The Day's Winners
Affiliated Computer Services
moved up 6% to $43 after reporting higher fourth-quarter earnings and sales. The technology services company earned $68.1 million, or 49 cents a share, up from $36.6 million, or 33 cents a share, last year. Revenue was up to $856.8 million from $550.5 million. The results were in line with the company's previous guidance, and for fiscal 2003, Affiliated forecast earnings of $2.18 a share on revenue of about $3.8 billion. Analysts are looking for $2.17 a share.
Coventry Health Care
added 9% to $28.38 after the company's second-quarter profits rose. The company earned $36.6 million, or 60 cents a share, up from $20.4 million, or 30 cents a share, a year ago. Analysts had been looking for 48 cents. Revenue was up about 13%, while membership increased 8% from last year. Coventry also said its medical loss ratio was down to 83.2% from 86.1%. The stock was upgraded to attractive from neutral by Bear Stearns on the news.
tacked on 18% to $2.49 on an upgrade from Morgan Stanley. The firm upped its rating on the stock to overweight from equal-weight, saying its models have generated a $3 price target for the company.
Gold stocks were trading higher Tuesday after Goldman Sachs upped its weighting on the sector to overweight from market weight. Goldman said it expects prices to continue to increase over the next two years, assuming the dollar continues to weaken, deficits continue widening and investors continue to look for alternative asset investments for diversification.
were both up about 3% on the upgrade, while
added 4%. Goldman also raised its 2002 and 2003 estimates for the companies.
The Day's Losers
fell 18% to $18.05 after the company said shareholders plan to sell 4.5 million shares of its stock to Morgan Stanley. The shares will then be resold in a public offering at a price of $19 a share, well below the stock's previous close of $22. Aftermarket added that it will see $3 million in cash from the deal.
Shares of human resources outsourcing company
plunged 39% to $2.81 after the company missed second-quarter estimates. Exult lost $4.5 million, or 4 cents a share, in the quarter, wider than the consensus estimate of a loss of 3 cents. Revenue was $100.8 million, also shy of the $105.7 million consensus. The stock was downgraded to market outperform from the recommended list by Goldman Sachs, while Salomon Smith Barney cut its rating to outperform from buy. Banc of America downgraded the stock to market perform from buy, and US Bancorp Piper Jaffray knocked the stock down to underperform from market perform.
Home video and software copyright protection firm
was falling 7% to $10.95 after the company reported in-line quarterly results but warned of a shortfall for the full year. The company earned 18 cents a share in the latest quarter on revenue of $24.9 million, but said it expects full-year EPS of 70 cents to 73 cents on revenue of $95 million to $98 million. Analysts are looking for 84 cents a share on revenue of $102 million for the year.
Domain registration company
lost 29% to $5.18 after the company posted weaker than expected profits on falling renewal rates. The company earned $846,000, or 2 cents a share in the quarter, compared with estimates calling for about 6 cents a share. Revenue dipped to $27 million from $30 million, while the company's renewal rate for domain registrations fell to 49% from a year to date rate of 52%.