Priceline, HP, Zenith Rise; Advance Auto Falls

Mayank Mehta
18 Feb, 2010
New York City

Zenith National surges 31% after it received a buyout offer of $1.4 billion for the remainder stake from Fairfax Financial Holdings. Advance Auto Parts quarterly sales declined 4%. Wal-Mart net gained 22%. Hewlett-Packard earnings rise 25%. Priceline.com Inc surges 9% on the first quarter outlook.

[R]12:30 PM New York – Zenith National surges 31% after it received a buyout offer of $1.4 billion for the remainder stake from Fairfax Financial Holdings. Advance Auto Parts quarterly sales declined 4%. Wal-Mart net increased 22%. Hewlett-Packard earnings rise 25%. K-Swiss Inc posts narrower than expected fourth quarter loss.[/R]

Of the stocks in S&P 500 index, 260 increased, 233 declined and 7 were unchanged.

Nvidia Corporation led the decliners in the S&P 500 index with a loss of 7.4% followed by losses in O’Reilly Automotive, Inc of 7.0% and in NetApp, Inc of 5.1%, in Applied Materials, Inc of 4.0% and in Wynn Resorts, Limited of 2.3%.

Priceline.com Incorporated led gainers in the S&P 500 index with a rise of 8.2% followed by gains in Cliffs Natural Resources Inc 3.4%, in Hormel Foods Corporation of 3.3% and in Tenet Healthcare Corporation 3.0%.

Other Movers

Advance Auto Parts, Inc ((AAP)) decreased 6.0% or $2.61 to $40.27 after the retailer of automotive aftermarket parts said fourth quarter sales fell 4% to $1.14 billion from $1.19 billion a year ago. Net income in the quarter rose 41% to $34.4 million or 36 cents per diluted share compared to net income of $24.4 million or 26 cents per share a year ago.

Analog Devices, Inc ((ADI)) added 2.1% or 62 cents to $29.00 after the chip maker said first quarter sales rose 26.5% to $603.0 million from $476.6 million a year ago. Net income in the quarter rose 384% to $120.5 million or 40 cents per diluted share compared to net income of $24.9 million or 9 cents per share a year ago.

Arbitron Inc ((ARB)) added 1.8% or 47 cents to $25.37 after the media and marketing information services firm reported fourth quarter revenues rose 8.4% to $101.5 million from $93.6 million a year ago. Net income in the quarter rose 270.6% to $12.6 million or 47 cents per diluted share compared to net income of $3.4 million or 13 cents per share a year ago.

Avista Corporation ((AVA)) fell 0.2% or 4 cents to $20.32 an energy company reported fourth quarter revenues fell 10% to $403.3 million from $447.5 million a year ago. Net income in the quarter rose 26.3% to $22.1 million or 40 cents per diluted share compared to net income of $17.5 million or 32 cents per share a year ago.

Chesapeake Energy Corporation ((CHK)) dropped 0.8% or 23 cents to $26.13 after the producer of natural gas said fourth quarter revenues fell 25.5% to $2.22 billion from $2.98 billion a year ago. Net loss in the quarter was $530 million or 84 cents per diluted share compared to net loss of $1.0 billion or $1.74 per share a year ago.

Hewlett-Packard Company ((HPQ)) rose 1.3% or 68 cents to $50.12 after the computer and devices maker said first quarter revenues rose 8.3% to $31.2 billion from $28.8 billion a year ago. Net income in the quarter rose 24.7% to $2.32 billion or 96 cents per diluted share compared to net income of $1.86 billion or 75 cents per share a year ago.

Kinross Gold Corporation ((KGC)) fell 1.0% or 19 cents to $18.31 after the gold miner said fourth quarter sales rose 44.3% to $699.0 million from $484.4 million a year ago. Net income in the quarter was $235.6 million or 34 cents per diluted share compared to net loss of $968.8 million or $1.47 per share a year ago.

K-Swiss Inc ((KSWS)) dropped 0.2% or $9.73 an athletic-shoes maker reported fourth quarter revenues fell 21.5% to $42.0 million from $53.5 million a year ago. Net loss in the quarter was $12.5 million or 36 cents per diluted share compared to net loss of $13.7 million or 39 cents per share a year ago.

NetApp, Inc ((NTAP)) advanced 3.4% or $1.11 to $33.19 after the provider of storage and data management solutions said third quarter revenues rose 35.3% to $1.01 billion from $746.3 million a year ago. Net income in the quarter was $107.9 million or 30 cents per diluted share compared to net loss of $81.6 million or 25 cents per share a year ago.

Noble Energy, Inc ((NBL)) fell 2.5% or $1.97 to $74.47 an energy company reported fourth quarter revenues rose 32.6% to $760 million from $573 million a year ago. Net income in the quarter fell 97.4% to $8 million or 5 cents per diluted share compared to net income of $305 million or $1.72 per share a year ago.

Pool Corporation ((POOL)) closed unchanged at $20.99 after the distributor of swimming pool supplies, equipment and products reported fourth quarter sales fell 11% to $231.0 million from $259.0 million a year ago. Net loss in the quarter was $13.6 million or 28 cents per diluted share compared to net loss of $14.8 million or 31 cents per share a year ago.

Priceline.com Inc ((PCLN)) increased 9.3% to $233.09 after it reported fourth quarter net increased to $78.45 million or $1.55 a share compared to $34.15 million or 75 cents a share. The company estimated pro forma net income in the first quarter between $1.54 and $1.64 a share and GAAP earnings between $1.04 and $1.14 a share.

Pride International, Inc ((PDE)) rose 0.1% or 3 cents to $30.76 an offshore drilling contractor reported fourth quarter revenues fell 35.4% to $316.7 million from $490.2 million a year ago. Net loss in the quarter was $32.8 million or 19 cents per diluted share compared to net income of $234.7 million or $1.35 per share a year ago.

Reliance Steel & Aluminum Co ((RS)) dropped 3.4% or $1.53 to $43.00 after the metals service center company reported fourth quarter sales fell 40.7% to $1.27 billion from $2.14 billion a year ago. Net income in the quarter rose 39% to $92.1 million or $1.25 per diluted share compared to net income of $66.3 million or 90 cents per share a year ago.

School Specialty, Inc ((SCHS)) slipped 5.0% or $1.12 to $21.12 an education company reported third quarter revenues fell 15% to $103.1 million from $121.7 million a year ago. Net loss in the quarter was $18.5 million or 98 cents per diluted share compared to net loss of $23.4 million or $1.25 per share a year ago.

Wal-Mart Stores, Inc ((WMT)) fell 1.6% or 87 cents to $53.19 after the retailer reported fourth quarter sales rose 4.5% to $112.8 billion from $107.9 billion a year ago. Net income in the quarter rose 22% to $4.63 billion or $1.21 per diluted share compared to net income of $3.79 billion or 96 cents per share a year ago.

Comparable sales in the quarter declined 1.6%, more than 1% estimated by the company.

Zenith National Insurance Corp ((ZNT)) surged 30.6% or $8.86 to $37.7 after the Canadian insurer today announced that the company and Zenith have entered into a merger agreement pursuant to which Fairfax will acquire all of the outstanding shares of Zenith common stock, which it does not currently own for a value of $1.4 billion.