Stocks in the news: General Motors, Sony, Bank of America
The following post rounds up the companies making headlines today:
General Motors Corp. (GM) GMAC Financial Services unit may be getting billions more -- $7-7.5 billion -- in federal aid, according to media reports. That's after GMAC failed a bank "stress test" earlier this month, and was told it needed to raise $11.5 billion within six months. GMAC already received $5 billion from TARP. GM stock climbed nearly 9 percent in pre-market trade.
Bank of America (BAC) is looking to pay $45 billion of government funds by the end of the year, according to the Financial Times. Meanwhile, it's on track to raise about $35 billion in capital by the end of September, needed to fulfill Treasury stress-test requirements. Negotiations to sell some of the lender's non-core assets are underway. Shares declined 1.6 percent before the bell.
Sony Corp. (SNE) said it will halve the number of parts suppliers to slash costs as CEO Stringer pushes onward with a turnaround plan. It intends to cut purchasing costs by 500 billion yen ($5.3 billion), or 20 percent of last year's expenditure.
OpenTable (OPEN) which operates a restaurant reservation system, priced its shares at $20 each on Wednesday, 30 percent higher than expected, raising $60 million in the first initial public offering by a U.S. company on Nasdaq in 2009. It sold 3 million shares in the seventh IPO of the year in the United States.
Fifth Third Bancorp (FITB) is yet another bank attempting to adhere to regulators demands following the stress test. It plans to sell up to $750 million of common stock and exchange preferred shares into common stock. The common stock offering will be "at the market." Shares dropped 9 percent ahead of the bell.
- Hormel Foods (HRL) -- Hormel Foods profit up, helped by grocery sales, tops estimate
- GameStop (GME) -- Reports In-Line Q1; Reaffirms -- stock sinks over 12 percent ahead of the bell.
- Barnes & Noble (BKS)
- Aeropostale (ARO)
- Foot Locker (FL)
- The Gap (GPS)
- Pacific Sunwear (PSUN)
- Salesforce.com (CRM)
- LDK Solar (LDK)
- Autodesk (ADSK)