Stocks in the News: Bucyrus, ConAgra Foods, Alcoa
Bucyrus International (BUCY) says it will buy Terex's (TEX) mining equipment division for $1.3 billion in cash, adding complementary services to its business and broadening its geographic reach. BUCY shares jumped over 8%, TEX shares shot up nearly 10% in pre-market trading.Sanofi-Aventis SA (SNY) says it has agreed to buy U.S. health care company Chattem Inc. (CHTT) for about $1.9 billion, or $93.50 per share, in cash. Sanofi-Aventis says the deal would create the world's fifth-largest consumer health-care company. CHTT shares soared over 32% ahead of the bell.
ConAgra Foods Inc. (CAG) said Monday that its fiscal second-quarter profit climbed, benefiting from a strong consumer foods business as people ate at home more often during the recession, and from a drop in commodity prices for food ingredients during the quarter. Results beat analyst estimates. Shares advanced 3% before the bell.
Walgreen Co. (WAG) said Monday its fiscal first-quarter profit jumped 20%, mainly on higher prescription drug sales and flu shots, topping Wall Street forecasts. Shares were 3% higher in pre-market trading.
Alcoa (AA) said it'll team up with Ma'aden, the Saudi Arabian Mining Company, to invest about $10.8 billion to develop an integrated aluminum industry in Saudi Arabia. Alcoa was also upgraded to overweight from equal-weight by Morgan Stanley, which introduced a $22 price target. Shares jumped 4% ahead of the bell.
American International Group (AIG) will take at least two years to repay the government the aid it has received, CEO Robert Benmosche told the Financial Times.
Nokia's (NOK) credit rating was cut by Fitch Ratings on Monday. The rating agency said margins are unlikely to recover quickly and expressed concern that its telecom-equipment joint venture with Siemens is losing market share. Argus also downgraded NOK from buy to hold. Shares declined about a percent ahead of the bell.
Pfizer Inc. (PFE) has agreed to a deal with Athersys Inc. (ATHX) to develop and commercialize MultiStem, its investigational stem cell therapy for the treatment of inflammatory bowel disease. ATHX shares shot up 200% in premarket trading.
Citadel Broadcasting Co., the nation's third-largest radio group, filed for Chapter 11 bankruptcy protection on Sunday.
Intel Corp. (INTC) on Monday introduced a new series of Atom chips that integrate graphics functions directly into the central processing unit. Barclays Capital also upgraded Intel from equal-weight to overweight. Shares were 1.6% higher ahead of the bell.
General Electric (GE) and France's Safran won a multibillion dollar contract to provide engines for the planned C919, which will be the largest passenger jet made in China. GE also appointed three company officers.
Goldman Sachs upgraded Mosaic Co. (MOS) to buy from neutral Monday and added Potash Corp. (POT) to its conviction buy list, saying it was taking advantage of a sharp sell-off in fertilizer stocks last week to get more bullish. Shares of both jumped over 3% in premarket trade.