Jim Cramer Blog

Here are 7 trading ideas for today. This list comes directly from the TradingMarkets Stock Indicators page and is based upon our latest quantitative research.
Bullish
Laps Down 5% or More: These are stocks that lap down by 5% or more and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that lap down by more than 5% have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Nuance Communications (NasdaqGS:NUAN - News). NUAN's PowerRating (for Traders) is 6.
5+ Consecutive Lower Lows: These are stocks that have made a lower low for five or more consecutive days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that make lower lows for five or more days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Reynolds American (NYSE:RAI - News). RAI's PowerRating (for Traders) is 7.
Stocks Down 10% or More: These are stocks that have lost 10% or more over the past five days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that have lost 10% or more over the past five days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
XM Satellite Radio (NasdaqGS:XMSR - News). XMSR's PowerRating (for Traders) is 7.
Bearish
Laps Up 5% or More: These are stocks that lap up by 5% or more and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that lap up by more than 5% have shown negative returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Beazer Home (NYSE:BZH - News). BZH's PowerRating (for Traders) is 5.
5+ Consecutive Up Days: These are stocks that have closed up for five or more consecutive days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that close up for five or more days have shown negative returns, on average, 1-week later. Historically, these stocks have provided traders with a significant edge.
Parallel Petroleum (NasdaqGM:PLLL - News). PLLL's PowerRating (for Traders) is 3.
5+ Consecutive Higher Highs: These are stocks that have made a higher high for five or more consecutive days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that make higher highs for five or more days have shown negative returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Hillenbrand Industries (NYSE:HB - News). HB's PowerRating (for Traders) is 4.
Stocks Up 10% or More: These are stocks that have gained 10% or more over the past five days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that have gained 10% or more over the past five days have shown negative returns, on average, 1-week later. Historically, these stocks have provided traders with a significant edge.
Agilisys (NasdaqGS:AGYS - News). AGYS's PowerRating (for Traders) is 4.
Published By TradingMarkets.com

Labels: AGYS, BZH, HB, Hot Stocks, NUAN, PLLL, RAI, XMSR

Bullish Calls:
Crocs (NasdaqGS: CROX - News): ' ... is stalled right here. I saw it go down a little. Understand: The short position remains huge ... When we have four major analysts covering it, only then will I say Don'tBuy.'Yamana Gold (NYSE: AUY - News): ' ... it is the only growth gold stock out there. It is making an incredible amount of money. ... It also produces copper at the same time.'Precision Castparts (NYSE: PCP - News): 'The bull market in aerospace and defense is back. Precision Castparts had a better quarter than almost every other supplier to the major airline companies.'Goodyear Tire (NYSE: GT - News): '... has had a major pullback ... Goodyear Tire is one of those companies ... best of breed. I think I like the stock up to the $32, $33 level.'InterContinental Exchange (NYSE: ICE - News): 'I like derivatives. I like commodies trading. ICE is good.'CME Group (NYSE: CME - News)NYMEX Holdings (NYSE: NMX - News): 'I am hopeful that the Nymex merges with the New York Stock Exchange. It would be a terrific deal.'NYSE Euronext (NYSE: NYX - News):'The only one of those that's done really badly is New York Stock Exchange, but I'm stickin' with it.'Vector Group (NYSE: VGR - News):Amazon.com (NasdaqGS: AMZN - News)Apple (NasdaqGS: AAPL - News)Google (NasdaqGS: GOOG - News)Research In Motion (NasdaqGS: RIMM - News)Reynolds American (NYSE: RAI - News)Altria (NYSE: MO - News): ' ... those dividends are for me, and that's why I stick with tobacco.'
Bearish calls:
CyberSource (NasdaqGM: CYBS - News)True Religion Apparel (NasdaqGM: TRLG - News): ' ... gotta tell you. I don't know if that swimwear line can move the needle. ... This group is very hard.'Superior Offshore (NasdaqGM: DEEP - News): 'Worst oil-service stock I have ever seen. I mean, it's unbelievable. ... This stock feels almost cursed. ... I can't abandon it at $10... Wait until the end of the month ...'
Published By SeekingAlpha

Labels: AAPL, AMZN, AUY, CME, Cramer, CROX, DEEP, GOOG, GT, ICE, Jim, Lightning Round, Mad, Money, NMX, NYX, PCP, RAI, RIMM, VGR

Wells Fargo (NYSE: WFC - News), Countrywide Financial's (NYSE: CFC - News), Washington Mutual (NYSE: WM - News), Bank of America (NYSE: BAC - News), Wachovia (NYSE: WB - News)
Thursday's dash for financials may indicate the sector will be one of the "long-term beneficiaries" of Bernanke's position, but Cramer does not think they are safe. He tacked a double sell on WM but thought BAC and WB could survive. However, he reserved the lion's share of his praise for WFC, and said, "It is the great speculative play that should prosper." He believes WFC will "own the mortgage market" and will win with investors because it offers a great dividend. Cramer would wait for WFC to drop to the $32 - $34 range.
Sell Block: VMware (NYSE: VMW - News), H&R Block (NYSE: HRB - News), Capital One Financial (NYSE: COF - News), Friedman Billings Ramsey Group (NYSE: FBR - News) Lamson & Sessions (NYSE: LMS - News), Six Flags (NYSE: SIX - News)
Cramer urged investors to "stay the course" and added "no one ever made a dime panicking." However, he added it isn't too late to sell minerals and he feels tigher consumer spending will put pressure on retail. Cramer would sell VMW after its highly successful IPO, and would stay away from HRB, COF and FBR. He would also sell LMS as well as SIX because of low attendance due to the weather. He concluded it is better to invest in long-term stocks rather than quick trades in the current environment.
KKR Financial (NYSE: KFN - News), Thornburg Mortgage (NYSE: TMA - News) and Reynolds American (NYSE: RAI - News)
Not all high dividends are good dividends, Cramer declared and used KFN and TMA as examples. He added high-dividend names KFN and TMA aren't worth the investment because as their stocks fall so will the yields. Cramer likes RAI which has a dividend of 5.5% and is a "smart play" in this environment because "nothing is more defensive than cigarettes."
Mad Mail: Bear Stearns (NYSE: BSC - News), Jones Soda (NasdaqCM: JSDA) and Google (NasdaqGS: GOOG - News)
Cramer would avoid BSC and JSDA whose climb was "how to make a million" in the market. He adds GOOG is safe and likes the tech sector for its pristine balance sheets and great products.
Published by SeekingAlpha

Labels: BAC, BSC, CFC, COF, FBR, GOOG, HRB, Jim Cramer, KFN, LMS, Mad Money, RAI, SIX, TMA, VMW, WB, WFC, WM

New Plan Excel Realty Trust (NYSE:NXL - News) shares gained after the New York-based company late Tuesday agreed to be acquired by Centro Properties Group in a deal valued at $6.2 billion including debt. Australia-based Centro Properties has agreed to pay $33.15 in cash for New Plan, representing a 12.9% premium to New Plan's closing share price on Tuesday. The deal will be completed through a cash tender offer, which is expected to begin within 10 business days. The tender offer is expected to close in the second quarter.
Novatel Wireless Inc.'s (NasdaqGM:NVTL - News) fourth-quarter net income rose sharply to $2.4 million, or 8 cents a share, from $121,000, or less than a penny a share, a year earlier, helped by a strong broadband market and non-PC card products. Revenue rose 58% to $77 million from $48.7 million a year earlier.
Palomar Medical Technologies (NasdaqGS:PMTI - News) was upgraded to buy from hold at W.R. Hambrecht following a recent correction in the company's stock price, as well as a partnership inked by a competitor of the maker of laser-based medical and cosmetic products. "This morning's partnership announcement between Procter & Gamble Co. and Syneron Medical Ltd. ...validates our belief that the light-based home-use market is imminent and very real," analyst Emily Johnson wrote in a research note. Johnson also cited efforts by Palomar to revitalize its international sales and a lack of concern regarding the company's recent sales personnel turnover. A price target of $49 was set as well.
R.J. Reynolds Tobacco Co. (NYSE:RAI - News) said an appeals court upheld the company's view that its market-share based discount programs are "size-blind" and not discriminatory. The Winston-Salem, N.C., tobacco company said the 6th Circuit Court of Appeals upheld a lower court's ruling dismissing an antitrust lawsuit brought by Smith Wholesale Co. of Tennessee, and 18 other wholesalers.
South Jersey Industries Inc.'s (NYSE:SJI - News) fourth-quarter net income rose to $19.9 million, or 68 cents a share, from $13.7 million, or 47 cents a share, a year earlier. The energy holding company said Wednesday total expenses fell to $210.4 million from $257.7 million. Revenue at the Folsom, N.J., company decreased 12% to $250.3 million from $285.4 million. For 2007, South Jersey Industries expects income from continuing operations before items to increase by more than a 7% from a year ago.
Southwest Gas Corp.'s (NYSE:SWX - News) fourth-quarter net income rose 54% to $46.7 million, or $1.11 a share, from $30.3 million, or 76 cents a share, helped by colder weather than a year earlier. The Las Vegas natural gas company's revenue rose 14% to $565.1 million from $497 million a year earlier.
Sprint Nextel (NYSE:S - News) said fourth-quarter profit rose 34% to $261 million, or 9 cents a share, with operating revenue up 7% to $10.44 billion. The Reston, Va. carrier said 9% wireless revenue growth after adding 742,000 customers offset a 2% long-distance revenue decline. On an adjusted basis, its profit would've climbed 26% to 29 cents a share. Analysts polled by Thomson Financial expected earnings of 28 cents a share on revenue of $10.39 billion.
SPX Corp. (NYSE:SPW - News) said that its fourth-quarter net income rose to $86.8 million, or $1.47 a share, from $47.4 million, or 72 cents a share, a year ago. Adjusted earnings per share totaled $1.18, in line with analyst forecasts. Sales at the flow technology company rose to $1.3 billion, from $1.1 billion a year ago, driven by a 11.5% rise in organic revenue, acquisitions and currency fluctuations. The company said that its strong performance has continued in 2007 and it's raising its first quarter earnings per share guidance to a range of 47 cents to 52 cents, from a previous range of 45 cents to 50 cents. It also tightened its annual EPS guidance range to $3.85 to $3.95 from a prior range of $3.80 to $3.95.
StarTek Inc. (NYSE:SRT - News), the Denver provider of business-process-outsourcing services to the communications industry, reported fourth-quarter earnings per share fell 27% on 4.4% lower revenue. The company earned 8 cents a share compared with 11 cents, as revenue fell to $59.1 million. Gross-profit margin for the quarter shrank to 14.3% from 15.8%. StarTek said "revenue from several clients declined due to challenges in hiring and retaining enough agents to respond to client demands and unfavorable changes in revenue mix."
Wynn Resorts Ltd. (NasdaqGS:WYNN - News) reported a fourth-quarter net loss of $55.4 million, or 55 cents a share, compared with a net loss of $9.89 million, or 10 cents a share, during the year-ago period. Net revenue at the Las Vegas-based casino resort operator rose to $563.6 million from $269.4 million.
Published By MarketWatch

Labels: NVTL, NXL, PMTI, RAI, S, SJI, SPW, SRT, SWX, WYNN

PetMed Express (NASDAQ:PETS - News) fiscal third-quarter earnings rose 3.1%, boosted by growth in retail new-order sales and retail reorder sales. The Pompano Beach, Fla., pet pharmacy had third-quarter earnings of $2.75 million, or 11 cents a share, compared with $2.67 million, or 11 cents, a year earlier. PetMed said sales for the quarter ended Dec. 31 rose 21% to $31.4 million from $25.9 million a year ago. Analysts surveyed by Thomson Financial expected, on average, earnings of 15 cents a share on revenue of $34 million.
Philips Electronics NV (NYSE:PHG - News) said fourth-quarter net profit more than doubled to 680 million euros ($882 million) from 332 million euros a year earlier, easily topping analysts' expectations for profit of 396 million euros. Revenue slipped to 8.13 billion euros from 8.19 billion, falling short of analysts' expectations for sales of 8.32 billion euros. Comparable sales rose 2%. Philips proposed to raise its annual dividend to 0.60 euros from 0.44 euros. The company also said it will raise its dividend pay-out ratio to a range of 40% to 50% from a previous range of 25% to 35% of continuing net income. Looking ahead, Philips said it's confident it can achieve its 2007 target of EBITA growth of at least 7.5% on sales growth of 5% to 6%.
Sears (NASDAQ:SHLD - News) said Craig Monaghan, chief financial officer since September, will leave at the end of this month.
Semtech Corp. (NASDAQ:SMTC - News) was downgraded to underweight from equal-weight at Morgan Stanley.
Sify Ltd. (NASDAQ:SIFY - News) shares slumped after the India-based provider of Internet, network and e-commerce services reported third-quarter net earnings of $940,000, or breakeven per American Depositary receipt. In the same quarter last year, the company posted a net loss of $240,000, or breakeven per ADR. Sify reported revenue of $31.5 million, up 16% from $27.2 million last year.
Star Scientific (NASDAQ:STSI - News) shares dropped after the company said it plans to appeal a summary judgment against it in its patent infringement lawsuit against RJ Reynolds Tobacco Co. The company filed its suit in 2001, alleging that R.J. Reynolds had violated the company's process to reduce the level of nitrosamines - a carcinogenic toxin in tobacco. R.J. Reynolds is a unit of Reynolds American (NYSE:RAI - News).
Sunpower Corp. (NASDAQ:SPWR - News) was downgraded to market perform from outperform at Piper Jaffray.
Take-Two Interactive said it's received a delisting notice from the Nasdaq Stock Market, citing the company's failure to file its Form 10-K for the fiscal year ended Oct. 31 with the Securities and Exchange Commission. The company said it will present its plans to regain compliance to the Nasdaq Listing Qualifications Panel by Jan. 25.
Tecumseh Products Co. (NASDAQ:TECUA - News) named James Bonsall interim president and chief operating officer, a new position. In addition to his new role, Bonsall will continue as president of the company's engine and power train group and as managing director of AlixPartners.
Titan International (NYSE:TWI - News) said it may post a negative gross-profit margin for the fourth quarter and affirmed its sales forecast for all of 2007. The pressure on margin stems from Titan's effort to add off-the-road-tire capacity at its Freeport, Ill., and Des Moines, Iowa, tire facilities. That effort stems in turn from capacity constraints at its Bryan, Ohio, tire plant, Titan said in a statement. The company said that for 2006, its farm-tire business will be down at least $75 million from 2005. Titan still expects to report 2007 sales of $800 million to $825 million. Demand in January and February is "strong," Titan said. Titan also registered an offer with the Securities and Exchange Commission under which holders of its $81.2 million of 5.25% senior convertible notes due 2009 could convert the debt to common shares at an increased rate.
Tween Brands (NYSE:TWB - News) said Chief Operating Officer William May Jr. has resigned, effective today. The New Albany, Ohio-based retailer said it has named Kenneth Stevens as president and COO, effective Jan. 29. Additionally, the company said it plans to record a one-time after-tax charge of 2 cents to 3 cents a share during the fourth quarter for costs associated with May's separation agreement.
Westell Technologies (NASDAQ:WSTL - News) was downgraded to neutral from outperform at Cowen & Co. The firm cited a deteriorating outlook for the company's fundamentals.
Published By MarketWatch

Labels: PETS, PHG, RAI, SHLD, SIFY, SMTC, SPWR, STSI, TECUA, TWB, TWI, WSTL

Allegiant Travel Co. (NasdaqGM:ALGT - News) was initiated with a buy rating at Merrill Lynch. The firm set a 12-month price target on the stock of $36. Bear Stearns also began coverage of the company, starting with a peer perform rating.
Amphenol Corp. (NYSE:APH - News) reported fourth-quarter earnings of $78.4 million, or 85 cents a share, up from a year-ago profit of $55.8 million, or 61 cents a share. The latest results reflect a benefit of 2 cents a share related to a reduction in the company's effective tax rate as well as stock option expense of 2 cents a share. Sales rose in the three months ended Dec. 31 to $659.4 million from $508.1 million in the same period a year earlier. The average estimate of analysts polled by Thomson First Call was for a profit of 81 cents a share in the December period on revenue of $649.3 million. Looking ahead, the Wallingford, Conn., maker of electrical and optical connector products forecast earnings of 80 to 82 cents a share for the first quarter on revenue of between $635 million and $645 million. It sees a profit of $3.45 to $3.55 a share for the full year on revenue of between $2.65 billion and $2.71 billion. The company also said it's planning a two-for-one stock split, payable on March 30 to shareholders of record on March 16.
ASML Holdings (NasdaqGS:ASML - News) was upgraded to buy from sell at ABN-Amro following a strong fourth-quarter financial report. The company was also upgraded to hold from reduce at Fortis Bank. The microchip equipment maker posted a profit of 205.5 million euros for the quarter, up from 51.6 million euros a year earlier.
Bill Barrett Corp. (NYSE:BBG - News) was initiated with a buy rating at A.G. Edwards. The firm set a price target of $35.
Bridgford Foods (NasdaqGM:BRID - News) shares jumped after the Anaheim, Calif.-based company reported fourth-quarter net earnings of $1.08 million, or 11 cents a share. In the comparable period last year, the company posted a net loss of $340,000, or 3 cents a share. Revenue in the 17 weeks ended Nov. 3 rose to $43.2 million from $41.9 million. The comparable period last year had 16 weeks, the company said.
CVS Corp. (NYSE:CVS - News) and Caremark Rx Inc. (NYSE:CMX - News) said qualified Caremark Rx Inc. shareholders will receive a one-time cash dividend of $2 per share after the proposed merger between the companies closes. The companies will also retire 150 million shares of the new company after the deal closes.
Flow International (NasdaqGM:FLOW - News) closed its previously disclosed audit committee probe of allegations that certain members of Flow Asia intentionally and inappropriately recognized certain revenues in fiscal 2007 that should have been recorded in fiscal 2006. As a result, the company said it expects its restated fiscal 2006 results to show an increase to revenue of about $2 million, with a net after tax increase to net income of about $2 million.
HealthSpring (NYSE:HS - News) said it expects earnings of $1.55 to $1.65 a share for fiscal 2007 on revenue of between $1.5 billion and $1.6 billion. The current average estimate of analysts polled by Thomson First Call is for a profit of 34 cents a share in the December period. The Nashville, Tenn., managed care company anticipates its Medicare Advantage membership to be in the range of 130,000 to 135,000 by the end of 2007, up from 115,000 at the close of 2006.
Investors Financial Services (NasdaqGS:IFIN - News) was upgraded to market perform from underperform at Ryan Beck & Co.
Lennar Corp. (NYSE:LEN - News), the Miami homebuilder, swung to a fourth-quarter loss from a year-earlier profit on 15% lower revenue. For the quarter ended Nov. 30, Lennar posted a loss of $195.6 million, or $1.24 a share, compared with net income of $581.2 million, or $3.54, in the year-earlier period. Revenue fell to $4.27 billion from $5.03 billion. A survey of analysts by Thomson First Call produced consensus estimates of a loss of $1.11 on revenue of $4.17 billion.
National Financial Partners Corp. (NYSE:NFP - News) said it expects its fourth-quarter per-share earnings "will be broadly consistent" with the consensus analyst estimate. "This view is consistent with the growth of NFP's firms, acquisition activity, and the challenging life insurance underwriting environment," the company said in a statement.
Neurocrine Biosciences Inc. (NasdaqGS:NBIX - News) was upgraded to overweight from equal weight at Lehman Bros. The firm also boosted its price target on the stock to $18 from $8.
Parker-Hannifin Corp. (NYSE:PH - News) reported fiscal second-quarter earnings of $193 million, or $1.64 a share, up from a year-ago profit of $129 million, or $1.07 a share. The latest results reflect a benefit of 9 cents a share from renewal of a federal tax credit for increasing research activities. Sales rose in the three months ended Dec. 31 to $2.51 billion from $2.16 billion in the same period a year earlier. The average estimate of analysts polled by Thomson First Call was for a profit of $1.40 a share on sales of $2.45 billion in the December period. The Cleveland-based maker of motion and control technology products attributed its profit increase in the second quarter to the strong performance of its Industrial International and Aerospace business segments. Looking ahead, Parker-Hannifin lifted its outlook for the full year to earnings from continuing operations of $6.35 to $6.75 per share from its prior projection of $6.05 to $6.45 a share. Wall Street's current consensus estimate for the year is for a profit of $6.38 a share.
Progressive Corp. (NYSE:PGR - News) reported net income of $138.9 million, or 18 cents a share, for the month of December, up from a year-ago equivalent profit of $122.9 million, or 15 cents a share. For the quarter ended Dec. 31, the Mayfield Village, Ohio-based insurance provider said it earned $400.9 million, or 53 cents a share, up from last year's earnings of $281.6 million, or 35 cents a share. The average estimate of analysts polled by Thomson First Call was for a profit of 50 cents a share in the December quarter.
SPX Corp. (NYSE:SPW - News) said it expects earnings from continuing operations of $3.80 to $3.95 a share for fiscal 2007 on revenue of about $4.7 billion. The Charlotte, N.C., maker of flow technology, test and measurement products said it expects the primary drivers for its profit growth in 2007, estimated at between 26% and 31% from 2006's target, to be continued strength across all of its business segments and a reduced tax rate. The current average estimate of analysts polled by Thomson First Call is for a profit of $3.59 a share in fiscal 2007 on revenue of $4.59 billion. SPX sees free cash flow from continuing operations of between $240 million and $280 million for fiscal 2007.
Shares of Star Scientific (NasdaqGM:STSI - News) soared after the company said decisions on three pending summary-judgment motions in its patent-infringement lawsuit against R.J. Reynolds Tobacco Co., a unit of Reynolds American (NYSE:RAI - News), will be available on the court's Web site on Friday. The Chester, Va., developer of technologies designed to reduce tobacco toxins said in a filing with the Securities and Exchange Commission that Judge Marvin J. Garbis of the U.S. District Court for the District of Maryland provided notice of his rulings on the motions last week. Star Scientific filed a patent-infringement suit in 2001 alleging that Reynolds had violated the company's process to reduce the level of nitrosamines - a carcinogenic toxin - in tobacco.
State Street Corp. (NYSE:STT - News) said fourth-quarter net income for the three months ended Dec. 31 rose 17% to $291 million, or 86 cents a share, from $249 million, or 74 cents a share in the year-ago period. The Boston-based lender said revenue increased 15% to $1.62 billion. Analysts surveyed by Thomson First Call forecast earnings of 84 cents a share and revenue of $1.56 billion, on average. Expenses rose 13% to $1.18 billion from $1.04 billion. Return on shareholders' equity was flat at 15.9%. For 2007, State Street said it plans to target the upper end of its long-term financial goals of revenue growth of 8% to 12%, earnings per share growth of 10% to 15%, and return on equity of 14% to 17%.
Sterling Construction Co. (NasdaqGS:STRL - News) was upgraded to buy from hold at Morgan Joseph & Co.
Stewart Enterprises (NasdaqGS:STEI - News) reported fourth-quarter earnings from continuing operations of $10.7 million, or 10 cents a share, up from a year-ago loss of $2 million, or 2 cents a share. Excluding items, the New Orleans funeral and cemetery services provider posted a profit from continuing operations of $9.2 million, or 9 cents a share in the latest quarter. Revenue rose in the three-month period to $131.2 million from $114.1 million last year. The average estimate of analysts polled by Thomson First Call was for a profit of 6 cents a share in the October period.
TSYS (NYSE:TSS - News) said fourth-quarter net earnings rose to $87.1 million, or 44 cents a share, from $49.7 million, or 25 cents a share, in the same period last year, on the back of higher revenue. The company now sees 2007 net income growth falling between 3% and 5% vs. 2006, down from its prior outlook of a 9% to 7%.
Xoma Ltd. (NasdaqGM:XOMA - News) and Schering-Plough (NYSE:SGP - News) expanded their collaboration agreement, with Schering-Plough exercising its right to initiate additional development programs. Xoma said it would receive upfront payments for each additional program, as well as research funding and royalties on any sales of the products.
Published By Michael Baron

Labels: ALGT, APH, ASML, BBG, BRID, CMX, CVS, FLOW, IFIN, LEN, NBIX, NFP, PGR, PH, RAI, SGP, SPW, STSI, XOMA

Shares of Altria Group Inc. rose to a new all-time high Thursday after a UBS Investment Research analyst raised his price target on the tobacco and food maker's stock, saying it didn't rise as much as other cigarette makers in 2006.
Altria Group gained about 13 percent last year, roughly inline with the overall stock market. However, competitors in the cigarette industry rose more. Reynolds American Inc., which makes Camel and Winston, added 37 percent and Carolina Group, which makes Newport and Kent, rose 38 percent.
Analyst Jonathan Leinster raised his price target on Altria to $94 from $81 to account for higher stock values in the cigarette sector. Investors haven't rewarded Altria as much as other cigarette companies because profit growth is slower, he said.
Through its Philip Morris division, New York-based Altria makes the Marlboro, Benson & Hedges, and Parliament cigarette brands. Altria also makes food through majority owned subsidiary Kraft Foods Inc.
Leinster said Altria will probably finish spinning off Kraft Foods to shareholders by May. This will be good for the company, he said, but investors have already anticipated the benefits and priced them into the stock.
Shares of Altria rose $1.15 to a new high of $90.50 in midday trading on the New York Stock Exchange before slipping back to $90.26, up $1.27.
Published by AP

Labels: CGTR, KFT, MO, RAI