Jim Cramer Blog

Here are 7 stocks for traders for Tuesday from TradingMarkets.com:
Genentech (NYSE:DNA - News) beat earnings estimates on Monday after the bell, announcing $0.73 EPS over an expected $0.72 EPS. DNA's PowerRating (for Traders) is 4.
Robbins & Meyers (NYSE:RBN - News) also beat earnings after the close today, with $1.05 EPS versus expectations of $0.84 EPS. RBN's PowerRating (for Traders) is 5.
Johnson & Johnson (NYSE:JNJ - News) reports earnings on Tuesday before the market opens, with analysts looking for $0.99 EPS. JNJ's PowerRating (for Traders) is 6.
KeyCorp (NYSE:KEY - News) announces quarterly results before the bell on Tuesday, with analysts looking for $0.72 EPS. KEY's PowerRating (for Traders) is 5.
When US Bancorp (NYSE:USB - News) reports earnings tomorrow morning, watch for $0.66 EPS. USB's PowerRating (for Traders) is 5.
Analysts are watching for Wells Fargo (NYSE:WFC - News) to report $0.70 EPS on Tuesday before the open. WFC's PowerRating (for Traders) is 6.
Supervalu (NYSE:SVU - News) is looking to report $0.68 EPS before the bell tomorrow. SVU's PowerRating (for Traders) is 5.

Labels: DNA, JNJ, KEY, RBN, SVU, USB, WFC

Bullish:
Supervalu (NYSE: SVU - News):' ... is doing really well.'Safeway (NYSE: SWY - News): ' ... my personal favorite, which is SWY, because they've got the Blackhawk card - which is the prepaid card - that I think is taking America by storm!'ValueClick (NasdaqGS: VCLK): 'VCLK is worth $35, if Doubleclick is worth $2 billion... It's at $26 right now. So, I would tell you that VCLK has just hit the ball out of the park repeatedly ... It grows at 20%. It sells at 30x earnings. Let's pull the trigger on VCLK, just based on the Doubleclick perspective deal.'American Capital Strategies (NasdaqGS: ACAS): ' ... it does specialty finance, and it's very hard to figure out where they're invested in... It's a little bit of a black box, but they have done a very good job over time ... I am no longer critical ... 8% yield... (buzzer sounds)... ACAS is a good deal.'Allscripts Healthcare Solutions (NasdaqGS: MDRX): 'We have liked this stock for a long time. Anything that makes the medical system more friendly, more inexpensive... is a win ... I am reiterating buy right here.'United Technologies (NYSE: UTX - News): 'I like UTX very much. I think that George Dane is a great CEO. I want to pull the trigger.'Goodyear Tire (NYSE: GT - News): ' ... is fabulous here at $31. They did the pension thing ... I want to keep buying that stock.'NYSE (NYSE: NYX - News): 'Wow! The deal closes April 4th. It's at $93.'
Bearish calls:
Ahold (NYSE: AHO - News): ' 52-week high. This is a worst-of-breed company that's trying to come back from a series of tragic errors....I would take my profits here.'Blockbuster (NYSE: BBI - News): 'Look, Antioco (former CEO) is the guy who brought me to the stock... I have been suspicious. I have been skeptical... But he left! ... And I'm a seller of BBI! Sell, sell, sell!'Acadia Pharmaceuticals (NasdaqGM: ACAD): ' ... it is making a gigantic, gigantic comeback, because of the schizophrenia drug. That's a very hard illness to deal with, very hard to cure. That's why I am saying take the gain! Sell, sell, sell.'
Published By SeekingAlpha

Labels: ACAD, AHO, BBI, GT, Jim Cramer, Lightning Round, Mad Money, MDRX, NYX, SVU, SWY, UTX, VCLK

Getting Defensive: Kroger (NYSE: KR - News), Safeway (NYSE: SWY - News), Supervalu (NYSE: SVU - News), Colgate-Palmolive (NYSE: CL - News), Kimberly-Clark (NYSE: KMB - News)
"Subprime is the only problem," Cramer reassured investors after the "absolutely brutal" downturn on Tuesday which affected the whole market. While mortgage lenders should be suffering from subprime lending woes for awhile, Cramer remarks, "It is wrong for the Street to be so indiscriminate ... before we damn the whole market, let's remember what were damning." However, this widespread decline provides a buying opportunity in defensive sectors, such as food, drugs and utilities, sectors which historically perform well when housing is doing badly. Cramer suggests looking at KR, SWY, SVU, CL and KMB, but only after three days, since "the future on the commodity that has captured stocks -- the S&P 500 -- expires Friday, so I expect very little upside in this group until Monday."
Thank You for Smoking: Altria (NYSE: MO - News), Altria's When-Issued Shares MO-WI (MOWI), Kraft (NYSE: KFT - News), General Mills (NYSE: GIS - News), Kellogg (NYSE: K - News), Sara Lee (NYSE: SLE - News)
"There's nothing more defensive than cigarettes," says Cramer who recommends Altria's when-issued shares, MO-WI, which are comprised of pure Philip Morris stock without the Kraft spinoff. Cramer comments Philip Morris is best-of-breed and the MO-WI shares offer a higher dividend. He suggests buying before March 30th when MO-WI will rejoin Altria. Although Cramer doesn't dislike KFT, he prefers food stocks GIS, which has been "doing fabulously," K and SLE, which have more "consistent and exciting growth" than KFT.
Dow Chemical (NYSE: DOW - News), Alcoa (NYSE: AA - News), BHP Billiton (NYSE: BHP - News), and Companhia Vale do Rio Doce (NYSE: RIO - News)
Cramer admits he has been waiting since February for DOW and AA to dip after takeover rumors which were printed a British newspaper. While he discourages speculation on potential buyouts if the fundamentals are not strong, "the fundies for both DOW and AA are pretty good." According to the rumors, Dow could be purchased by private equity firms at $60 a share, a substantial premium from its present rate of $42.94. He notes the company has a 3.5% dividend yield, has been raising prices and cutting costs. There is talk that BHP and RIO are eyeing AA at $40 billion, or $40.68 a share, while its current price is $32. The companies need the extra smelting capacity, and Cramer comments aluminum should perform better than it has been. "Buy Dow and Alcoa because when there's smoke, there's fire."
CEO Interview: Brian Roberts, Comcast (NasdaqGS: CMCSA) with Verizon (NYSE: VZ - News)
Cramer asked Brian Roberts if Comcast raised its capital expenditure in order to compete with rival Verizon, and he replied, "We upped our spending because people are buying our new products in record numbers. We're selling 50,000 phone subscriptions a week." This 30% increase "costs some money," although Roberts added these expenses will not interfere with Comcast's buyback plan; "We have bought back almost 10% of stock in the last two-and-a-half years, and we're going to continue buying back stock," Roberts said. Cramer would pull the trigger on Comcast and referred to Roberts as "money in the bank."
Published by SeekingAlpha

Labels: AA, BHP, CL, DOW, GIS, Jim Cramer, K, KFT, KMB, KR, Mad Money, MO, RIO, SLE, SVU, SWY, VZ

The third-biggest U.S. supermarket chain, SUPERVALU Inc. (SVU), on Tuesday reported third quarter earnings of $0.61 per share, excluding non-recurring items and including option expenses, $0.04 better than the Reuters Estimates consensus of $0.57, with gains due largely to its June 2 acquisition of grocery chain Albertson's. Revenues rose 127.7% year over year to $10.7 billion versus consensus of $10.35 billion.
SVU, which has a market cap of about $7.36 billion, also tightened its guidance for the full year of 2007, seeing earnings per share of $2.60 to $2.65 ex-items & including option expenses versus consensus of $2.37, from a previous $2.58 to $2.66.
And the retooling of the company continues. The Eden Prairie-based company Tuesday announced a fiscal 2008 capital program of approximately $1.2 billion, supporting its commitment to invest heavily in SVU's retail fleet primarily through new stores and remodels. Capital spending for the third quarter was $306 million, including approximately $12 million in capital leases.
Just last week, SVU announced it would seek strategic alternatives for 15 stores operating under the Jewel-Osco banner in the Milwaukee, Wis., area. At about 15.4x trailing 12-month earnings, the stock is trading at a slight discount to the industry average.
--Christine Marie Nielsen, Briefing.com

Labels: SUPERVALU Inc., SVU

Alltel Corp. (NYSE:AT - News) was downgraded to sector perform from outperform at RBC Capital Markets.
Atherogenics (NASDAQ:AGIX - News) shares after the company said it plans to release data from a key clinical trial of its proposed treatment for coronary artery disease later than previously expected.
Bankrate (NASDAQ:RATE - News) was initiated with a buy rating and a $45 price target at Kaufman Bros.
Blackbaud (NASDAQ:BLKB - News) was initiated with a hold rating at Jefferies & Co. The firm set a $29 price target.
Borders Group Inc. (NYSE:BGP - News) expects fourth-quarter earnings per share below its prior outlook of $1.80 to $2. The book retailer, which cited factors such as lower-than-expected sales, added that annual per-share profit will also miss its outlook.
BP plc (NYSE:BP - News) shares slid after the company said it expects flat production for the fourth quarter.
Brightpoint (NASDAQ:CELL - News) was downgraded to sector performer from sector outperformer at CIBC World Markets.
Brookfield Homes Corp. (NYSE:BHS - News) said it closed 1,993 homes and lots in 2006, compared with 2,824 in 2005. Backlog at Dec. 31 was 247 homes, down 208 from a year earlier. The stock was also downgraded to sell at JMP Securities.
Celgene Corp. (NASDAQ:CELG - News) said its preliminary 2006 revenue reached $890 million, and adjusted per-share profit almost tripled. Analysts polled by Thomson First Call are looking for annual revenue of $897 million. The Summit, N.J., pharmaceutical concern added that it expects 2007 revenue of $1.3 billion and adjusted earnings per share of $1. Wall Street is looking for 2007 revenue of $1.38 billion, and per-share profit of $1.09.
Shares of CA Nacional Telefonos de Venezuela (NYSE:VNT - News) dropped following the announcement by the country's president, Hugo Chavez, of plans to nationalize the company.
Emageon Inc. (NASDAQ:EMAG - News) said it expects 2007 per-share profit of 24 cents to 29 cents and revenue from current business of $136 million to $140 million. The provider of enterprise medical information technology systems sees annual earnings per share excluding charges for depreciation, amortization and stock-based compensation of 79 to 87 cents.
Emcore Corp. (NASDAQ:EMKR - News) said it swung to fourth-quarter profit of $78.1 million, or $1.47 a share, boosted by the sale of the company's electronics materials and device unit and its interest in GELcore LLC. In the same period last year, the Somerset,N.J.-based maker of semiconductor components posted a net loss of $4.61 million, or 10 cents a share. Excluding the gain from the sale of the GELcore interest and the electronics and device unit, among other items, the company reported a net loss of $8.9 million vs. a net loss of $5.1 million last year. Revenue for the period rose 5.7% to $35.4 million from $33.5 million. Emcore expects first-quarter revenue of $38 million.
Escala Group (NASDAQ:ESCL - News) shares dropped after the New York-based collectibles company said it has received notification that the Nasdaq will delist its stock at the open of business Wednesday. The delisting is a result of the company's failure to file its Form 10-K for the fiscal year ended June 30, 2006, and its Form 10-Q for the quarter ended Sept. 30, 2006. Escala said it's committed to regaining compliance with Nasdaq's filing requirements and, if its appeal to the exchange is unsuccessful, the company said it plans to try to list its stock on another national securities exchange.
Garmin (NASDAQ:GRMN - News) was downgraded to neutral from buy at Merrill Lynch. The firm said it expects the company to lose market share as a barrage of new global positioning devices are introduced.
Gehl & Co. (NASDAQ:GEHL - News) was downgraded to neutral from buy at Sidoti & Co. The firm lowered its price target to $30 from $37.
Gentiv Health (NASDAQ:GTIV - News) was downgraded to equal weight from overweight at Lehman Bros. due to valuation concerns.
Greenbrier Cos. (NYSE:GBX - News) reported fiscal first-quarter earnings fell 77% on 32% higher revenue. For the quarter ended Nov. 30, earnings were $1.9 million, or 12 cents a share, compared with $8 million, or 51 cents, in the year-earlier period. A survey of analysts by Thomson First Call produced a consensus estimate of 12 cents. Revenue reached $246.6 million from $186.4 million. The company said that a number of factors knocked 40 cents off the latest share earnings. Half that 40 cents was tied to thinner-than-expected profit margins from new rail-car and marine production. Another dime of the 40 cents stemmed from sales deferred to later quarters and from the timing of revenue on a marine order. Greenbrier also cut its full-year estimate to a range of $2.15 to $2.40 a share. It had estimated $3.10 to $3.40. First Call was expecting $2.92.
Helen of Troy (NASDAQ:HELE - News) said fiscal third-quarter earnings rose to $22.8 million, or 72 cents a share, from $22.7 million, or 72 cents a share, a year earlier. Revenue increased to $213.4 million from last year's $197.5 million. Analysts surveyed by Thomson First Call had been expecting earnings of 85 cents a share and revenue of $204.6 million, on average. The El Paso, Tex. personal care products company said earnings were hurt by gross margin pressure in its personal care and housewares businesses, as well as by expenses associated with the OXO warehouse transition. For the fiscal fourth quarter, the company expects earnings of 25 to 30 cents a share, vs. analyst forecasts of 36 cents a share, and revenue of $135 million to $140 million.
Henry Schein Inc. (NASDAQ:HSIC - News) was downgraded to equal-weight from overweight at Lehman Bros.
Kenneth Cole Productions (NYSE:KCP - News) was downgraded to neutral from outperform at Cowen & Co.
Lawson Software Inc. (NASDAQ:LWSN - News) swung to a second-quarter loss of 2 cents a share from net income of 6 cents in the year-earlier period. Excluding items, the company earned 3 cents against 8 cents. Analysts polled by Thomson First Call had expected profit of 4 cents. Revenue more than doubled to $184.5 million from $89 million, while analysts had expected $180 million. For the third quarter, the St. Paul, Minn., enterprise software company estimated revenue of $181 million to $189 million, excluding $2 million of deferred revenue. Lawson sees the quarterly per-share result ranging from a 1-cent loss to break-even, or adjusted earnings of 2 cents to 3 cents. Wall Street is looking for third-quarter revenue of $194 million and per-share profit of 6 cents.
Mills Corp. (NYSE:MLS - News) shares dropped after the company said it's completed an internal investigation into accounting errors that will result in the restatement of its financial statements for 2001 to 2004, as well as the first three quarters of 2005. The retail property developer said in a regulatory filing that its probe revealed several cases in which its personnel "failed to recognize" the implications of certain "transactions, events or other facts." It also found that the company's fast growth, and its complex financial structure, "exacerbated" such errors. Mills said it would not know the full impact of the restatements until corrective measures have been implemented and the results are audited by Ernst & Young LLP. The company also said it is continuing to cooperate with a Securities and Exchange Commission investigation into its accounting practices.
Natus Medical Inc. (NASDAQ:BABY - News)said it expects first-quarter earnings of 7 cents to 8 cents a share. The average estimate of analysts surveyed by Thomson First Call is 11 cents. The San Carlos, Calif., health-care products company said it expects revenue for the quarter at $25.5 million to $26 million. Natus expects 2007 revenue to range from $114 million to $116 million, and earnings to range from 47 cents to 51 cents. The average earnings estimate of analysts is 51 cents for 2007.
New York & Co. (NYSE:NWY - News) said it expects fourth-quarter earnings at the low end of its estimated range of 37-46 cents a share. Analysts surveyed by Thomson First Call are forecasting earnings of 40 cents a share, on average. The retailer said it'll report an increase in gross margin for the fourth quarter due to improved merchandise margins. But it's facing higher-than-anticipated non-recurring litigation expenses pf 2 cents a share and increased costs related to marketing and store payroll to drive holiday sales.
Repsol (NYSE:REP - News) was downgraded to sell from hold at Deutsche Bank.
ScanSource (NASDAQ:SCSC - News) shares fell after the Greenville, S.C.-based distributor of specialty technology products said Monday it expects sales of $467 million to $475 million in its fiscal second quarter ended Dec. 31. Analysts polled by Thomson First Call are forecasting second-quarter sales of $485 million. ScanSource posted sales of $408.5 million in the same period last year.
Spectrum Control (NASDAQ:SPEC - News) reported fourth-quarter net income rose to 15 cents a share, from 8 cents in the year-ago period.
Sprint (NYSE:S - News) said it's on track to meet its financial targets for 2006. But the No. 3 U.S. wireless carrier plans to cut 5,000 jobs as it forecast sluggish sales growth, lower profit and higher capital expenditures this year.
Supervalu, Inc. (NYSE:SVU - News) said third-quarter net income rose 51% to $113 million, or 54 cents a share, from $75 million, or 53 cents a share, a year earlier. Results for the most recent quarter included 8 cents a share in one-time charges. Sales for the quarter improved to $10.7 billion from $4.7 billion. Analysts, on average, expected Supervalu to earn 56 cents a share on revenue of $10.53 billion, according to Thomson First Call. For the fourth quarter, the company expects earnings in the range of 59 cents to 66 cents a share after adjustments. For fiscal 2007, the company estimates sales of $37 billion and earnings in the range of $2.34 to $2.41 a share. Supervalu also announced a $1.2 billion capital program for 2008 to invest in new stores and refurbishing.
Tween Brands Inc. (NYSE:TWB - News) lowered its view for fourth-quarter earnings per share to a range of 85 cents to 88 cents. Previously, the specialty retailer had estimated 95 cents to $1. Tween said comparable-store sales should rise 3% to 4%, compared with its prior outlook for growth in the mid-single digits.
West Pharmaceutical Services (NYSE:WST - News) was downgraded to underweight from equal weight at Lehman Bros. The firm cited concerns about the company's margin outlook.
Published By MarketWatch

Labels: AGIX, AT, BGP, BHS, BLKB, BP, CELG, CELL, EMAG, EMKR, ESCL, GBX, GEHL, GRMN, GTIV, HELE, RATE, SVU, VNT, WST

Energy Transfer (NYSE:ETP - News) announces earnings on Tuesday before the bell; watch for $0.52 EPS. ETP's PowerRating is 7.
Greenbrier (NYSE:GBX - News) is expected to report $0.12 EPS Tuesday morning before trading begins. GBX's PowerRating is 5.
When Helen of Troy (NasdaqGS:HELE - News) reports quarterly earnings Tuesday morning, watch for $0.85 EPS. HELE's PowerRating is 5.
Supervalu (NYSE:SVU - News) reports earnings early Tuesday; analysts expect $0.57 EPS. SVU's PowerRating is 5.
Analysts are watching for Volt Information Sciences (NYSE:VOL - News) to report $0.65 EPS on Tuesday morning. VOL's PowerRating is 7.
Alcoa (NYSE:AA - News) and Ruby Tuesday (NYSE:RI - News) both report earnings on Tuesday afternoon, so watch for heightened price action and volume. AA's PowerRating is 5, and RI's PowerRating is 5.
PowerRatings are courtesy of PowerRatings.net

Labels: AA, ETP, GBX, HELE, RI, SVU, VOL

Here are 7 stocks for traders for Tuesday from TradingMarkets.com:
Energy Transfer (NYSE:ETP - News) announces earnings on Tuesday before the bell; watch for $0.52 EPS. ETP's PowerRating is 7.
Greenbrier (NYSE:GBX - News) is expected to report $0.12 EPS Tuesday morning before trading begins. GBX's PowerRating is 5.
When Helen of Troy (NASDAQ:HELE - News) reports quarterly earnings Tuesday morning, watch for $0.85 EPS. HELE's PowerRating is 5.
Supervalu (NYSE:SVU - News) reports earnings early Tuesday; analysts expect $0.57 EPS. SVU's PowerRating is 5.
Analysts are watching for Volt Information Sciences (NYSE:VOL - News) to report $0.65 EPS on Tuesday morning. VOL's PowerRating is 7.
Alcoa (NYSE:AA - News) and Ruby Tuesday (NYSE:RI - News) both report earnings on Tuesday afternoon, so watch for heightened price action and volume. AA's PowerRating is 5, and RI's PowerRating is 5.
PowerRatings are courtesy of PowerRatings.net

Labels: AA, ETP, GBX, HELE, Hot Stocks, RI, SVU, VOL

Ambac (NYSE:ABK - News) was upgraded to overweight from equal-weight at Morgan Stanley
Andersons Inc. (NASDAQ:ANDE - News) was upgraded to buy from neutral at Banc of America Securities. The firm also lifted its price target on the stock to $52 from $44.
Bear Stearns (NYSE:BSC - News) said its fourth quarter net income rose 38% to a record $562.8 million, or $4 a share on total revenue of $4.47 billion. A year ago, the company earned $407 million, or $2.90 a share, on $3.18 billion total revenue. Analysts polled by Thomson Financial, on average, expected the company to earn $3.36 a share on revenue of $2.20 billion.
Cadence Design Systems (NASDAQ:CDNS - News) priced offerings of senior convertible notes worth a total of $500 million. The company said the initial conversion rate for both the 2011 notes and the 2013 notes is 47.2813 common shares per $1,000 in principal amount of notes for a conversion price of about $21.15.
Carrizo Oil & Co. (NASDAQ:CRZO - News) was initiated with an outperform rating at RBC Capital Markets.
Ciena Corp. (NASDAQ:CIEN - News) reported fiscal fourth-quarter earnings of $13.1 million, or 14 cents a share, up from a year-ago loss of $252.9 million, or $3.06 a share. Last year's results included a total charge of $222.3 million related to impairment of goodwill and long-lived assets. On an adjusted basis, excluding items, the Linthicum, Md., maker of optical networking products earned $14.6 million, or 16 cents a share, in the latest quarter. Revenue rose 35.3% in the three months ended Oct. 31 to $160 million from $118.2 million in the same period a year earlier. The average estimate of analysts polled by Thomson First Call was for a profit of 13 cents a share in the October period on revenue of $160 million. Looking ahead, Ciena said it expects low single-digit revenue growth in the first quarter on a sequential basis.
Costco Wholesale (NASDAQ:COST - News), the Issaquah, Wash., warehouse retailer, reported fiscal first-quarter net income rose 9.8% on 9.4% higher revenue. For the 12 weeks ended Nov. 26, Costco profit rose to $236.9 million, or 51 cents a share, from $215.8 million, or 45 cents, in the year-earlier period. Revenue reached $14.15 billion from $12.93 billion. Net sales rose 9% to $13.85 billion. Same-store sales -- revenue from stores open at least a year, eliminating the effects of acquisitions and divestitures -- rose 4%. A survey of analysts by Thomson First Call produced consensus estimates of 50 cents of profit on $14.06 billion of sales for Costco. The retailer also said it would take a second-quarter charge of $45 million as it increased the exercise price on certain stock options for more than 1,000 employees who are U.S. taxpayers. It said that it's making the changes in line with its internal stock-option inquiry and with a Nov. 30 ruling by the U.S. Internal Revenue Service. The company also said it would make payment to the employees to reduce the adverse tax effects of the move.
Cousins Properties Inc. (NYSE:CUZ - News) was upgraded to overweight from equal-weight at Lehman Bros. The firm also lifted its price target on the stock to $38 from $35.
Empire Resources (AMEX:ERS - News) said its board has declared a special dividend of 16 cents a share for the fourth quarter, in addition to its regular quarterly payout of 5 cents a share. The dividends are to be paid on Jan. 17 to shareholders of record on Dec. 29. The Fort Lee, N.J., distributor of semi-finished aluminum products also said its board plans to review its internal dividend policy on a quarterly basis.
First Potomac (NYSE:FPO - News) was upgraded to buy from neutral at Merrill Lynch.
Ford Motor (NYSE:F - News) was upgraded to neutral from sell at Merrill Lynch, which said the automaker's efforts to raise liquidity have been more successful than previously expected. Analyst John Murphy believes the next move by Ford's chief executive Alan Mulally will be to unveil a new operating plan at the Detroit auto show in mid-January. "It is tough to believe that a turnaround can be affected in short order, but clarity on Mulally's plan could be viewed positively by the market," Murphy said in a research note. "Furthermore, Ford's new liquidity position may allow it to be tougher or more creative in the course of negotiating a contract with the United Auto Workers in 2007."
GenVec (NASDAQ:GNVC - News) shares leapt after the Gaithersburg, Md.-based biopharmaceutical company said an independent data safety monitoring board has completed its interim analysis of safety data from the ongoing Phase II/III clinical trial with TNFerade in locally advanced pancreatic cancer. The DSMB recommended that the trial continue, GenVec said, and also supported the use of endoscopic ultrasonography as an alternative to percutaneous tumor administration. GenVec said it has provided its interim safety data to the Food and Drug Administration and is waiting for final clearance to move forward with EUS administration.
Great Wolf Resorts (NASDAQ:WOLF - News) was upgraded to buy from hold at A.G. Edwards.
Honeywell International (NYSE:HON - News) said it expects earnings of $2.85 to $2.95 a share for fiscal 2007, a performance that would represent growth of between 13% and 17%. It sees sales growing about 5% to $32.6 billion for 2007. The Morris Township, N.J., diversified technology and manufacturing products company sees 2007 cash flow from operations of between $3.2 billion and $3.4 billion for the year with free cash flow projected between $2.4 billion and $2.6 billion. The current average estimate of analysts polled by Thomson First Call is for earnings of $2.93 a share in fiscal 2007 on revenue of $32.75 billion. The Dow component also confirmed an outlook for earnings of $2.51 to $2.53 a share in fiscal 2006 on sales of roughly $31.2 billion. Wall Street's current consensus estimate for 2006 is for earnings of $2.52 a share on revenue of $31.15 billion.
Icos (NASDAQ:ICOS - News) issued a 2006 and 2007 financial forecast early Thursday, ahead of a planned December 19 special shareholders meeting where stockholders will vote on whether to accept partner Eli Lilly's takeover offer of $32 a share in cash. For the fourth quarter 2006, Icos sees earnings of 17 to 22 cents a share, with full-year earnings of 33 to 38 cents a share. Including taxes, Icos expects fourth quarter results of 26 to 34 cents a share, and 49 to 57 cents for the full year 2006. For 2007, Icos is expecting earnings per share of 78 to 94 cents a share. Including taxes, the 2007 range is earnings per share of $1.17 to $1.41. Icos and Lilly co-market the erectile dysfunction drug Cialis.
Insmed (NASDAQ:INSM - News) shares surged after the biopharmaceutical company said recent study results confirm that Iplex, a treatment for growth failure, allows more flexibility in handling and administration for patients and caregivers.
Input/Output Inc. (NYSE:IO - News) said it's received a contract to provide 14 of its land seismic imaging systems to Oil and Natural Gas Corp. Ltd., India's national oil company. The company said the deal is worth more than $50 million.
Journal Register Co. (NYSE:JRC - News) agreed to sign on to Google's Print Ad program, which allows current Google advertisers to buy ads in print newspapers. Journal Register said its flagship newspaper, the New Haven (Conn.) Register, will participate in the partnership. Financial terms were not disclosed. More than 50 major newspapers are currently a part of the Google program, including the New York Times, the Boston Globe, the Washington Post and the Seattle Times. Newspapers are seeking ways to increase print ad revenue, which has been on the decline for several years as more readers turn to the Internet for news and information, and several traditional newspaper advertisers have fallen on hard times.
Liberty Media Holding Corp. (NASDAQ:LCAPA - News) was upgraded to buy from hold at Deutsche Bank Securities.
LodgeNet Entertainment Corp. (NASDAQ:LNET - News) agreed with Liberty Media to purchase Ascent Entertainment Group Inc., which owns On Command Corp., for $380 million. The purchase will be paid at closing by issuing 2.05 million LodgeNet shares, and $332 million in cash.
Microsoft Corp. (NASDAQ:MSFT - News) and Hewlett-Packard (NYSE:HPQ - News) said they have entered a 3-year agreement to sell technology products and services. The companies said they would invest at least $300 million to cover their collaborative efforts.
Nuance Communications (NASDAQ:NUAN - News) was initiated with a buy rating at Citigroup Investment Research.
Pacer International (NASDAQ:PACR - News) was initiated with a buy rating at Key Banc Capital Markets.
PGT Inc. (NASDAQ:PGTI - News) was upgraded to buy from neutral at SunTrust Robinson Humphrey. The firm cited valuation.
Stanley Works (NYSE:SWK - News) agreed to acquire HSM Electronic Protection Services, a provider of security alarm monitoring services based in Lisle, Ill., for $545 million. Stanley expects the deal to close in early 2007. It anticipates the transaction will be neutral to earnings in 2007 before adding 20 to 25 cents a share to earnings by 2009, the third year, and 35 to 35 cents a share to earnings by 2011, the fifth year.
Suntech Power Holdings (NYSE:STP - News) was initiated with a buy rating at Jefferies & Co.
Supervalu (NYSE:SVU - News) said it now expects fiscal 2007 per-share earnings of $2.32 to $2.43, up from its previous range of $2.18 to $2.41. The Minneapolis-based supermarket operator also narrowed its 2007 pro forma view, saying it sees per-share earnings of $2.66 to $2.74. The previous pro forma earnings view was $2.62 to $2.80 a share for the year.
Thermo Fisher Scientific (NYSE:TMO - News) estimated fourth-quarter adjusted earnings at 52 cents to 54 cents a share and increased its estimates of adjusted earnings for 2006 and 2007. A survey of analysts by Thomson First Call produced a consensus estimate of 53 cents for the quarter. For 2006, Thermo Fisher expects to earn an adjusted $1.83 to $1.86 a share on revenue of $8.8 billion. Thermo Electron and Fisher Scientific merged early in November; the revenue estimate is pro forma, as if the two companies had been combined for the full year. First Call projects earnings of $1.81 for 2006. In 2007, the company expects to earn $2.35 to $2.45 a share, compared with its previous estimate of $2.27 to $2.37.
Topps Co. (NASDAQ:TOPP - News) was initiated with a buy rating at Morgan Joseph & Co. The firm set a price target on the stock of $11.
Shares in Worthington Industries (NYSE:WOR - News) jumped after Prudential Equity Group released a note late Wednesday speculating that the Columbus, Ohio-based steel processor would be a likely target for No. 1 steel maker Mittal Steel (NYSE:MT - News), the main subsidiary of Arcelor Mittal . Prudential analyst John Tumazos noted Mittal has made public statements indicating an interest in owning steel distribution assets in the U.S. Worthington "would effectively satisfy MT's requirements," said Tumazos, adding he had no inside information about any deal.
-MarketWatch

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