U.S. Movers: Dean Foods Soars 34%, Rackspace Surges 11%, Orbitz Tumbles 26%

Sarla Buch
08 Aug, 2012
New York City

A123 Systems singed MOU with China based Wanxiang to invest $450 million. Alere second quarter net loss widens and Avnet net tumbled 44.1%. Dish Network second quarter net dropped 32.5% and HollyFrontier net quarter jumped 156.7% and Macy

[R]10:40 AM New York – A123 Systems singed MOU with China based Wanxiang to invest $450 million. Alere second quarter net loss widens and Avnet net tumbled 44.1%. Dish Network second quarter net dropped 32.5% and HollyFrontier net quarter jumped 156.7% and Macy’s net soared 15.8%.[/R]

A123 Systems, Inc. ((AONE)) advanced 5.5% or 2.6 cents to 49.6 cents after the automotive battery maker reported total revenue in the second quarter ending in June declined 53.3% to $17 million compared to $36.4 million in the same period of last year. Net loss in the quarter widened to $82.9 million or 56 cents per diluted share compared to $55.4 million or 44 cents a share a year ago earlier.

Separately, China based Wanxiang Group Corporation agreed to invest $450 million in A123. Wanxiang Group generated $13 billion in revenue in 2011 and employed more than 45,000 people across the world.

Alere Inc. ((ALR)) increased 1.6% or 30 cents to $18.80 after the healthcare company reported revenue in the second quarter ending in June surged 23.5% to $700.52 million compared to $567.19 million in the same period of last year. Net loss in the quarter widened to $18.2 million or 23 cents per diluted share compared to $4.67 million or 5 cents per share a year ago quarter.

Avnet, Inc. ((AVT)) declined 8.2% or $2.70 to $30.03 after the electronic components distributor reported revenues in the fourth quarter ending in June slumped 8.8% to $6.31 billion compared to $6.91 billion in the same period of last year. Net income in the quarter tumbled 44.1% to $133.4 million or 91 cents per diluted share compared to $238.8 million or $1.54 per share a year ago earlier.

Avnet forecasted fiscal first quarter sales are to be between $5.80 billion and $6.40 billion and adjusted diluted earnings per share to be in the range of 78 cents to 88 cents per share.

BCE Inc. ((BCE)) gained 3.9% or $1.71 to $45.02 after the Canada based communication company reported revenues in the second quarter ending in June edged down 0.6% to $4.92 billion compared to $4.96 billion in the same period of last year. Net earnings in the quarter soared 28.7% to $879 million or $1 per diluted share compared to $683 million or 76 cents per share a year ago.

Dish Network Corporation ((DISH)) decreased 1.9% or 61 cents to $30.06 after the cable TV operator reported revenues in the second quarter ending in June fell 0.6% to $3.57 billion compared to $3.59 billion in the same period of last year. Net income in the quarter dropped 32.5% to $226 million or 50 cents per diluted share compared to $335 million or 75 cents per share a year ago.

The company said higher subscriber-related expenses from higher programming costs negatively impacted in the net income and net subscribers decreased by 10,000 during the second quarter.

Dean Foods Company ((DF)) surged 34.4% or $4.29 to $16.71 after the food and beverage company reported revenues in the second quarter ending in June fell 5.5% to $3.12 billion compared to $3.30 billion in the same period of last year. Net income in the quarter swung to $56.2 million or 30 cents per diluted share compared to net loss of $50.5 million or 28 cents per share a year ago period.

For the third quarter, Dean Foods expects adjusted diluted earnings per share between $0.25 and $0.30 and increased full-year earnings per share guidance to a range of $1.18 to $1.28.

EchoStar Corporation ((SATS)) increased 3.8% or $1.11 to $29.62 after the holding company reported revenue in the second quarter ending in June surged 38% to $806 million compared to $584 million in the same period of last year. Net income in the quarter doubled to $36 million or 41 cents per diluted share compared to $18 million or 21 cents per share a year ago earlier.

HollyFrontier Corporation ((HFC)) rose 2 cents to $39.44 after the petroleum refiner reported revenues in the second quarter ending in June soared 62% to $4.81 billion compared to $2.97 billion in the same period of last year. Net income in the quarter jumped 156.7% to $493.5 million or $2.39 per diluted share compared to $192.2 million or $1.79 per share a year ago.

Macy’s, Inc. ((M)) gained 2.5% or 94 cents to $37.94 after the retail stores operator reported revenues in the second quarter ending in June rose 3% to $6.12 billion compared to $5.94 billion in the same period of last year. Online sales in the second quarter soared 36.1% and same store sales gained 3%

Net income in the quarter soared 15.8% to $279 million or 67 cents per diluted share compared to $241 million or 55 cents per share a year ago.

The company raised its earnings guidance for full year to a range of $3.30 to $3.35 per share from previous guidance of $3.25 to $3.30 and for same store sales remains unchanged at an increase of approximately 3.7%.

MEMC Electronic Materials, Inc ((WFR)) climbed 15.2% or 31 cents to $2.40 after the semiconductor company reported net sales in the second quarter of ending in June soared 8.4% to $808.4 million compared to $745.6 million in the same period of last year. Net loss in the quarter swung to $61.3 million or 27 cents per diluted share compared to of $47.3 million or 21 cents per share a year ago.

Orbitz Worldwide, Inc. ((OWW)) tumbled 25.7% or $1.20 to $3.46 after the online travel company reported net revenue in the second quarter ending in June decreased 1% to $201 million compared to $202 million in the same period of last year. Net income in the quarter plunged 48% to $4.58 million or 4 cents per diluted share compared to $8.89 million or 8 cents per share a year ago.

For the third quarter 2012, the company expects net revenue in the range of $197 million to $203 million and for the full year net revenue up between 2% and 4%.

Ralph Lauren Corporation ((RL)) slipped 1.5% or $2.33 to $150.70 after the apparels retailer reported net sales in the first quarter of fiscal 2013 increased 4% to $1.55 billion compared to $1.49 billion in the same period of last year. Net income in the quarter climbed 5% to $193.4 million or $2.03 per diluted share compared to of $184.1 million or $1.90 per share a year ago period.

Rackspace Hosting, Inc ((RAX)) surged 11.4% or $5.62 to $54.92 after the internet infrastructure company reported net sales in the second quarter of ending in June soared 29% to $319 million compared to $247 million in the same period of last year. Net income in the quarter surged 43% to $25.1 million or 18 cents per diluted share compared to of $17.6 million or 13 cents per share a year ago period.