Priceline Soars, Wal-Mart Net Climbs 12%

Mukesh Buch
19 Feb, 2015
New York City

Ball Corp agree to acquire U.K.-based rival Rexam for $6.85 billion. DIRECTV net dropped 4% and the number of subscribers rose. Discovery Communications net plunged 14%. Hormel Foods net surged 12%. Priceline revenues and net jumped 20%. Wal-Mart profit climbed 12%.

[R]12:45 PM New York – Ball Corp agree to acquire U.K.-based rival Rexam for $6.85 billion. DIRECTV net dropped 4% and the number of subscribers rose. Discovery Communications net plunged 14%. Hormel Foods net surged 12%. Priceline revenues and net jumped 20%. Wal-Mart profit climbed 12%.[/R]

Tollbooth Index gained 0.2% or 25.01 to 10,580.84.

Earnings Review

Ball Corporation ((BLL)) dropped 2.3% or $1.77 to $75.39 after the metal packaging product maker agree to acquire U.K.-based rival Rexam Plc for about $6.85 billion or £4.43 billion. The transaction values Rexam per share at 610 pence, representing a premium of 36%

Rexam shareholders will receive 407 pence in cash and 0.04568 in new shares of Ball Corp per share of Rexam, amounting to a total of 628 pence per share.

The transaction is expected to close in the first-half of 2016.

DIRECTV ((DTV)) fell 8 cents to $87.29 after the cable television network provider reported revenues in the fourth-quarter ending in December jumped 4% to $8.92 billion from a year ago period.

Net income in the quarter dropped 3.9% to $778 million compared to $810 million and diluted earnings per share were flat at $1.53 from the same quarter last year.

In the quarter, the company added a net 149,000 subscribers in the U.S. compared with 93,000 additions in a year ago quarter.

Discovery Communications Inc ((DISCA)) jumped 2.7% or 87 cents to $31.76 after the media and entertainment company said total revenues in the fourth-quarter ending in December climbed 9.1% to $1.68 billion from a year ago period.

Net income in the quarter plunged 13.5% to $250 million or 38 cents per diluted share compared to $289 million or 41 cents from the same quarter last year.

Hormel Foods Corporation ((HRL)) gained 1.9% or $1.10 to $57.25 after the meat and food product maker stated net sales in the fourth-quarter ending in December soared 7.1% to $2.40 billion from a year ago period.

Net income in the quarter surged 12% to $171.7 million or 64 cents per diluted share compared to $153.3 million or 57 cents from the same quarter last year.

Priceline Group Inc ((PCLN)) surged 8.2% or $92.04 to $1,215.03 after the online travel company reported revenues in the fourth-quarter ending in December climbed 19.5% to $1.84 billion form a year ago period.

Net income in the quarter jumped 19.5% to $451.8 million or $8.56 per diluted share compared to $378.1 million or $7.14 from the same quarter last year.

Wal-Mart Stores, Inc ((WMT)) dropped 2.8% or $2.36 to $83.93 after the speciality retailer reported revenues in the fourth-quarter ending in December jumped 1.4% to $131.6 billion form a year ago period.

Net income in the quarter climbed 12.1% to $4.97 billion or $1.53 per diluted share compared to $4.35 billion or $1.36 from the same quarter last year.

The retailer said U.S. comparable store sales in the quarter rose 1.6% and comparable store sales at Sam''s Club without fuel increased 2%.