Oracle, Dell, SAP: Premarket Trading

Tyson Foods stock is volatile in pre-market trading Monday, after the company says it expects higher raw-material costs in fiscal 2011.

Author:: Andrea Tse
Publish date:: Nov 22, 2010 8:25 AM EST

(Pre-market story updated with stock price changes and Tyson Foods fourth-quarter earnings)
NEW YORK (TheStreet) -- Tyson Foods stock was volatile in pre-market trading Monday, falling 2.8% to $15.20 Monday after the company said it expected higher raw-material costs, including those of grain in fiscal 2011, which it plans to offset with operational and pricing improvements. Shortly afterwards, the stock bounced back, rising 2.3% to $16.

The company swung to profit in the fourth quarter, reporting net income of $213 million, or 57 cents a share, from a loss of $457 million, or $1.23 the previous year, partly driven by higher pricing in the pork and prepared foods segments. Excluding an impairment charge of 7 cents related to its Brazil poultry operations, earnings were 64 cents a share, beating the Wall Street consensus estimate of 56 cents a share.

Sales rose by about 3% to $7.44 billion from $7.21 billion the previous year, below the consensus $7.75 billion target.

Regeneron Pharmaceuticals

(REGN) - Get Report

and

Bayer HealthCare

announced on Monday that their VEGF Trap-Eye drug for patients with age-related eye degeneration problems successfully met requirements in two advanced studies of the drug.

Regeneron Pharmaceuticals fell 1.2% to $24.67 at the closing bell Friday.

According to the Wall Street Journal,

Oracle

(ORCL) - Get Report

has been having difficulty tracking down

Hewlett-Packard's

(HPQ) - Get Report

new CEO Leo Apotheker to testify in Oracle's copyright infringement lawsuit against

SAP AG

(SAP) - Get Report

, of which Apotheker was the former CEO.

SAP stock fell by 0.7% to $49.64 in premarket trading, and **Hewlett-Packard shares were rising by 0.5% to $42.70. Oracle finished Friday's trading session down 0.6% to $28.15.

Genzyme

(GENZ)

is mulling over a new deal structure as it tries to break an acquisition deadlock with

Sanofi-Aventis

(SNY) - Get Report

, according to the

Wall Street Journal

. The

Journal

is reporting that the new deal structure would reward shareholders with additional benefits depending on whether the acquired company reaches certain milestones.

Shares of Sanofi-Aventis are up 1.3% to $34.57 in premarket trading. Genzyme stock finished Friday's closing session up 1.5% at $71.31.

Last Thursday, court documents unsealed amid a three-year old lawsuit against Dell raised questions about how the company dealt with a record number of problematic computers sold to governments, schools and companies between 2003 and 2005, according to the

New York Times

. The documents were connected to a lawsuit filed by

Advanced Internet Technologies

alleging Dell of covering up the defects in its desktop computer, the

Times

reported. Shares of Dell are down 0.5% to $13.83 in pre-market trading.

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-- Written by Andrea Tse in New York.

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