Boeing, MEMC Fall; MGM Mirage Monster Rise

Mayank Mehta
13 Apr, 2009
New York City

Genworth Financial, Inc led the decliners in the S&P 500 index with a loss of 29.0%. The Boeing Company adjusted its production target for 2010 and earnings outlook for the first quarter. Genworth Financial, Inc plunges on failure to qualify for US Treasury aid.

[R]11:55AM New York – Genworth Financial, Inc led the decliners in the S&P 500 index with a loss of 29.0%. The Boeing Company adjusted its production target for 2010 and earnings outlook for the first quarter. Genworth Financial, Inc plunges on failure to qualify for US aid.[/R]

Of the stocks in S&P 500 index, 51 increased, 447 declined and 2 were unchanged.

Genworth Financial, Inc led the decliners in the S&P 500 index with a loss of 29.0% followed by losses in Textron Inc with a loss of 19.8%, in Memc Electronic Materials Inc of 17.5%, in General Motors Corporation of 13.7%, in Gannett Co., Inc of 7.4%.

Citigroup Inc led gainers in the S&P 500 index with a rise of 9.2% followed by gains in Monster Worldwide, Inc of 7.7%, in Express Scripts, Inc of 6.3% and WellPoint, Inc of 5.6%.

Other Movers

American Express Company ((AXP)) gained 6.4% or $1.22 to $20.05 after Barron’s cited analyst and suggested an analyst and highlighted that the company has less risk than others in the financial services business.


The Boeing Company ((BA)) fell 6.2% or $2.44 to $36.73 after the world’s second-biggest commercial-plane builder reported on Thursday that it will be reducing its production plans for 2010 for its twin-aisle airplanes. The company left its production outlook for 737 unchanged.

Boeing reported that its first quarter 2009 earnings will be lower by 7 cents a share and will take additional 31 cents a share charge to reflect the loss and higher operating cost related to the 747 program. The company left its production schedule for 737 unchanged and said it will update the annual earnings guidance when it releases quarterly earnings on April 22.

Chevron Corporation ((CVX)) fell 3.7% or $2.56 to $66.67 after the International Energy Agency report forecasting a drop in global crude demand.

Corning Incorporated ((GLW)) fell 2.3% or 36 cents to $14.74 after the biggest maker of glass for flat-panel televisions was downgraded at Oppenheimer from “outperform” to “perform” and said that the stock has met its price target of $15.

Express Scripts, Inc rose 13% to $6.52 after announced a merger agreement to acquire pharmacy benefit business of WellPoint NextRx for $4.675 billion. The price tag includes future tax benefits of merging two companies and the merger is expected to complete in the second half of 2009.

Genworth Financial, Inc ((GNW)) fell 29.0% or 80 cents to $1.95 after the financial security company failed to qualify for a capital injection from the U.S. Treasury.

Memc Electronic Materials Inc ((WFR)) fell 14.8% or $2.82 to $16.12 after the maker of silicon wafers for solar modules and semiconductors said Thursday that its first-quarter revenue totaled $214 million according to preliminary results. The preliminary results follow its outlook for revenue falling by up to 50% from the fourth quarter of 2008, in which revenue totaled $425.7 million.

MGM Mirage ((MGM)) surged 13.4% or 71 cents to $6.01 after the casino company controlled by Kirk Kerkorian has convinced lenders to provide additional financing without the consent and involvement of its partner Dubai World.

Monster Worldwide, Inc ((MWW)) increased 15% or $12.11 after an analyst at William Blair analyst raised its rating on the company.

OfficeMax Incorporated ((OMX)) gained 7.7% or 35 cents to $4.87 after the third-biggest U.S. office-supplies retailer after an analyst at Goldman Sachs suggested that the company is likely to benefit from the current weak environment at the expense of weak competitor.

RSC Holdings Inc ((RRR)) surged 14.6% or 76 cents to $5.95 after the second-largest construction-equipment rental company in North America which rents out forklifts, backhoes and cranes, has no exposure to the residential housing market. The Barron’s highlighted the company’s potential to increase earnings.

WellPoint, Inc ((WLP)) rose 5.8% or $2.31 to $42.64 after the second-largest U.S. insurer said Monday it has agreed to sell health insurer NextRX pharmaceutical benefit management subsidiaries for just under $4.68 billion in cash and stock to Express Script.