Jim Cramer Blog

1 800 Flowers.com (NasdaqGS:FLWS - News) was downgraded to sell from neutral by Goldman Sachs on valuation groups, as the shares are about 15% above its year-end price target of $6.50. "Calendar year 2008 to 2011 revenue growth above 5% is unlikely without greater-than-expected levels of spending, which would put our 13% profit growth estimate, and thus our price target, at risk. The current share price may reflect an overly optimistic outlook for Valentine's Day, Easter, and Mother's Day," the broker said.
Advancis Pharmaceutical (NasdaqGM:AVNC - News) has received a "refusal to file" letter from the Food and Drug Administration for its Amoxicillin Pulsys new-drug application. The Germantown, Md., pharmaceutical company said the letter requests additional information on its planned commercial manufacturing processes. Last December, Advancis submitted an NDA for once-daily Amoxicillin Pulsys to treat adolescents and adults with acute strep throat. The company plans to meet with the FDA as soon as possible to discuss the issues and to reach agreement on what additional information is required for the filing to be accepted.
Agnico-Eagle Mines Ltd (NYSE:AEM - News) agreed to buy Cumberland Resources Ltd in an all-stock deal valuing the Canadian gold mining company at C$710 million ($605 million). Agnico-Eagle said it will exchange 0.185 of its shares for every Cumberland share, representing a 28.8% premium to Cumberland's closing price on Feb. 13. Cumberland owns the Meadowbank gold project, which is currently under construction with proven and probable reserves of 2.9 million ounces. Production is due to begin in 2010 and will increase projected gold production at Agnico-Eagle by 39% in 2010 to 1.3 million ounces.
Carter (NYSE:CRI - News) shares tumbled after the company said its fourth-quarter net sales rose 7.7% to $377.5 million and earnings were 45 cents a share, including charges of 1 cent a share for share-based compensation and 1 cent a share for amortization charges. On average, analysts polled by Thomson Financial expected earnings of 46 cents a share. The analyst estimate includes share-based compensation but excludes the amortization charges. Carter's said fourth-quarter weakness is now impacting 2007 results, which are being hurt by changes in the mix and levels of inventory in our stores. Carter's said it's made progress reducing OshKosh's cost structure in 2006, but more work is still required and the benefits won't be realized until the second half of 2007. As a result the company expects first-quarter sales of $305 million, up 3% from a year ago, and earnings of 14 cents, down 46% from a year ago. For fiscal 2007, Carter's now expects net sales of $1.4 billion to $1.42 billion, up 4% to 5%, and earnings of $1.42 to $1.49 a share, flat to up 5%. The company expects no growth in same-store sales in 2007.
Champion Enterprises Inc. (NYSE:CHB - News) fourth-quarter net income declined to 5 cents a share from 8 cents a share, in the year-earlier period. The Michigan producer of manufactured and modular homes reported revenue fell to $300.9 million from $375.5 million. Analysts polled by Thomson Financial had expected revenue of $332 million.
Choice Hotels (NYSE:CHH - News) shares pulled back after the company said its fourth-quarter earnings improved to $24.6 million, or 37 cents a share, from a year-earlier profit of $21.6 million, or 32 cents a share. On an adjusted basis, earnings were 36 cents a share. Revenue rose to $143.7 million from $122 million. Wall Street, according to Thomson Financial, expected the company to post fourth-quarter earnings of 35 cents a share and revenue of $133 million. The company expects to post first-quarter earnings of 23 cents a share and full-year earnings of $1.59 a share. Wall Street expects first-quarter earnings of 28 cents a share and 2007 earnings of $1.67 a share.
Daktronics' (NasdaqGS:DAKT - News) shares dropped after the Brookings, S.D.-based company reported fiscal third-quarter net income of $7.03 million, or 17 cents a share, compared with $4.04 million, or 10 cents a share, in the year-ago period. Revenue rose to $106.7 million from $71.1 million. Analysts were expecting a per-share profit of 16 cents on revenue of $112.6 million. The company expects fourth-quarter earnings in the range of 12 cents to 19 cents a share on revenue of $106 to $118 million.
Delta Air Lines Inc. (Other OTC:DALRQ.PK - News) said its fourth-quarter loss widened to $1.98 billion from $1.24 billion. The Atlanta airline, in Chapter 11 bankruptcy, said it recorded $1.8 billion in charges in the quarter, consisting of $2.5 billion for reorganization items and a $719 million income tax-related gain from the reversal of liabilities under its pilot pension plan. Revenue in the three months ended Dec. 31 rose 5.3% to $4.14 billion from $3.92 billion. Delta, the No. 3 network airline, said it recorded its first annual operating profit since 2000.
Gen-Probe Inc. (NasdaqGS:GPRO - News) said its fourth-quarter net earnings rose slightly to $17.1 million, or 32 cents a share, compared with $16.8 million, or 32 cents a share, in the same period last year, on the back of higher sales. Excluding stock-based compensation, the San Diego-based maker of tests to diagnose disease posted per-share earnings of 38 cents. Revenue rose 3.5% to $91.1 million from $88 million. Analysts polled by Thomson Financial had expected per-share earnings of 29 cents, on revenue of $89 million. For 2007, Gen-Probe expects per-share earnings of $1.26 to $1.34, on revenue of $380 million to $390 million. Separately, the company said it has named Carl Hull chief operating officer.
Harris Corp. (NYSE:HRS - News) was downgraded to neutral from overweight at J.P. Morgan.
Host Hotels (NYSE:HST - News) was downgraded to hold from buy at Citigroup.
La-Z-Boy (NYSE:LZB - News) swung to a third-quarter net loss of 15 cents a share, as it recorded a 28-cent loss from discontinued operations. In the year-earlier period, the furniture company earned 20 cents a share. La-Z-Boy said revenue fell to $403.9 million from $446.6 million. For the fourth quarter, the company expects sales to fall 8% to 10% from the year earlier, with earnings per share of 3 cents to 7 cents.
Masco Corp. (NYSE:MAS - News)swung to a fourth-quarter loss of 49 cents a share from net income of 41 cents, in the year-earlier period on higher impairment charges and a 5.8% decline in sales. Profit from continuing operations before items decreased to 38 cents a share from 50 cents. Fourth-quarter sales fell to $2.95 billion. Analysts surveyed by Thomson Financial, on average, expected the Taylor, Mich., company to earn 36 cents a share on revenue of $2.95 billion.
Office Depot Inc. (NYSE:ODP - News) said its fourth-quarter earnings rose to 48 cents a share from 34 cents in the year-earlier period. The 2005 results include a 53rd week. Excluding certain charges and the effect of a 53rd week in 2005, Office Depot earned 54 cents a share, up from 38 cents. The Delray Beach, Fla., office-supply retail chain said sales rose to $3.84 billion from $3.72 billion. Analysts polled by Thomson Financial, on average, expected earnings of 52 cents a share, excluding items, on revenue of $3.89 billion.
Playboy Enterprises (NYSE:PLA - News) was downgraded to neutral from buy at both UBS and Banc of America Securities. Banc of America lowered its price target to $12 from $13, while UBS cuts its target to $12.50 from $14.
PNM Resources Inc. (NYSE:PNM - News) fourth-quarter net income rose to 49 cents a share from 10 cents in the year-earlier period. The Albuquerque, N.M., energy holding company's revenue declined to $619 million from $646.5 million. Analysts polled by Thomson Financial were looking for revenue of $690 million. The board also approved a 4.6% increase in the quarterly dividend, to 23 cents a share, payable May 18 to holders as of May 1.
Stifel Financial, (NYSE:SF - News), the St. Louis brokerage and investment-banking firm, reported fourth-quarter net income rose 50% on 73% higher revenue.
Telik Inc. (NasdaqGM:TELK - News) plans to cut its workforce by about 25% as part of a corporate restructuring plan to reduce spending. The Palo Alto, Calif., biopharmaceutical company expects to record about $1.6 million in restructuring and severance costs for the first quarter. After the job cuts, the company will have about 120 employees.
Therma-Wave (NasdaqGM:TWAV - News) said KLA-Tencor Corp. has indicated that the German Federal Cartel Office initiated a Phase 2 review of KLA's proposed acquisition of Therma-Wave. Therefore, the acquisition of Therma-Wave may only be consummated if the FCO approves the acquisition. The tender offer has been extended to March 15.
United Auto Group (NYSE:UAG - News) reported fourth-quarter earnings of $29.9 million, or 32 cents a share, up from a year-ago profit of $30.1 million, or 32 cents a share. On a continuing operations basis, the company earned $31.1 million, or 33 cents a share, in the latest quarter. Revenue rose 22.8% in the latest three months to $2.88 billion from $2.35 billion a year earlier. The company said same-store retail revenue rose 7.1% in the quarter. The average estimate of analysts polled by Thomson Financial was for a profit of 33 cents a share in the December period. Looking ahead, the Bloomfield Hills, Mich., automotive retailer said it expects earnings from continuing operations of 26 to 30 cents a share for the first quarter and $1.40 to $1.50 a share for fiscal 2007. Wall Street's current consensus estimates are for earnings of 30 cents a share and $1.56 a share for the respective periods.
US Airways Group Inc. (NYSE:LCC - News) said PAR Investment Partners LP, which had been the carrier's largest holder, sold 6.5 million of its 13.5 million shares to help diversify its portfolio. After the sale, PAR Investment Partners will remain one of US Airways' largest investors, the stock will remain the largest position within PAR's portfolio, and Edward Shapiro, PAR vice president, will remain on the airline's board.
Vion Pharmaceuticals' (NasdaqCM:VION - News) shares slumped after the New Haven, Conn.-based company said it has agreed to sell up to $60 million of convertible senior notes due 2012 and warrants to purchase up to 7.8 million of its shares in a private placement. The offering is expected to close on Feb. 20. Vion expects to use the proceeds of the offering for general corporate purposes.
Watts Water Technology (NYSE:WTS - News) shares fell after the North Andover, Mass.-based maker of water safety and flow control products late Tuesday reported fourth-quarter net earnings of $18.1 million, or 51 cents a share, up from $15 million, or 45 cents a share, in the year-ago period. Revenue rose to $330.5 million from $244.4 million. Analysts polled by Thomson Financial were expecting a per-share profit of 61 cents on revenue of $313.5 million.
Weight Watchers International's (NYSE:WTW - News) fourth-quarter earnings rose to $44.3 million, or 45 cents a share, from $38.9 million, or 38 cents a share, a year earlier. Excluding a $6.3 million benefit from the reversal of tax reserves, earnings were 39 cents a share in the latest quarter. Analysts polled by Thomson Financial expected, on average, fourth-quarter earnings of 39 cents a share, before items. The New York provider of weight-management services said revenue for the fourth quarter increased 14% to $285.5 million from $251.2 million a year ago. Wall Street was looking for revenue of $275 million. Weight Watchers expects 2007 earnings of $2.33 to $2.47 a share, including 2 cents a share of debt expense.

Published By Michael Baron of MarketWatch

Labels: AEM, AVNC, CHB, CHH, CRI, DAKT, FLWS, GPRO, HRS, LCC, LZB, MAS, ODP, PLA, PNM, TELK, TWAV, UAG, VION, WTW

8x8 Inc. (NasdaqCM:EGHT - News) shares slid after the Santa Clara, Calif.-based provider of internet-based telephony products posted a fiscal third-quarter net loss of $3.06 million, or 5 cents a share, vs. a net loss of $6.79 million, or 12 cents a share, for the same period last year. Excluding stock-based compensation, the company posted a loss of 4 cents a share. Revenue rose to $13.2 million from $8.48 million.
Alliance Data Systems Corp. (NYSE:ADS - News) said fourth-quarter net income rose, as revenue gained, to $39.6 million, or 48 cents a share, from $31.3 million, or 38 cents a share, during the same period in the prior year.
Andrew Corp. (NasdaqGS:ANDW - News) swung to fiscal first-quarter loss of $2.55 million, or 2 cents a share, from year-earlier net income of $14.8 million, or 9 cents a share. The maker of communications systems said loss for the latest quarter reflects an aggregate charge of 10 cents a share for restructuring, amortization, litigation costs and a provision for a quality issue. First-quarter total sales increased to $522.2 million from $514.7 million, as wireless-infrastructure sales increased 3% to $499 million. Analysts surveyed by Thomson Financial, on average, expected the Westchester, Ill., company to earn 12 cents a share on sales of $552.4 million for the first quarter ended Dec. 31. Analysts' estimates typically exclude unusual items.
Applebee's International Inc. (NasdaqGS:APPB - News) said its January system-wide domestic sales at restaurants open at least one year fell 5.8%. Comparable sales for domestic franchise restaurants decreased 5.5% for the four-week period ended Jan. 28.
Apache (NYSE:APA - News) said its fourth-quarter net income fell to $520.8 million, or $1.56 a share, from $788.2 million, or $2.35 a share, a year ago, reflecting lower gas prices. A Thomson Financial survey of analysts, on average, expected earnings of $1.60 a share for the quarter. Analysts' estimates usually exclude items.
Archstone-Smith (NYSE:ASN - News), the Denver real-estate investment trust focused on apartments, reported fourth-quarter net income fell 5.8% on 30% higher revenue. Earnings were $306.6 million, or $1.36 a share, compared with $325.4 million, or $1.52, in the year-earlier period. Per-share funds from operations reflecting gains and losses rose 5% $1.46 from $1.39. In 2007, the company expects to earn $2.20 to $2.50 a share and report FFO of $2.24 to $2.38.
Comcast Corp. (NasdaqGS:CMCSA - News) said fourth-quarter net income for the three months ended Dec. 31 nearly tripled to $390 million or 18 cents a share, from $133 million, or 6 cents a share in the year-ago period. Income from continuing operations rose to 20 cents a share from 5 cents a share. Adjusted income in the latest quarter was 21 cents a share. Operating cash flow increased to $2.59 billion from $2.04 billion. Revenue climbed to $7.03 billion from $5.42 billion. Analysts surveyed by Thomson Financial forecast earnings of 24 cents a share and revenue of $7.13 billion. For 2007, Comcast (NasdaqGS:CMCSK - News) forecasts consolidated revenue growth of at least 11% on an adjusted basis and consolidated operating cash flow growth of at least 13%.
CRM Holdings Ltd. (NasdaqGS:CRMH - News) said it expects fourth-quarter earnings of 23 to 27 cents a share for the fourth quarter, including charges of 11 cents a share and gains totaling 14 cents a share. For the year ended Dec. 31, the company sees earnings of 87 to 89 cents a share. The current average estimate of analysts polled by Thomson Financial is for a profit of 24 cents a share in the December quarter.
Gevity HR (NasdaqGS:GVHR - News) shares slipped after the company said it expects revenue of about $156 million for the fourth quarter, lower than a previous forecast for revenue of between $167 million and $177 million due to higher client attrition and lower client production than anticipated.
Goodrich Corp. (NYSE:GR - News) reported fourth-quarter earnings of $98.9 million, or 78 cents a share, up from a year-ago profit of $69.6 million, or 56 cents a share. Sales rose in the latest three months to $1.54 billion from $1.4 billion in the same period a year earlier. The average estimate of analysts polled by Thomson Financial was for a profit of 67 cents a share in the December period on revenue of $1.49 billion. Looking ahead, the Charlotte, N.C., aerospace and defense systems provider lifted its outlook for fiscal 2007 to earnings of $2.95 to $3.15 a share from a prior projection of $2.90 to $3.10 a share. It sees sales of between $6.2 billion and $6.4 billion for the year. Wall Street's current consensus estimate is for earnings of $3.06 a share in 2007.
Hanesbrands (NYSE:HBI - News) said net income in the quarter ending Dec. 30 fell 78% to $23.8 million as sales fell 4.3% to $1.13 billion. The company said the fall in profit was largely due to a higher interest expense, reduced operating profit and higher income tax. Revenue was down due to weakness in the innerwear segment and the intentional discontinuance of low-margin product lines. The company said its results also include items associated with restructuring and its spin-off as an independent company. Hanesbrands was previously a division of Sara Lee Corp.
Hartes-Hanks Communications (NYSE:HHS - News) was downgraded to neutral from outperform at Robert W. Baird.
JDS Uniphase (NasdaqGS:JDSU - News) shares slid after the fiber optics networking company said it swung to income in the second quarter of $23.2 million or 10 cents a share. During the same period in the prior year, the San Jose, Calif.-based company reported a net loss of $42.1 million, or 20 cents a share. Before items, quarterly per-share income was 13 cents. In the prior year's period, the pro forma per-share loss was 2 cents. JDSU said quarterly revenue rose to $366.3 million from $312.9 million in the prior year. Analysts polled by Thomson Financial were looking for $363 million. For the third quarter, the company sees revenue of $333 million to $353 million, while Wall Street is looking for $351 million.
Shares of NeuroMetrix Inc. (NasdaqGM:NURO - News) fell after the Waltham, Mass.-based medical device company reported fourth-quarter net earnings of $1.21 million, or 9 cents a share, up from $805,451, or 6 cents a share, last year. Excluding items, the company posted a per-share profit of 14 cents compared with 7 cents. Revenue rose to $14.2 million from $10.3 million. Analysts polled by Thomson Financial were expecting a per-share profit of 12 cents on revenue of $15.7 million.
Playboy Enterprises (NYSE:PLA - News) was downgraded to sector perform from outperform at RBC Capital Markets.
QuickLogic (NasdaqGM:QUIK - News) shares fell after the company posted a non-GAAP loss of $7.7 million, or 27 cents a share, for the fourth quarter, down from a year-ago equivalent profit of $3.9 million, or 14 cents a share. Revenue at the Sunnyvale, Calif., provider of programmable logic memory products dropped 28% to $34.9 million in the latest three months. Wall Street's consensus estimate was for a loss of 5 cents a share in the March period.
Rofin-Sinar Technologies (NasdaqGS:RSTI - News) shares slid after the Plymouth, Mich.-based maker of laser beam sources reported fiscal first-quarter net earnings of $11.49 million, or 75 cents a share, up slightly from $11.36 million, or 75 cents a share, last year. Revenue rose to $111.7 million from $95.4 million. Analysts polled by Thomson Financial were expecting a per-share profit of 76 cents on revenue of $105.1 million.
Semiconductor Manufacturing International Corp. (NYSE:SMI - News) swung to a fourth-quarter profit, boosted by an 80% decline in operating expenses and a $41.7 million gain on the sale of properties. The Shanghai semiconductor foundry on Tuesday posted net income of $1.33 million, or less than a penny per ADS, from a year-earlier loss of $14.8 million, or about 4 cents per ADS. Semiconductor Manufacturing said quarterly revenue rose 15% to $383.8 million from $333.1 million in the year-earlier period. Operating expenses fell to $10.6 million from $51.8 million a year earlier. Semiconductor said it expects continued growth and improved profitability in 2007. The company said it expects controlled capital expenditures of about $720 million in 2007.
SI International (NasdaqGS:SINT - News) was downgraded to market perform from outperform at Wachovia Securities.
SRA International Inc. (NYSE:SRX - News) reported second-quarter net earnings of $16.7 million, or 29 cents a share, compared with $15.9 million, or 28 cents a share, in the same period the prior year, on the back of higher revenue.
Telular Corp. (NasdaqGM:WRLS - News) said its first-quarter loss widened to $2.1 million, or 12 cents a share, from a year-ago loss of $1.3 million, or 8 cents a share. The latest results included amortization and goodwill charges of $2 million.
TJX Cos. (NYSE:TJX - News) said January same-sales rose 4%, helped by growth in most of its smaller divisions and Marmaxx's in-line performance and it expects fourth-quarter earnings from continuing operations of 48 cents to 50 cents a share. The Framingham, Mass., clothing retailer said total sales for the four weeks ended Jan. 27, increased 8% to $1 billion from $900 million a year earlier. The company also anticipates a fourth-quarter charge of about 1 cent a share related to an unauthorized intrusion into its computer system process. The company said it doesn't yet have enough information to estimate losses related to the intrusion.
Tractor Supply Co. (NasdaqGS:TSCO - News) reported fourth-quarter net earnings of $29.5 million, or 72 cents a share, compared with $30.9 million, or 75 cents a share, in the same period last year, as expenses rose.
Ultralife Batteries (NasdaqGM:ULBI - News) said it expects to report an operating loss of about $1.5 million for the fourth quarter on revenue of between $30 million and $30.5 million. The current average estimate of analysts polled by Thomson First Call is for a profit of 7 cents a share in the December period.
Under Armour (NYSE:UA - News) shares fell after the company posted a fourth-quarter profit of $11.9 million, or 24 cents a share, up from year-ago earnings of $7 million, or 8 cents a share. The latest results included a tax credit-related gain of $1 million, or 2 cents a share. Revenue rose 55% in the three-month period to $135.3 million from $87.3 million a year earlier. Wall Street's consensus estimate was for earnings of 25 cents a share.
Verso Technologies (NasdaqCM:VRSO - News) disclosed a $2 million private placement of common shares and five-year warrants.
W.P. Stewart & Co. (NYSE:WPL - News) said Chairman William Stewart is returning to the chief executive officer post at the company, replacing John Russell, who served in the role on an interim basis. In addition, Merrill Lynch downgraded the stock to sell from neutral, citing a drop in assets under management.
Published By MarketWatch

Labels: ADS, ANDW, APA, APPB, ASN, CMCSA, CRMH, EGHT, GR, GVHR, HBI, HHS, JDSU, NURO, PLA, QUIK, WRLS

Most Under Priced Calls: These are the most under priced calls of all stocks in our database. While the Equities Explosion List finds groups of calls for individual equities that are under priced, this list finds the most under priced individual calls. Thus, the options listed here will tend to be more severely under priced.
Diamond Offshore Drilling Feb 85 Calls (NYSE:DO - News). DO's PowerRating is 4.
Most Under Priced Puts: These are the most under priced puts of all stocks in our database. While the Equities Explosion List finds groups of puts for individual equities that are under priced, this list finds the most under priced individual puts. Thus, the options listed here will tend to be more severely under priced.
Sandisk Mar 40 Puts (NasdaqGS:SNDK - News). SNDK's PowerRating is 5.
Most Overpriced Calls: These are the most overpriced calls of all stocks in our database. While the Equities Implosion List finds groups of calls for individual equities that are overpriced, this list finds the most overpriced individual calls. Thus, the options listed here will tend to be more severely overpriced.
Apple Inc. Feb 95 Calls (NasdaqGS:AAPL - News). AAPL's PowerRating is 6.
Most Overpriced Puts: These are the most overpriced puts of all stocks in our database. While the Equities Implosion List finds groups of puts for individual equities that are overpriced, this list finds the most overpriced individual puts. Thus, the options listed here will tend to be more severely overpriced.
Intuitive Surgical Feb 95 Puts (NasdaqGS:ISRG - News). ISRG's PowerRating is 3.
Stocks with Abnormal Call Volume: These are stocks which showed unusual call option volume not easily explained by arbitrage operations. The appearance of a stock on the Call Volume Alerts list suggests a possible takeover, extraordinarily good earnings report, or other news which may favorably affect the stock.
Ctrip.com (NasdaqGS:CTRP - News). CTRP's PowerRating is 5.
Stocks with Abnormal Put Volume: These are stocks which showed unusual put option volume not easily explained by arbitrage operations. The appearance of a stock on the Put Volume Alerts list suggests an extraordinarily negative earnings report, or other news which may negatively affect the stock.
Playboy Enterprises (NYSE:PLA - News). PowerRating not available for due to certain parameters not being met.
Abnormal Put/Call $ Volume: These stocks have the highest dollar put volume in relation to their call volume. These high ratios are indicative of extreme bearish sentiment in the underlying stock.
Bed Bath and Beyond (NasdaqGS:BBBY - News). BBBY's PowerRating is 6.
PowerRatings are courtesy of TradingMarkets.com

Labels: AAPL, BBBY, CTRP, DO, ISRG, options, PLA, SNDK