GE, Akamai Fall; Citigroup, CIT Rise

Mayank Mehta
17 Jul, 2009
New York City

CIT rebounded as the company and its creditors are in advanced stages of discussion to avert bankruptcy filing. A.O. Smith increased after earnings surged. Bank of American earnings declined 25%. Citigroup returned to profitability. General Electric revenues and earnings declined.

[R]12:05 PM New York – CIT rebounded as the company and its creditors are in advanced stages of discussion to avert bankruptcy filing. A.O. Smith increased after earnings surged. Bank of American earnings declined 25%. Citigroup returned to profitability. General Electric revenues and earnings declined.[/R]

CIT Group Inc led gainers in the S&P 500 index with a rise of 32.9%. AptarGroup, Inc second quarter net down 37% on weak segment sales. Citigroup Inc second quarter profit posts on one time gain. Cubist Pharmaceuticals, Inc second quarter swings to a profit.[/R]

Of the stocks in S&P 500 index, 128 increased, 365 declined and 7 were unchanged.

Kimco Realty Corporation led the decliners in the S&P 500 index with a loss of 4.7% followed by losses in General Electric Company of 4.6%, in First Horizon National Corporation of 4.3%, in Applied Materials, Inc of 3.1% and in Johnson Controls, Inc of 3.0%.

CIT Group Inc led gainers in the S&P 500 index with a rise of 32.9% followed by gains in American International Group, Inc 4.5%, in KB Home of 4.4% and Mattel, Inc of 4.4%.

Other Movers

Akamai Technologies, Inc ((AKAM)) the Internet networking software provider fell 3.8% or 80 cents to $19.38 after Goldman Sachs lower its views and recommended investors to sell the stock.

AngioDynamics, Inc ((ANGO)) lost 11.5% or $1.50 to $11.53 after the maker of devices to treat cancer and heart disease treatment said excluding the aforementioned two items fourth quarter net income was $3.4 million or 14 cents per share compared with net income of $4.7 million or 19 cents per share a year ago.

A. O. Smith Corporation ((AOS)) added 4.1% or $1.46 to $37 after the maker of water-heating equipment and electric motors reported second quarter revenues fell 20% to $498.7 million from $622.1 million a year ago. Net income in the quarter rose 124% to $21.3 million or 84 cents per diluted share compared to net income of $9.5 million or 1 cent per share a year ago.

AptarGroup, Inc ((ATR)) added 2.1% or 74 cents to $35.74 after the cosmetic and perfume-dispenser maker said second quarter sales fell 20% to $440.5 million from $551.3 million a year ago. Net income in the quarter fell 37% to $28.5 million or 41 cents per diluted share compared to net income of $45.3 million or 64 cents per share a year ago.

Bank of America Corporation ((BAC)) jumped 0.9% or 12 cents to $13.29 after the bank reported second quarter revenues rose 61% to $32.8 billion from $20.4 billion a year ago. Net income in the quarter fell 25% to $2.42 billion or 33 cents per diluted share compared to net income of $3.22 billion or 72 cents per share a year ago.

Badger Meter, Inc ((BMI)) decreased 6.4% or $2.60 to $37.78 after the maker of flow measurement products said second quarter sales fell 9.2% to $67.8 million from $74.7 million a year ago. Net income in the quarter rose 10.2% to $7.8 million or 52 cents per diluted share compared to net income of $7 million or 48 cents per share a year ago.

BB&T Corporation ((BBT)) dropped 1.4% or 33 cents to $22 after the financial company reported second quarter net interest income rose 5.6% to $1.13 billion from $1.07 billion a year ago. Net income in the quarter fell 72% to $121 million or 20 cents per diluted share compared to net income of $428 million or 78 cents per share a year ago.

Bemis Company, Inc ((BMS)) lost 1.3% or 35 cents to $26.62 after the packaging company reported second quarter sales rose 11.6% to $866.4 million from $980 million a year ago. Net income in the quarter rose 4.5% to $48.5 million or 47 cents per diluted share compared to net income of $46.4 million or 45 cents per share a year ago.

Callaway Golf Company ((ELY)) fell 8.3% or 47 cents to $5.18 after the maker of Big-Bertha and steelhead golf clubs said net sales are estimated to be $302 million a decrease of 17% as compared to net sales of $366 million for the second quarter of 2008. Changes in foreign currency exchange rates adversely affected net sales by approximately $19 million.

Citigroup Inc ((C)) jumped 5.2% or 16 cents to $3.20 after the global diversified financial services company reported second quarter revenues rose 70.5% to $30.0 billion from $17.6 billion a year ago. Net income in the quarter was $4.3 billion or 49 cents per diluted share compared to net loss of $2.5 billion or 55 cents per share a year ago.

CIT Group Inc ((CIT)) surged 40.9% or 0.168 cents to $0.578 after the 101 year old commercial finance and lender is in late stage discussion with its creditors to avoid bankruptcy filing.

Cubist Pharmaceuticals, Inc ((CBST)) climbed 3.9% or 68 cents to $17.99 after the biopharmaceutical company said second quarter revenues rose 29% to $130.8 million from $101.8 million a year ago. Net income in the quarter was $23.8 million or 40 cents per diluted share compared to net loss of $1.3 million or 2 cents per share a year ago.

Datalink Corporation ((DTLK)) declined 6.9% or 29 cents to $3.89 an independent information storage architect said second quarter revenues fell 12% to $43.7 million from $49.7 million a year ago. Net income in the quarter fell 71% to $283,000 or 2 cents per diluted share compared to net income of $979,000 or 8 cents per share a year ago.

General Electric Company ((GE)) sank 3.7% or 46 cents to $11.94 after the diversified technology, media and financial services company reported second quarter revenues fell 17% to $39.1 billion from $46.8 billion a year ago. Net income in the quarter fell 49% to $2.7 billion or 24 cents per diluted share compared to net income of $5.1 billion or 51 cents per share a year ago.

Gilead Sciences, Inc ((GILD)) gained 3.2% or $1.51 to $48.36 after the world’s biggest maker of AIDS drugs said that it has entered into a license and collaboration agreement with Tibotec Pharmaceuticals for the development and commercialization of a new once daily fixed dose antiretroviral regimen containing Gilead’s Truvada® and Tibotec’s investigational stage drug.


Google Inc ((GOOG)) dropped 3.3% or $14.62 to $427.98 after the world''s largest search engine said second quarter revenues rose 3% to $5.52 billion from $5.37 billion a year ago. Net income in the quarter rose 19% to $1.48 billion or $4.66 per diluted share compared to net income of $1.25 billion or $3.92 per share a year ago.

International Business Machines Corporation ((IBM)) surged 3.1% or $3.42 to $110.64 after the technology company said second quarter sales fell 13% to $23.3 billion from $26.8 billion a year ago. Net income in the quarter rose 12% to $3.1 billion or $2.32 per diluted share compared to net income of $2.8 billion or $1.97 per share a year ago.

Marshall & Ilsley Corporation ((MI)) fell 3.0% or 13 cents to $5.15 after the diversified financial services corporation reported second quarter net interest income fell 12% to $398.5 million from $454.6 million a year ago. Net loss in the quarter was $139.3 million or 50 cents per diluted share compared to net loss of $393.8 million or $1.52 per share a year ago.

Mattel, Inc ((MAT)) rose 4.4% or 72 cents to $16.91 after the toy maker reported second quarter revenues fell 19% to $898.2 million from $1.11 billion a year ago. Net income in the quarter rose 82% to $21.5 million or 6 cents per diluted share compared to net income of $11.8 million or 3 cents per share a year ago.

Nokia Corporation ((NOK)) plunged 14.1% or $2.22 to $13.46 after the world''s largest maker of mobile handset said second quarter sales fell 25% to €9.9 billion from €13.2 billion a year ago. Net income in the quarter fell 65.5% to €380 million or €0.10 per diluted share compared to net income of €1.1 billion or €0.29 per share a year ago.

People''s United Financial, Inc ((PBCT)) fell 3.0% or 44 cents to $15.30 after the regional bank operator said second quarter net interest income fell 10% to $141.2 million from $157 million a year ago. Net income in the quarter fell 36% to $27.4 million or 8 cents per diluted share compared to net income of $43.0 million or 13 cents per share a year ago.

Polaris Industries Inc ((PII)) lost 5.4% or $1.84 to $31.78 after the maker of all-terrain vehicles, snowmobiles and motorcycles said second quarter sales fell 24% to $345.9 million from $455.7 million a year ago. Net income in the quarter fell 28% to $17.5 million or 53 cents per diluted share compared to net income of $24.4 million or 72 cents per share a year ago.

Webster Financial Corporation ((WBS)) advanced 13.4% or $1.16 to $9.79 after the bank reported second quarter net interest fell 5.9% to $119.3 million from $125.7 million a year ago. Net income in the quarter was $16.8 million or 31 cents per diluted share compared to net loss of $28.9 million or 56 cents per share a year ago.

Yahoo! Inc ((YHOO)) increased 3% to $16.68 on speculation that Microsoft and Yahoo are likely to collaborate on search related business.