The Day's Winners

Shares of

Claire's Stores

(CLE)

rose 4% to $21.23 after the company upped its second-quarter forecast on a stronger sales outlook. The costume jewelry and accessories store said it now expects to earn about 23 cents a share in the quarter, up from a year-ago loss of 2 cents and the company's earlier guidance of 17 cents. Analysts polled by Thomson Financial/First Call are looking for 17 cents a share as well. The company said its June sales have continued to be stronger-than-expected, leading to the revised outlook.

Freight company

CNF

(CNF) - Get Report

was climbing about 5% to $36.90 after the company said its second-quarter results would blow by the consensus estimate on better unit volumes and cost-cutting measures. The company sees EPS of 34 cents to 39 cents in the quarter, ahead of the First Call consensus of 23 cents. CNF said its results will be stronger due to cost control at Con-Way and Menlo Worldwide, savings from restructuring at Emery Forwarding, and solid progress in its supply chain venture with

General Motors

. The company added that volumes in all operating units are better than anticipated.

King Pharmaceuticals

(KG)

tacked on about 5% to $20.40 on a full-year forecast, in line with Wall Street's expectations. The company expects to earn $1.54 to $1.66 a share in 2003 on revenue of $1.35 billion to $1.5 billion. Analysts are expecting $1.58 on revenue of $1.41 billion. King also said sales of Altace, one of its blockbuster drugs, should be in the range of $585 million to $715 million. The company said May prescriptions reached record highs, and new prescription share among cardiologists continues to grow. King added that it has over $1 billion in cash on hand, as well as available credit under its revolving credit facility.

Colgate-Palmolive

(CL) - Get Report

was gaining about 2% to $50.51 after reiterating its second-quarter and year-end profit targets and receiving an upgrade at Merrill Lynch. The company said it "has confidence in external estimates for both second quarter and full year 2002 earnings per share." Analysts polled by Thomson Financial/First Call are looking for Colgate to earn 54 cents a share in the quarter and $2.17 for the year. Colgate said its statement comes in response to market conditions, and the company added that it should see a "solid quarter with good unit volume growth." The stock was upgraded by Merrill Lunch to near-term buy from neutral after the announcement, with Merrill saying the stock could trade up to $58 to $60 in the next year.

The Day's Losers

Omnicom

(OMC) - Get Report

plunged 22% to $38.10 after Moody's Investors Service placed the company's senior unsecured debt rating on review for downgrade. Moody's said the review was prompted by the uncertain advertising market combined with the company's use of cash and debt to finance its stock repurchase plan and its acquisitions. Omnicom fell to a new 52-week low on the news.

Renaissance Learning

(RLRN)

slid about 25% to $17.86 after slashing its second-quarter outlook, saying state education budgets will result in lower revenue. The company cut its earnings estimate to $8.8 million, or 25 cents a share, on revenue slightly above $33 million. Wall Street had been looking for 27 cents on revenue of $37.6 million. For the year, Renaissance said its full year revenue growth estimate is 5% to 10%, below the consensus analyst estimate of growth of about 20%. The company said that, in addition to shrinking state budgets, it now appears federal funds will be slower in reaching schools than anticipated.

Optimal Robotics

(OPMR)

dropped about 14% to $7.44 on a downgrade to underperform from market perform by Raymond James. The firm believes Optimal Robotics, which manufactures self-checkout machines for use in stores, has lost the upper hand in the battle for

Home Depot's

(HD) - Get Report

business to rival

NCR

(NCR) - Get Report

. James said that, if true, this news would be a major blow to Optimal's business, as the stock will remain under pressure on the possibility of an industry price war.

SimpleTech

(STEC)

shed 30% to $3.80 after the company warned that it will post a second-quarter loss instead of the previously forecast profit on falling memory chip prices. The company now expects to lose 2 cents to 3 cents a share on revenue of $41 million to $42 million, down from its original guidance of a profit of 1 cent to 3 cents on revenue of $45 million to $50 million. Analysts were expecting a profit of a penny. SimpleTech said it expects demand to pick up in the second half of the year due to holiday and back-to-school demand.