Stocks in the news: Bank of America, PepsiCo, Sun Microsystems, Oracle

Bank of America Corp. (BAC) did not just manage to avoid a loss in the first quarter, it crushed analysts' expectations, recording earnings of $4.2 billion, or 44 cents per share -- 40 cents higher than the 4 cents a share analysts surveyed by Thomson Reuters expected. But the bank also took a hefty $13.4 billion provision for loan losses. BAC shares declined over 8 percent in pre-market trade.

Oracle (ORCL) said it would acquire Sun Microsystems (JAVA) for $7.4 billion, or $9.50 a share, 42 percent above JAVA's Friday closing price. Up until very recently, International Business Machines (IBM) courted Sun. ORCL shares declined nearly 7 percent in pre-market trading, JAVA's soared over 36 percent.