Stocks to Watch: Netflix, Palo Alto Networks, Amarin

NEW YORK -- Netflix ( NFLX) CEO Reed Hastings and his company received a Wells Notice from the Securities and Exchange Commission for a social network post.

The controversial chief of the DVD-rental and streaming-media company received a Wells Notice for a Facebook ( FB) post that claims Hastings violated the Regulation Fair Disclosure, Section 13(a) of the Securities Exchange Act and Rules 13a-11 and 13a-15.

Staff at the SEC are recommending Hastings and Netflix face civil enforcement over the post the executive made in July, which claimed Netflix users "had enjoyed over 1 billion hours" of content in June. The company didn't issue a press release or file an 8-K with the information at the time, which the SEC says Hastings should have done because it was "material" investor information.

Reed Hastings, Netflix, Get SEC Wells Notice


Palo Alto Networks ( PANW) said Thursday it swung to a fiscal first-quarter loss of $3.5 million, or 5 cents a share.

Adjusted profit in the quarter was 4 cents a share, topping analysts' estimates by a penny as revenue jumped 50% to $85.9 million.

The network security company said it expects adjusted earnings in the fiscal second quarter of 4 cents a share on revenue of $90 million to $94 million; analysts forecast profit of 4 cents a share on revenue of about $91 million.

Why Palo Alto Networks Is a Buy Ahead of Earnings


Smith & Wesson ( SWHC) swung to a profit of $21.1 million, or 31 cents a share, in the fiscal second quarter. The board of the gun maker also approved $20 million in stock buybacks.


Amarin ( AMRN) announced Thursday plans to raise $100 million in debt financing and the intention to hire 250 to 300 sales representatives, in a go-it-alone launch strategy for lipid-lowering prescription fish-oil pill Vascepa.

The announcement disappointed investors were were hoping for a marketing partnership. The stock plunged 21% in after-hours trading Thursday.

Amarin's Sad And Lonely Vascepa Launch Party


Geo Group ( GEO) said Thursday it would pay a special dividend of $5.68.


-- Written by Joseph Woelfel

>To contact the writer of this article, click here: Joseph Woelfel

>To submit a news tip, send an email to: tips@thestreet.com.
Copyright 2012 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.

If you liked this article you might like

7 Essential Rules for Investing in Tech Stocks

Politics Hang Heavy Over FCC's Review of Sinclair-Tribune Media

Microsoft's New Xbox One X Shows It's Done Trying to Please Everyone

Cord Cutters Aren't Just Leaving Pay-TV Because of Price

Netflix Shares Could Rise 16% on Big Boost in Subscribers