Stocks in the news: HD, AIG, MU, JPM, TGT, M, RSH, HNZ, NWS, SPSN ...
Home Depot (HD) managed to beat analyst estimates when it reported results this morning. While posting a fiscal fourth-quarter loss of $54 million, it was mostly due to its plan to shut its four smaller home-improvement brands. Excluding charges, profit was 19 cents per share, despite the 17 percent slide in revenue to $14.61 billion, and comparable-store sales down 13 percent. Analysts forecast a profit of 15 cents per share on revenue of $14.67 billion. Share are climbing over 4% in pre-market trade. HD gained over 6% shortly after the open.
- Micron Technology (MU), despite saying before it wouldn't cut more jobs, announced it will slash as many as 2,000 workers by the end of August and phase out certain manufacturing operations. MU shares gained over 2.5% shortly after the open.
- Spansion Inc. (SPSN) also said late Monday that it plans to cut its global workforce by roughly 3,000. SPSN shares are soaring over 18% half an hour after the open.
- AIG (AIG) was reported Monday it may lose $60 billion, and following that it said it may seek even more government aid. This morning it received bids from MetLife Inc. (MET) and Axa SA (AXA) for a life-insurance unit , a sale that may mark the biggest step yet in the company's dismantling. Shares are slumping over 13% in pre-market trade. AIG shares are slumping over 18% by 10:00 am.
- J.P. Morgan Chase & Co. (JPM) late Monday slashed its quarterly dividend to 5 cents a share, down from 38 cents to save $5 billion a year and said that its first-quarter has been "solidly profitable" so far. This will bolster its financial strength and have JPM better equipped with a longer and deeper recession than expected. Shares are soaring over 7% in pre-market trade. JPM shares are up over 2% half an hour into the open.
- Citigroup (C) and Bank of America (BAC) will continue to be in focus as they have been in the past few days due to concerns over more governemnt ownership and even nationalization as they two financial institutions struggle. C shares are gaining over 6% and BAC shares are also gaining about the same in pre-market trading. C and BAC both are gaining about 2% at around 10:00 am.
- Retailers Macy's (M) -- beats estimates, reaffirms guidance, shares jump over 5% in pre-market trade, Target (TGT) -- Target missed estimates and gave lower guidance, shares declined after the open, Radio Shack (RSH) -- shares dive 18% after worst-than expected results, and Office Depot (ODP) -- shares slump over 13% after reporting quarterly loss.
- Marvel Entertainment (MVL) -- topped estimates, shares soar over 13%, Heinz (HNZ) -- shares are up over 4.5% in pre-market trade after HNZ beat estimates, and PG&E (PCG) are also due to report before the opening bell.
- DreamWorks (DWA) will report after the close.