Alaska Communications (NasdaqGM:
ALSK -
News) was downgraded to underweight from equal weight at Lehman Bros.
Allied Capital Corp. (NYSE:
ALD -
News) agreed to sell its portfolio company, Palm Coast Data Holdco Inc., to Kable Media Services Inc., a unit of Amrep Corp. (NYSE:
AXR -
News). The value of the transaction was $92 million.
Blackbaud Inc. (NasdaqGS:
BLKB -
News) acquired privately owned sister companies Target Software Inc. and Target Analysis Group Inc. for $60 million, plus up to an additional $2.4 million under a 1-year earn-out arrangement. Blackbaud sees the acquisition cutting earnings per share, before items, in 2007 by 3 to 6 cents.
Cheesecake Factory Inc. (NasdaqGS:
CAKE -
News) said Peter D'Amelio, president and chief operating officer of the restaurant division, is leaving for personal reasons, effective Feb. 2. The company is searching for a replacement.
Cosi (NasdaqGM:
COSI -
News) was downgraded to buy from strong buy at Wedbush Morgan.
Fortunet Inc. (NasdaqGM:
FNET -
News) was initiated with a hold rating at W.R. Hambrecht & Co.
Fulton Financial (NasdaqGS:
FULT -
News) said fourth-quarter net income rose, as interest income gained, to $46.6 million, or 27 cents a share, from $40.9 million, or 25 cents a share, during the same period in the prior year. The Lancaster, Pa.-based financial holding company said quarterly net interest income rose to $121.7 million from $107.9 million in the prior year.
Genomic Health (NasdaqGM:
GHDX -
News) was downgraded to equal weight from overweight at Lehman Bros. on valuation concerns.
Health Care Property Investors Inc. (NYSE:
HCP -
News) priced a public offering of 6.77 million of its shares. The real estate investment focusing on healthcare facilities said it has granted underwriters a 10-day option to purchase an additional 1.02 million shares.
Indymac (NYSE:
NDE -
News) was downgraded to market perform from market outperform at JMP Securities.
Intel (NasdaqGS:
INTC -
News) said fourth-quarter profit dropped 39% as the world's largest chipmaker cut prices and boosted investment, attempting to beat back a challenge from smaller rival Advanced Micro Devices.
Isis Pharmaceuticals' (NasdaqGM:
ISIS -
News) shares slumped after the Carlsbad, Calif.-based company said late Tuesday it plans to raise roughly $125 million through an offering of convertible subordinated notes due 2027 in a private placement. Isis also plans to grant the initial purchasers a 30-day option to buy up to an additional $37.5 million of convertible notes. The company said it will use the proceeds of the offering repurchase, retire or repay its 5.5% convertible subordinated notes due 2009 and for general corporate purposes.
Linear Tech (NasdaqGS:
LLTC -
News) said second-quarter net earnings rose slightly to $105 million, or 34 cents a share, from $103.2 million, or 33 cents, last year, as sales were virtually flat. Excluding stock-based compensation, the company posted per-share earnings of 39 cents vs. 36 cents last year.
Polycom (NasdaqGS:
PLCM -
News) was downgraded to hold from buy at Wedbush Morgan.
Rackable Systems Inc. (NasdaqGS:
RACK -
News) said it expects fourth-quarter results to range from a net loss of $683,000, or 2 cents a share, to net earnings of $194,000, or 1 cent a share. The company said it is "disappointed" it did not meet its per-share earnings and gross margin goals, citing higher-than-expected DDR memory pricing and intense competition as reasons for the missed targets.
Ryanair Holdings (NasdaqGS:
RYAAY -
News) was downgraded to hold from buy at Citigroup Investment Research.
Southwest Airlines (NYSE:
LUV -
News) reported fourth-quarter net income fell 19% on 15% higher revenue. Earnings fell to $57 million, or 7 cents a share, from $70 million, or 9 cents, in the year-earlier period. Excluding special items, earnings were 12 cents against 10 cents. Revenue reached $2.28 billion from $1.99 billion. A survey of analysts by Thomson First Call produced a consensus estimate of 12 cents of profit on $2.28 billion of revenue. Southwest said it hopes in 2007 to exceed its target of 15% growth in earnings per share excluding special items. For the first quarter, Southwest said it's 100% hedged for jet-fuel prices at the equivalent of an average of $50 a barrel of crude. That's compared with the year-earlier period's level of 75% hedged at $36 a barrel.
Trustmark Corp. (NasdaqGS:
TRMK -
News) reported fourth-quarter net earnings of $29.4 million, or 50 cents a share, up 6% from $27.7 million, or 50 cents a share, during the year-ago period. There were 59.1 million shares outstanding during the compared with 56 million a year ago.
UST Inc. (NYSE:
UST -
News) was downgraded to neutral from buy at UBS. The firm cited valuation.
Weyerhaeuser (NYSE:
WY -
News) was downgraded to neutral from buy at UBS. The firm cite weaker fundamentals.
World Acceptance Corp. (NasdaqGS:
WRLD -
News) was downgraded to hold from buy at Jefferies & Co., citing valuation. The firm also cut its price target on the stock to $49 from $53.
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