Monday, May 28, 2012

Stocks to Watch: Stocks to watch Wednesday: JDA Software, Amazon

WASHINGTON (MarketWatch) � Among the stocks that could see active trade in Wednesday�s session are JDA Software Group Inc., Amazon.com Inc. and Unisys Corp.

Companies on Wednesday�s earnings calendar include Northrop Grumman Corp. NOC , Marathon Oil Corp. MRO and Marathon Petroleum Corp. MPC , IAC/InterActiveCorp IACI , AOL Corp. AOL , Electronic Arts Inc. EA , Qualcomm Inc. QCOM , Thermo Fisher Scientific Inc. TMO , ManpowerGroup MAN , Allstate Corp. ALL , Chipotle Mexican Grill Inc. CMG , Green Mountain Coffee Roasters Inc. GMCR , Las Vegas Sands Corp. LVS , Whirlpool Corp. WHR , Energizer Holdings Inc. ENR �and Tractor Supply Co. TSCO , among others.

Along with reporting fourth-quarter and 2011 financial results, JDA Software JDAS �disclosed that it�s received a request for information from the Securities and Exchange Commission. The agency�s inquiring into revenue recognition and other accounting and financial reporting matters for �certain past fiscal years,� the Scottsdale, Ariz.-based company said. JDA also said it�s �actively cooperating with the SEC and is committed to addressing any questions the SEC may have.�

Also late Tuesday, Broadcom Corp. BRCM �said its board approved an 11% increase in the quarterly cash dividend, to 10 cents a share, on both Class A and Class B common stock. The dividend will be paid March 5 to stockholders of record as of Feb. 17, the Irvine, Calif.-based company said. Broadcom reported fourth-quarter results as well. Read more on Broadcom�s results.

U.S. Silica Holdings Inc. SLCA �priced its initial public offering of common stock at $17 a share. Trading will begin in the shares on the New York Stock Exchange later Wednesday, the Frederick, Md.-based company said. The offering is for nearly 11.8 million shares, with U.S. Silica Holdings expecting to receive net proceeds of about $42.5 million. The lion�s share of the proceeds will be used to fund future capital expenditures, including the construction of a resin-coating facility. Selling stockholders are offering more than 8.8 million shares in the IPO, and underwriters have an option to buy up to nearly 1.8 million additional shares from one of the selling stockholders if investor demand warrants.

Tuesday earnings recap

Amazon.com AMZN �reported a fourth-quarter net profit of $177 million, or 38 cents a share, down from $416 million, or 91 cents, earned in the final three months of 2010. Quarterly revenue climbed to $17.43 billion from the prior year�s $12.95 billion for the Seattle-based online retailer. Analysts, on average, had been expecting Amazon to generate earnings of 17 cents a share on revenue of $18.3 billion, according to estimates compiled by FactSet Research. Management also pegged Amazon�s first-quarter revenue at $12 billion to $13.4 billion, as opposed to the consensus forecast of $13.4 billion, and set a range for operating results between a loss of $200 million and operating income of $100 million. Read more on Amazon�s shortfall.

Seagate Technology PLC STX �posted a profit of $563 million, or $1.28 a share, for the second quarter ended Dec. 30, up from $150 million, or 31 cents, earned in the same period during fiscal 2011. Quarterly revenue reached nearly $3.2 billion from $2.72 billion in the year-earlier period. Seagate�s profit on an adjusted basis would have been $1.32 a share for the latest quarter. The FactSet-derived consensus had been for the Cupertino, Calif.-based maker of hard-disk drives to earn $1.06 a share on $3.14 billion in revenue. Management also pegged revenue for the third quarter of fiscal 2012 at $4.3 billion, ahead of analysts� $4.26 billion consensus. Read more on Seagate.

Fortinet Inc. FTNT �posted fourth-quarter net income of $16.5 million, up from the prior year�s $16.1 million. Earnings per share were 10 cents for both reporting period. Quarterly revenue reached $120.9 million from $93.6 million. On an adjusted basis, Fortinet�s profit for the latest quarter would have come to 14 cents a share. Analysts� consensus for the Sunnyvale, Calif.-based network-security company had been for an adjusted profit of 12 cents a share on revenue of $116.5 million.

Unisys UIS �reported lower profit and revenue for the fourth quarter compared to the final three months of 2010. Quarterly profit from continuing operations came to $94.3 million, or $1.94 a share, and included a charge of $7.6 million before taxes related to debt reduction. In the year-earlier period, the Blue Bell, Pa-based company had income from continuing operations of $95.2 million, or $2.20 a share, excluding 9 cents a share from discontinued operations. Excluding debt-reduction charges, earnings on an adjusted basis would have been $2.08 a share for the latest quarter, the company said. Quarterly revenue dropped 6% to $985 million, with about half of the decline reflecting a lower contribution from the company�s federal business. Gross margin narrowed to 28.4% from 29.8%, largely a function of the lower federal revenue as well as a $9 million year-over-year increase in pension expense, according to Unisys.

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