CIT Plunges; Cognizant, Infosys, Yahoo Up

Mayank Mehta
10 Jul, 2009
New York City

Memc Electronic Materials led gainers in the S&P 500 index with a rise of 4.8%. Infosys Technologies first quarter net profit rises but revenues edge lower. FCStone Group, Inc swings to third quarter net loss. The Shaw Group third quarter profit falls to $7.9 million.

[R]12:10PM New York – Memc Electronic Materials led gainers in the S&P 500 index with a rise of 4.8%. Infosys Technologies first quarter net profit rises but revenues edge lower. FCStone Group, Inc swings to third quarter net loss. The Shaw Group third quarter profit falls to $7.9 million.[/R]

Of the stocks in S&P 500 index, 191 increased, 299 declined and 10 were unchanged.

CIT Group Inc led the decliners in the S&P 500 index with a loss of 32.2% followed by losses in American International Group, Inc of 7.2%, in Dynegy Inc of 4.5%, in Genworth Financial, Inc of 3.9% and in Tenet Healthcare Corporation of 3.3%.

Memc Electronic Materials Inc led gainers in the S&P 500 index with a rise of 4.8% followed by gains in Perkinelmer, Inc 4.5%, in Cognizant Technology Solutions Corporation of 3.9% and Yahoo! Inc of 3.5%.

Other Movers

CalAmp Corp ((CAMP)) decreased 6.6% or 0.06 cents to $0.88 after the provider of wireless services said first quarter revenues fell 17.6% to $23.0 million from $27.9 million a year ago. Net loss in the quarter was $4.0 million or 16 cents per diluted share compared to net loss of $0.5 million or 2 cents per share a year ago.

CIT Group Inc ((CIT)) plunged 32.2% or 48 cents to $1.37 after the U.S. government support looks increasingly unlikely. Fitch also downgraded the long term debt rating.

Chevron Corporation ((CVX)) dropped 3.0% or $1.80 to $61.28 after the energy producer reported in its interim update that upstream earnings for the second quarter 2009 compared with the first quarter are expected to benefit from an increase in prices for crude oil largely offset by substantial unfavorable foreign currency effects.

DryShips Inc ((DRYS)) fell 3.4% or 18 cents to $5.08 after the company whose ships carry raw commodities including iron ore and coal said that it has entered into an agreement to acquire the remaining 25% of the total issued and outstanding capital stock of Primelead Shareholders Inc.

The consideration to be paid for the 25% interest in Primelead consists of a one-time $50.0 million cash payment on closing of the transaction and the issuance of $280.0 million face value of convertible preferred stock.

FCStone Group, Inc ((FCSX)) added 3.0% or 10 cents to $3.92 after the commodity risk management firm said third quarter revenues fell 31.2% to $57.5 million from $83.6 million a year ago. Net loss in the quarter was $8.1 million or 29 cents per diluted share compared to net income of $8.0 million or 28 cents per share a year ago.

Infosys Technologies Limited ((INFY)) rose 3.7% or $1.30 to $35.79 after the India’s second largest software services exporter reported first quarter sales fell 3.4% to $1.12 billion from $1.16 billion a year ago. Net income for the quarter rose 1.6% to $313 million or 55 cents per diluted share compared to net income of $308 million or 54 cents per share a year ago. Earnings in rupees according to Indian GAAP increased 16.3%.

Cognizant Solutions ((CTSH)) edged higher after the earnings from Infosys.

Lawson Software, Inc ((LWSN)) declined 5.5% or 30 cents to $5.10 after the software company said fourth quarter revenues fell 20% to $186.2 million from $233 million a year ago. Net income in the quarter rose 165% to $9.8 million or 6 cents per diluted share compared to net income of $3.7 million or 2 cents per share a year ago.

Memc Electronic Materials Inc ((WFR)) climbed 4.2% or 69 cents to $16.82 after the maker of silicon wafers for solar modules and semiconductors was upgraded to “buy” from “hold” at Citigroup Inc.

OPNET Technologies, Inc ((OPNT)) fell 3.0% or 27 cents to $8.47 after the management software maker said that based on preliminary estimates it expects revenues for the first fiscal quarter ended June 30, 2009, to be in the range of $27.5 to $27.8 million compared to its guidance range of $29.0 to $31.0 million.

Based on these preliminary estimates, loss per share for the first quarter of fiscal 2010 are expected to be between 3 cents and 2 cents compared to guidance of 1 cent loss to 5 cents a share profit.

PriceSmart, Inc ((PSMT)) plunged 11.8% or $2.21 to $16.45 after the warehouse club operator reported third quarter sales rose 8% to $306.5 million from $283.7 million a year ago. Net profit for the quarter fell 18% to $8.7 million or 30 cents per diluted share compared to net profit of $10.6 million or 36 cents per share a year ago.

Rigel Pharmaceuticals, Inc ((RIGL)) gained 6.9% or 91 cents to $13.87 after the drugmaker was upgraded from “neutral” to “outperform” at Boenning & Scattergood.

The Shaw Group Inc ((SGR)) fell 6.3% or $1.67 to $24.49 after the engineering and construction firm said third quarter revenues rose 2.2% to $1.85 billion from $1.81 billion a year ago. Net income in the quarter fell 85% to $7.9 million or 9 cents per diluted share compared to net income of $52 million or 62 cents per share a year ago.

Sunoco, Inc ((SUN)) dropped 2.3% or 51 cents to $21.79 after the crude oil refiner said that an internal investigation into the bidding for a crude oil processing transaction has determined that four employees within its crude oil supply product trading and wholesale distribution organization violated company policy.

Susquehanna Bancshares, Inc ((SUSQ)) dropped 7.2% or 34 cents to $4.20 after the lender that second quarter 2009 diluted earnings per common share will be below market expectations. Susquehanna expects to release second quarter 2009 earnings on July 22, 2009.

Yahoo! Inc ((YHOO)) climbed 3.2% or 47 cents to $15.02 after the owner of the world’s second most used Internet search engine was upgraded to “market weight” from “underweight” at Thomas Weisel Partners.