U.S. Movers: Cisco, Rosetta Stone Plunge; Advance Auto Parts Rises

Nigel Thomas
11 Nov, 2010
New York City

Advance Auto Parts Inc traded higher after the auto parts retailer lifted its annual earnings outlook to between $3.80 and $3.90 a share. Prudential Financial Inc said in a statement that the company is looking to raise as much as $1 billion. Cisco Systems dropped 16%.

[R]11:10 AM New York – Advance Auto Parts Inc traded higher after the auto parts retailer lifted its annual earnings outlook to between $3.80 and $3.90 a share. Prudential Financial Inc said in a statement that the company is looking to raise as much as $1 billion. Cisco Systems dropped 16% after it estimated slower revenues growth.[/R]

Of the stocks in the Dow, 5 increased, 25 decreased and none were unchanged.

Of the 30 stocks in the Dow Jones Industrial Average, Merck & Co., Inc. led the gainers with a rise of 0.46% followed by increase in Chevron Corporation of 0.40%, in Exxon Mobil Corporation of 0.30%, in McDonald’s Corporation of 0.23% and in AT&T Inc. of 0.07%.

Cisco Systems, Inc. led the decliners with a fall of 16.6%, followed by decline in Microsoft Corporation of 2.30%, in Hewlett-Packard Company of 2.29%, in International Business Machines Corporation of 1.74%, in Intel Corporation of 1.73%.

Other Movers

AECOM Technology Corporation ((ACM)) plunged 3.8% or $1.08 to $26.87 after the technical and management consultant report fourth quarter revenue increased 12% to $1.8 billion from $1.6 billion a year ago period. Net income in the quarter increased to $67.7 million or 58 cent per diluted share compared to $54.2 million or 48 cent per share same quarter a year ago.

For the fiscal year net revenue increased 10% to $6.5 billion compared to $6.1 billion for the same period a year ago. Net income $236.8 million or $2.05 per diluted share compared to $189.7 million or $1.73 per diluted share same period a year ago.

Advance Auto Parts, Inc. ((AAP)) increased 1.4% or 95 cent to $67.67 after the automotive parts maker said third quarter revenue increased 11.4% to $1.41 billion, from $1.26 billion in the prior year.

Comparable Store Sales rose 9.9% compared to 4.7% for same quarter a year ago. Net income in the quarter increased to $87.6 million or $1.03 per diluted share, compared to $62.0 million or $0.65 per share a year ago.

Aegean Marine Petroleum Network Inc. ((ANW)) plunged 33% or $5.32 to $10.72 and the refined marine fuel and lubricant supplier reported third quarter total revenue rose 82% to $1,340.0 million from $736.1 million for the same quarter a year ago period. Net income in the quarter decreased to $4.61 million or 10 per diluted share compared to net income of $14.11 million or 33 per share a year ago period.

Cowen Group, Inc. ((COWN)) decreased 2.8% or 12 cent to $4.08 after the investment bank reported second quarter revenue decreased 17% to $61.3 million, from $73.8 million in the prior year. Net loss in the quarter was $15.3 million or 21 cents per diluted share, compared to net income of $5.9 million or 16 cents per share a year ago.

Cisco Systems, Inc. ((CSCO)) declined 16.4% or $4.02 to $20.47 after the networking systems maker reported first quarter revenue surged 19% to $10.7 billion from $9.0 billion in the same quarter last year. Net income in the quarter rose 8% to $1.9 billion or 34 cents per diluted share, compared to $1.8 million or 30 cents per share in the prior-year quarter.

The stock tumbled after the company warned slower revenues growth in the current quarter.

Flowers Foods, Inc. ((FLO)) rose 0.4% or 12 cent to $25.75 after the bakery product maker reported third quarter revenues slumped 8% to $597.9 million from $602.6 million a year ago period. Net income in the quarter slightly decreased to $31.2 million or 34 cent per diluted share compared to $31.9 million or 34 cent per share same quarter a year ago.

Meridian Bioscience, Inc. ((VIVO)) slumped 4.2% or $1.01 to $22.88 after the diagnostic test kit maker said fourth quarter sales decreased 16% to $35.5 million from $42.4 million a year ago period. Net earnings in the quarter declined 40% to $5.3 million or 13 cent per diluted share compared to $8.9 million or 22 cent per share in the prior-year quarter.

For the fiscal year net revenue fell 4% to $143.0 million compared to $148.3 million for the same period a year ago. Net earnings decreased 19% to $26.6 million or 65 cent per diluted share compared to $32.7 million or 80 cent per diluted share in the prior-year quarter.

Maximus, Inc. ((MMS)) slipped 2.1% or $1.35 to $61.00 after the health and human program manager report fourth quarter revenue grew 9.1% to $212.5 million from $194.8 million a year ago period. Net income in the quarter increased to $21.7 million or $1.22 per diluted share compared to $8.6 million or $0.48 cent per share same quarter a year ago.

For the fiscal year net revenue increased 15.5% to $831.7 million compared to $720.1 million for the same period a year ago. Net income $70.4 million or $3.92 per diluted share compared to $46.5 million or $2.60 per diluted share same period a year ago.

Prudential Financial, Inc ((PRU)), the financial services provider and life insurer commenced a public offering of $1 billion of its common stock. Citi, BofA Merrill Lynch, UBS Investment Bank and Barclays Capital will serve as joint book-running managers.

The underwriters will have 30 day option to purchase up to an additional 15% of the offered amount of stock. The company intends to use the net proceeds from this offering to fund a portion of the purchase price for its previously announced acquisition of AIG Star Life Insurance Co., Ltd and AIG Edison Life Insurance Company from American International Group, Inc.

Quad/Graphics, Inc. ((QUAD)) plunged 6.3% or $2.92 to $42.99 after the digital image printing company said third quarter net revenue rose to $1,208.7 million from $471.6 million for the same quarter a year ago period. Net loss in the quarter to $232.5 million or $5.01 a diluted share compared to net income of $28.4 million or $0.98 per share a year ago.

Rosetta Stone Inc ((RST)) dropped 9% to $20.87 and the language learning solution provider reported third quarter revenues declined 9% to $60.9 million from $67.2 million a year ago period. Net loss in the quarter was $0.4 million or 2 cent per diluted share compared to net income of $5.3 million or 25 cent per share same quarter a year ago.

Thermadyne Holdings Corporation ((THMD)), the gas and arc cutting and welding product today announced that it has entered into agreement to acquired affiliates of Irving Place Capital, a middle-market private equity firm, in a transaction valued at approximately $422 million.

Under the terms shareholders will receive $15.00 per share in cash for each share of Thermadyne’s common stock, representing a premium of 18%. The board of directors unanimously approved the transaction. Oppenheimer & Co. Inc. is acting as exclusive financial advisor

Watson Pharmaceuticals, Inc. ((WPI)), the specialty pharmaceutical company today announced the underwritten public offering of 10,537,755 shares of its common stock held by Quiver Inc. was priced at $49.75 per share.

Watson will not receive any proceeds related to offer and total number of its shares of common stock outstanding will not change as a result of the offer. J.P. Morgan Securities LLC has acted as sole book-running manager and underwriter for the offering.