Stocks in Motion: Big Volume in FDA Losers Genta, Allos

Meanwhile, Teva rises on strong first-quarter earnings.
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Updated from 1:01 p.m. EDT

Shares of

Genta

(GNTA)

and

Allos Therapeutics

(ALTH)

saw heavy volume Tuesday after both companies received word that their respective drugs were rejected by Food and Drug Administration panels on Monday.

Genta's cancer drug Genasense was rejected by an independent advisory panel on Monday by a vote of 13 to 3. The panel found that data did not support the drug's efficacy. Shares of Genta were halted for much of the day Monday, but when trading finally resumed, the stock plunged 41% on heavy volume of 17.7 million shares.

The stock was active again on Tuesday, with volume of 22.2 million shares. Shares of Genta traded down 45 cents, or 8.8%, to $4.66.

Allos, meanwhile, was active Tuesday after an independent advisory panel for the FDA found that the company's RSR13 cancer drug did not show effectiveness in treating brain cancer after it spreads from breast cancer.

The panel voted 16 to 1 against the company's drug. The news shouldn't have surprised investors who on Friday learned that reviewers from the FDA said RSR13 was "not convincing." Shares of Allos ended the day up 32 cents, or 13.4%, to $2.71.

In other action,

Teva Pharmaceuticals

(TEVA) - Get Report

rose on heavy volume after the company reported

strong first-quarter results. The drugmaker earned 64 cents per share on revenue of $1.05 billion. Analysts were expecting 59 cents per share on revenue of $1.01 billion.

Looking ahead, the company said that it expects net income of $2.70 to $2.74 per share on revenue of $4.5 billion for 2004. Analysts were expecting $2.57 per share on revenue of $4.42 billion during 2004. Shares of Teva traded up $2.30, or 3.8%, to $62.65 on volume of more than 10 million shares.

Other

Nasdaq

names on the high-volume list included

Oracle

(ORCL) - Get Report

,

Intel

(INTC) - Get Report

,

Cisco

(CSCO) - Get Report

and

Microsoft

(MSFT) - Get Report

.

NYSE

high-volume leaders included

Nortel

(NT)

,

Lucent

(LU)

,

Agere Systems

(AGRB)

,

Calpine

(CPN)

and

Tyco

(TYC)

.

Looking at Nasdaq price movers,

Macrovision

(MVSN)

rose after the company announced stronger-than-expected first-quarter earnings Monday evening. Excluding one-time items, the software maker earned 22 cents per share on revenue of $38 million. Analysts polled by Thomson First Call were looking for 14 cents per share on revenue of $31.7 million. Shares of Macrovision traded up $5.18, or 29.5%, to $22.74.

Progen Industries

(PGLAF)

rose after the Brisbane, Australia-based company issued a press release saying that its PI-88 cancer drug had been awarded orphan status. That gives the drug seven years of market exclusivity if and when it is approved, a press release said. Shares of Progen traded up 63 cents, or 29%, to $2.80 on volume of nearly 1.8 million shares.

Viisage

(VISG)

rose after it raised 2004 guidance. After announcing a first-quarter loss of 5 cents per share on revenue of $12.3 million, the company raised its previous revenue guidance for all of 2004. Instead of achieving revenue of $57 million to $60 million, analysts were told to expect revenue of $60 million to $63 million. Shares of Viisage traded up $1.90, or 23.2%, to $10.10.

Intelligroup

(ITIG)

slumped after the company reported disappointing first-quarter earnings results. The information technology outsourcing company earned 1 cent per share on revenue of $30.8 million.

Analysts were looking for 9 cents per share on revenue of $33.5 million. Going forward, analysts were told to expect earnings of 6 cents to 9 cents per share in the second quarter. Analysts are forecasting a profit of 9 cents per share. Shares of Intelligroup traded down $1.89, or 32.6%, to $3.90.

Savient Pharmaceutics

(SVNT)

slid after the company reported disappointing first-quarter results. The company earned 2 cents per share on revenue of $33.6 million. Analysts were looking for the company to earn 8 cents per share on revenue of $35.5 million. Shares of Savient traded down 34 cents, or 9.5%, to $3.25.

Glenayre Technologies

(GEMS)

slumped after the company failed to impress investors with its first-quarter results. The company reported a loss of 9 cents per share compared with a loss of 9 cents per share a year ago and a loss of 2 cents per share during the company's fourth quarter. Revenue, meanwhile, slid 23% vs. a year ago, to $10.2 million. Shares of Glenayre traded down 9 cents, or 3.8%, to $2.26.

On the Big Board, shares of

Payless Shoesource

(PSS)

rose after the company said that same-stores sales increased and that it expects earnings and revenue for the first quarter to be above consensus estimates.

In addition to same-store sales for the month of April being up 4.7% year over year, the company also said that based on its revenue of $722 million during the first quarter, it expects to earn 16 cents to 21 cents per share when it reports earnings.

Analysts were looking for the company to earn 7 cents per share on revenue of $720.5 million. Shares of Payless traded up $2.14, or 14.6%, to $16.80.

Shares of

Keystone Property

(KTR)

jumped after the company agreed to be acquired by ProLogis and Eaton Vance Fund Affiliates. According to a press release, total consideration in the deal is $1.6 billion, which assumes all Keystone liabilities and expenses. Keystone investors will receive $23.80 per share, or about $850 million. Shares of Keystone traded up $2.98, or 14.3%, to $23.83.

Shares of

Vishay Intertechnology

(VSH) - Get Report

rose after the company announced strong first-quarter results Tuesday. The company earned 20 cents per share on revenue of nearly $641 million. Analysts were looking for the company to earn just 14 cents per share on revenue of $618.7 million.

Looking ahead, Vishay said that second-quarter earnings are expected to jump 15% vs. the just-ended first quarter, or 23 cents per share, on revenue of $672 million, or 5% higher than in the first quarter. Analysts were expecting the company to earn 17 cents per share during the second quarter on revenue of $633.7 million. Shares of Vishay traded up $1.24, or 7.4%, to $17.99.

Health Net

(HNT)

slumped after it reported lackluster first-quarter earnings and offered weaker-than-expected earnings guidance for the rest of the year. The large health care insurer earned 15 cents per share during the first quarter on revenue of $2.92 billion. Analysts were looking for the company to earn 53 cents per share on revenue of $2.94 billion.

Looking forward, the company said that it expects to earn $2.15 to $2.50 per share during 2004 vs. First Call estimates of $2.83. Shares of Health Net traded down $1.78, or 7%, to $23.72.

Shares of Frisco, Texas-based

Comstock Resources

(CRK) - Get Report

fell after the company reported weak first-quarter results. After excluding a charge, the company earned 35 cents per share on revenue of $60.8 million. Analysts were looking for the company to earn 42 cents per share on revenue of $58 million. Shares of Comstock traded down $1.70, or 7.8%, to $20.20.

Shares of

MGM Mirage

(MGG)

slumped after CIBC World Markets and Merrill Lynch downgraded the company on Tuesday. CIBC took its rating to sector underperform from sector perform, and Merrill took its rating from buy to neutral. Shares of MGM Mirage traded down $2.99, or 6.3%, to $44.49.