U.S. Movers: Avnet, Cree, Macy's, Polo Ralph, Rovi, Walt Disney

Mukesh Buch
10 Aug, 2011
New York City

Capital One agreed to acquire HSBC

[R]11:50 AM New York – Capital One agreed to acquire HSBC’s domestic credit card business for $2.59 billion. Liberty Media quarterly net income soared to $271 million. Macy''s second quarter net income surged 64% to $241 million. Polo Ralph first quarter net income rose to $184 million. Walt Disney third quarter net income rose 11% to $1.48 billion.[/R]

Of 30 the stocks in the Dow, 2 increased and 28 decreased.

Of the stocks in the Dow Jones Industrial Average, Pfizer Inc. led the gainers with a rise of 0.62% followed by increase in Cisco Systems, Inc. of 0.04%.

The Walt Disney Company led the decliners with a fall of 12.80%, followed by decline in Bank of America Corporation of 7.50%, in JPMorgan Chase & Co. of 4.66%, in American Express Company of 4.51%, in Microsoft Corporation of 3.75%.

Other Movers

Accretive Health Inc. ((AH)) gained 1% or 29 cents to $28.89 after the healthcare company reported second quarter total revenues increased 21% to $183.6 million from $151.9 million in the same quarter last year. Net income in the quarter soared 118% to $8.6 million or 8 cents per diluted share compared to $3.9 million or 4 cents per share a year ago.

Avnet, Inc. ((AVT)) increased 6.5% or $1.68 to $27.19 after the electronic components distributor reported fourth quarter sales increased 32.6% to $6.9 billion from $5.2 billion in the same quarter last year. Net income in the quarter surged 69.2% to $238.8 million or $1.54 per diluted share compared to $141.1 million or $0.92 per share a year ago.

AbitibiBowater Inc. ((ABH)) gained 3.3% or 54 cents to $16.36 after the specialty papers maker said second quarter sales rose to $1.20 billion from $1.18 billion in the same quarter last year. Net income in the quarter was $61 million or $0.63 per diluted share compared to net loss of $297 million or $5.15 per share in the prior-year quarter.

Capital One Financial Corporation ((COF)) rose 0.6% or 27 cents to $41.04 after the financial services provider will acquire HSBC’s domestic credit card business including its $30 billion credit card portfolio for 8.75% premium at par value of receivables. As of June 30, the premium totaled to $2.59 billion. The company expects to complete the acquisition in second quarter 2012.

Cree, Inc. ((CREE)) advanced 16.3% or $4.73 to $34.25 after the semiconductor materials and devices maker reported fourth quarter revenues fell 8% to $243.0 million from $264.6 million in the same quarter last year. Net income in the quarter declined 63% to $19.8 million or 18 cents per diluted share compared to $52.8 million or 48 cents per share a year earlier.

Harman International Industries, Inc ((HAR)) decreased 6.6% or $1.99 to $28.05 after the audio and video equipment maker reported fourth quarter net sales increased 21% to $1,031 million from $851 million in the same quarter last year. Net income in the quarter declined to $18.9 million or $0.26 per diluted share compared to $133.9 million or $1.89 per share a year earlier.

Liberty Media Corporation ((LINTA)) decreased 2.1% or 31 cents to $14.18 after the online commerce, media and entertainment reported second quarter revenues increased 9% to $2.2 billion from $2.0 billion in the same quarter last year. Net income in the quarter surged to $271 million or 30 cents per diluted share compared to $37 million or 10 cents per share a year ago.

Macy''s, Inc. ((M)) slipped 1.2% or 32 cents to $25.12 after the department store holding company reported second quarter sales climbed 7.3% to $5.94 billion from $5.54 billion in the second quarter of 2010 on same-store sales rise of 6.4%.

Net income in the quarter surged 64% to $241 million or 55 cents per diluted share compared to net income of $147 million or 35 cents per share a year earlier.

Polo Ralph Lauren Corporation ((RL)) increased 4.8% or $5.79 to $125.64 after the apparel and accessories maker reported first quarter net revenues increased 32% to $1.5 billion from $1.2 billion in the same quarter last year. Net income in the quarter increased to $184 million or $1.90 per diluted share compared to $121 million or $1.21 per share a year earlier.

Rovi Corporation ((ROVI)) decreased 6.9% or $3.19 to $42.44 after the digital entertainment technology provider stated second quarter revenues increased 44% to $193.0 million from $133.9 million in the same quarter last year. Net loss in the quarter was $10.7 million or 10 cents per diluted share compared to $41.2 million or 39 cents per share in the prior-year quarter.

Southern Union Company ((SUG)) rose 0.7% or 30 cents to $41.20 after the natural gas distributor net revenues increased to $631.6 million from $573.1 million in the same quarter last year. Net income in the quarter fell to $59.8 million or 47 cents per diluted share compared to $69.4 million or 55 cents per share a year earlier.

The Howard Hughes Corporation ((HHC)) rose 0.8% or 41 cents to $50.50 after the real estate company quarterly total revenues rose to $50.8 million from $30.6 million in the same quarter last year. Net income in the quarter was $66.0 million or 22 cents per diluted share compared to $28.0 million or 74 cents per share a year ago.

Ultra Petroleum Corp. ((UPL)) slumped 8.9% or $3.65 to $37.09 after the oil and gas company reported second quarter total revenues increased to $280.6 million from $228.4 million in the same quarter last year. Net income in the quarter increased to $103.5 million or 67 cents per diluted share compared to $61.5 million or 40 cents per share a year ago period.

The Walt Disney Company ((DIS)) slumped 11.5% or $3.99 to $30.71 after the diversified worldwide entertainment company said third quarter revenue rose 7% to $10.68 billion from $10 billion in the same quarter last year. Net income in the quarter increased 11% to $1.48 billion or 77 cents per diluted share compared to $1.33 billion or 67 cents per share for the year-ago quarter.