Ameriprise, Hoku, Nike Rise; Darden Falls

Mayank Mehta
30 Sep, 2009
New York City

Ameriprise surges after it agreed to acquire Columbia Asset Management from Bank of America for as much as $1.2 billon. CIT plunged 30% after it cited the possibility of bankruptcy filing. Darden Restaurants fell after quarterly sales declined. Hoku Scientific soared on China investment.

[R]12:30 PM New York – Ameriprise surges after it agreed to acquire Columbia Asset Management from Bank of America for as much as $1.2 billon. CIT plunged 30% after it cited the possibility of bankruptcy filing. Darden Restaurants fell after quarterly sales declined. Hoku Scientific surged on investment from a China based company.[/R]

Of the stocks in S&P 500 index, 189 increased, 301 declined and 10 were unchanged.

Darden Restaurants, Inc led the decliners in the S&P 500 index with a loss of 8.6% followed by losses in Moody’s Corporation of 5.1%, in E*TRADE Financial Corporation of 3.8%, in Tenet Healthcare Corporation of 2.9% and in The McGraw-Hill Companies, Inc of 2.8%.

Ameriprise Financial, Inc led gainers in the S&P 500 index with a rise of 13.5% followed by gains in Jabil Circuit, Inc 8.3%, in Nike, Inc of 7.1% and in Huntington Bancshares Incorporated of 3.6%.

Other Movers

Ameriprise Financial, Inc ((AMP)) surged 10.4% or $3.37 to $35.60 after the asset manager agreed to acquire the long-term asset management business of Columbia Management from Bank of America for as much as $1.2 billion in cash. The deal does not include money market funds that total $120 billion in assets.

Actuant Corporation ((ATU)) fell 2.9% or 44 cents to $14.73 after the manufacturer of industrial products and systems reported fourth quarter sales fell 26.3% to $290.1 million from $393.5 million a year ago. Net income in the quarter fell 52% to $16.5 million or 24 cents per diluted share compared to net income of $34.2 million or 54 cents per share a year ago.

Allscripts-Misys Healthcare Solutions, Inc ((MDRX)) added 2.2% or 43 cents to $19.39 after the electronic health records maker said first quarter revenues rose 77.7% to $164.9 million from $92.8 million a year ago. Net income in the quarter rose 139% to $12.9 million or 9 cents per diluted share compared to net income of $5.4 million or 6 cents per share a year ago.

Darden Restaurants, Inc ((DRI)) decreased 6.1% or $2.21 to $33.94 after the restaurant company said first quarter sales fell 2% to $1.73 billion from $1.77 billion a year ago. Net income in the quarter rose 15% to $94.3 million or 67 cents per diluted share compared to net income of $82.1 million or 58 cents per share a year ago.

Emergent BioSolutions Inc ((EBS)) fell 2.9% or 53 cents to $17.20 after the maker of the only anthrax vaccine was awarded a cooperative agreement from the National Institute of Allergy and Infectious Diseases, part of the National Institutes of Health to further the development of one of Emergent’s advanced anthrax vaccine candidates known as dmPA7909.

Hoku Scientific, Inc ((HOKU)) surged 81.0% or $1.73 to $3.98 the fuel cell maker agreed a financing arrangement with Tianwei and debt financing by Tianwei and China Construction Bank for the construction and development of Hoku''s polysilicon production facility in Pocatello, Idaho.

Huntington Bancshares Incorporated ((HBAN)) added 4.5% or 18 cents to $4.58 after the Midwest based bank was upgraded to “buy” from “hold” at Deutsche Bank.

Jabil Circuit, Inc ((JBL)) advanced 7.4% or 92 cents to $13.20 after the electronics parts maker said fourth quarter revenues fell 14% to $2.8 billion from $3.26 billion a year ago. Net income in the quarter fell 90.4% to $5.5 million or 3 cents per diluted share compared to net income of $57.5 million or 28 cents per share a year ago.

Landec Corporation ((LNDC)) fell 4.0% or 27 cents to $6.33 after the maker of agricultural and food packaging products said first quarter revenues fell 15% to $60.9 million from $71.8 million a year ago. Net income in the quarter fell 23% to $2.18 million or 8 cents per diluted share compared to net income of $2.84 million or 11 cents per share a year ago.

Micron Technology, Inc ((MU)) dropped 0.9% or 8 cents to $8.32 after the semiconductor maker said fourth quarter sales fell 10.3% to $1.30 billion from $1.45 billion a year ago. Net loss in the quarter was $88 million or 10 cents per diluted share compared to net loss of $344 million or 45 cents per share a year ago.

Nike, Inc ((NKE)) rose 4.8% or $2.91 to $63.00 after the athletic shoe and clothing company said first quarter revenues fell 11.6% to $4.8 billion from $5.43 billion a year ago. Net income in the quarter rose 0.5% to $513 million or $1.04 per diluted share compared to net income of $510.5 million or $1.03 cents per share a year ago.

Omnova Solutions Inc ((OMN)) added 1.1% or 6 cents to $5.10 after the provider of emulsion polymers said third quarter sales fell 22.3% to $186.1 million from $239.5 million a year ago. Net income in the quarter rose 226% to $10.1 million or 23 cents per diluted share compared to net income of $3.1 million or 7 cents per share a year ago.

Separately the drug maker and Bayer said that their anti-breast cancer drug Nexavar failed to slow the progression of the diseases in the second of four studies.

PetroChina Company Limited ((PTR)) fell 2.7% or $3.17 to $112.00.

Sealy Corporation ((ZZ)) increased 8.3% or 29 cents to $3.75 after the mattress maker said third quarter sales fell 13.7% to $349.6 million from $405 million a year ago. Net income in the quarter rose 10% to $12.1 million or 5 cents per diluted share compared to net income of $11 million or 12 cents per share a year ago.

Saks Incorporated ((SKS)) dropped 6.5% or 47 cents to $6.70 after the luxury retail chain filed to raise $100 million in shelf registration to lower debt.

Worthington Industries, Inc ((WOR)) fell 1.7% or 28 cents to $15.56 after the metal processor said first quarter sales fell 54.3% to $417.5 million from $913.2 million a year ago. Net income in the quarter fell 90.3% to $6.7 million or 8 cents per diluted share compared to net income of $68.6 million or 86 cents per share a year ago.