become chairman emeritus, while nephew Ray Hillenbrand steps in as chairman of the board. Hillenbrand Industries closed up 25 cents, or 0.6%, to $44.38.
( IDPH) announced that fourth-quarter earnings will crush analysts' estimates, coming in around 37 cents a share, way better than the expected 11 cent estimate. IDEC credited strong sales of Rituxan, a cancer drug, for helping to push the bottom line higher. Expect more from IDEC on Jan. 29, when it officially releases the fourth-quarter results. IDEC closed up 2 cents, or .03%, to $56.89.
announced third-quarter earnings of 87 cents a share, topping the 85 cent estimate and last year's 28 cents a share. Revenue growth was slower than it was in previous quarters, though. The company said sliding inventory levels at its customers are not being replenished, causing a downturn in sales. IDT said this trend will continue into "early calendar 2001" with revenue growth picking up once normal inventory conditions return. IDT closed down $5.75, or 10.3%, to $50.25.
, a Lisle, Ill.-based maker of electronic components, announced second-quarter earnings of 34 cents a share, missing the consensus 35 cent estimate called for by nine analysts. The quarter exceeds the year-ago 27 cents a share, but missed the number due to slower-than-expected revenue growth. Currency translation was blamed for part of the miss, as were slowing computer and automotive sales. Molex closed down $1.31, or 2.8%, to $45.69.
( NTIQ) announced second-quarter earnings of 20 cents a share, beating the 18 cent estimate and the year-ago 9 cents a share. Yesterday, the company announced that it would be merging with
( WEBT) in a deal it valued at $1 billion. NetIQ closed up $3, or 4.5%, to $69.94; WebTrends was up $1.81, or 5.7%, to $33.38.
announced first-quarter earnings of 34 cents a share, topping the Wall Street estimate by a penny. The company's fortunes are tied to spending by two major customers,
( LU), which accounted for 14% of sales, and
, which accounted for 13%.
That said, Plexus made some comments about the upcoming year, which were especially notable, considering that over a quarter of its sales this quarter came from two major technology companies. Plexus said that Cisco would soon represent 15% of sales -- as other companies curb spending -- but said that loss will be offset by aggressive courting of new customers. Plexus closed up $9.31, or 27.1%, to $43.69; Lucent was up 88 cents, or 4.4%, to $20.56; Cisco was down $1.50, or 3.6%, to $40.38.
( RSAS) announced fourth-quarter earnings of 27 cents a share, one penny better than the 26 cent analyst estimate and 4 cents better than last year's quarter. The company, which provides security for online businesses, touted new contracts with companies like
as major reasons for the good quarter. RSA closed up $1.31, or 2.3%, to $59.31; Ford was down 88 cents, or 3.2%, to $26.31; GE was down 63 cents, or 1.3%, to $47.
( SFA) announced second-quarter earnings of 42 cents a share, topping the 39 cent estimate and the year-ago 20 cents a share. Broadband drove the second quarter, with subscriber sales increasing 16% from last year. Oddly enough, Scientific-Atlanta is not based in Atlanta, but rather Lawrenceville, Ga., some 30 miles away. Maybe Scientific-Lawrenceville lacked a certain ring. Either way, the company beat estimates. Scientific-Atlanta closed up $1.88, or 3.4%, to $57.50.
, the company formerly known as Silicon Graphics, announced second-quarter losses of 38 cents a share, totally whiffing the 22 cent loss expected by the analysts. Oddly, the company offered no reason for the miss, only saying that it expects to be profitable by the fourth quarter. SGI ended the trading day down 63 cents, or 13.7%, to $3.94.
warned that its fiscal 2001 would miss estimates, coming in between 90 cents and 96 cents a share, weaker than the $1.02 analyst estimate. TeleTech Holdings closed down $3.25, or 17.3%, to $15.56.
( TMTA) announced a pro forma fourth-quarter loss of 20 cents a share, making some headway against last year's 45 cent loss, but completely missing what a pair of analysts were calling for -- a 16 cent loss. Despite the miss, Transmeta had some nice things to say about the upcoming fiscal year. It said that first-quarter revenue would increase 50% from the fourth quarter's $12.4 million, while profit margins will be higher. That said, the company's pro forma fiscal 2000 loss per share came in at $1.66, much worse than the $1.07 loss expected by the analysts and last year's pro forma loss of $1.50. Transmeta closed up $1.63, or 7.1%, to $24.69.
said that fourth-quarter earnings would miss estimates, coming in with a 70 cent loss, instead of the expected 20 cent loss. And the full-year will come in around $1.20 a share, close to 50 cents lower than the analyst expectation of $1.67 a share. The company said the miss can be blamed on escalating costs in both raw materials and energy, completely devastating the company's chances at a profitable quarter. Union Carbide closed down $1.19, or 2.5%, to $46.56.
( UPC), a banking company, not the peanut people, announced fourth-quarter earnings of 76 cents a share, in line with analyst estimates and 7 cents better than the year-ago quarter. Net earnings for full-year 2000 came in at an even $3 a share, one penny better than expectations and 15 cents better than last year. Union Planters closed down 13 cents, or 0.3%, to $36.69.
, the maker of tough-as-nails boots and not the clawed, snarling X-Man, announced preliminary fourth-quarter earnings between 38 cents and 40 cents a share, well below the 49 cent analyst estimate. Wolverine also said 2001 earnings would miss expectations. The company blamed the cautious retail environment and the closing and rejiggering of factories as major reasons for the miss, while also touting the weak euro and poor overseas sales. The company's Harley Davidson and Merill lines performed quite well, while the more conservative Hush Puppie line faltered. Wolverine closed down $4.50, or 23.7%, to $14.50.
announced that fourth-quarter earnings won't come in near expectations due to higher petroleum costs and a still-weak euro. The company said its fourth-quarter will come in 3% to 5% lower than previous forecasts. Look for Grace's earnings after the bell Jan. 29. W.R. Grace closed down 88 cents, or 22.95%, to $2.94.
Back to top
Following the sun, analysts this morning have trimmed earnings estimates for Unix server maker
, which fell short of revenue expectations when
reporting earnings last night. However,
went a step further, downgrading the stock to neutral from buy.
trimmed 2001 estimates to 67 cents a share from 72 cents a share, and dropped 2002 estimates to 84 cents a share from 88 cents a share.
cut fiscal 2001 EPS estimates to 68 cents from 71 cents, expressing caution about the company.
"The economic slowdown reduces visibility and raises the risk that Sun could be the next
," wrote Merrill analyst Tom Kraemer this morning. "We continue to believe Sun is the best positioned server company and that it should continue to gain share. The question is the rate of share gains and continued economic deterioration may mean additional downward revisions." Sun closed down $4, or 11.5%, to $30.88.
Credit Suisse First Boston
this morning to buy from hold. Of the PC maker, CSFB said, "While economic uncertainties could still pressure Dell's near-term earnings performance, secular industry trends now favor Dell's business model, increasing our confidence in Dell's ability to hit numbers." Dell closed up $1.44, or 5.9%, to $25.63.
( BMET): UP to buy from long-term attractive at
. Biomet closed down 31 cents, or 0.99%, to $31.31.
: UP to strong buy from buy at
. Estimates for 2001 and 2002 upped to 38 cents a share and 65 cents a share from 37 cents a share and 57 cents a share. Lehman raised 2000 estimates to 24 cents a share from 22 cents a share. eBay closed up $3.25, or 6.9%, to $50.13.
: UP to strong buy from buy at Lehman; price target up to $70 from $63. Johnson Controls ended the day up $1.19, or 1.95%, to $62.
Lakehead Pipeline Partners
: UP to buy from market perform at Lehman. Lakehead closed up 30 cents, or 0.7%, to $44.06.
: UP to strong buy from accumulate at
. Micron closed up $2, or 4.5%, to $46.44.
: UP to buy from outperform at
Salomon Smith Barney
. USA Education closed up 44 cents, or 0.8%, to $58.56.
: DOWN to buy from strong buy at Robertson Stephens. This stock critically imploded today after posting a far greater loss than expected -- when it had said it expected to be profitable by the fourth quarter. The stock closed down $11, or 55%, to $9.
: DOWN to hold from buy at CSFB. Delta closed down $2.56, or 5.3%, to $45.44.
( DNA): DOWN to buy from strong buy at CSFB. Genentech closed down $7.69, or 12.7%, to $53.
: DOWN to accumulate from buy at Merrill.
Back to top
Offerings and stock actions
said it approved a 2-for-1 stock split. Gilead closed up 31 cents, or 0.5%, to $59.56.
After Thursday's Close
Something to love about LUV.
announced a 3-for-2 stock split while upping its quarterly dividend. Southwest closed down 98 cents, or 3.3%, to $28.90.
And while you're at it, check out these fine stories from
AOL Time Warner Sets $5 Billion Stock Buyback, Files $10 Billion Shelf
Akamai Files With SEC to Sell up to $500 Million of Securities
Back to top
After Thursday's Close
( VERT) will say bye-bye to 150 employees, or 8.3% of the company's regular full-time workforce. The Horsham, Pa.-based company said the job reductions, and some office closings, will help it become profitable, with the actions generating about $11 million a year in savings. VerticalNet closed up 13 cents, or 2.1%, to $6.13.
Back to top