- Retail: The sales decrease was attributable to a comparable store sales decline of 5.1% for the quarter.
- Comparable College store sales decreased 2.0% for the quarter.
- FY15 Guidance: For fiscal year 2015, the Company continues to expect both Retail comparable bookstore sales and Retail Core comparable bookstore sales to decline in the low-single digits. College comparable store sales are also expected to decline in the low-single digits. The Company expects full fiscal year EBITDA losses in the NOOK segment to decline versus the prior year.
- Nook Media Separation Update: Co continues to make progress on the separation of its Barnes & Noble Retail and NOOK Media businesses. In an effort to optimize the structure of the separation, the Company has been exploring various options and is in discussions (i) with its NOOK Media partners to potentially restructure existing agreements; and (ii) with potential third party partners. Such discussions could affect the structure and timing of the separation.
Gapping down In reaction to disappointing earnings/guidance: FRAN -11.7%, TITN -10.7%, FCEL -10.5%, PBY -7.1%, CNSI -5%, FUEL -2.4%, (announces CFO transition and reaffirms prior guidance for the 3Q14 and FY14 ), PTN -1%.
Other news: RADA -5.5% (following 130%+ surge higher following intraday earnings release), AVP -4.1% (announced resignation of CFO Kimberly Ross; Robert Loughran appointed acting CFO effective October 2, 2014), PF -3.7% (announced secondary offering of 15 mln shares of common stock by selling shareholders), DOC -2.6% (announced public offering of 9 mln shares of common stock; announces over $300 mln of commitments for new unsecured revolving credit facility), BKD -1.7% (announces public offering of 8,750,000 shares of common stock), BKD -1.7% (prices public offering of 8,955,223 shares of Common Stock at $33.50/share), TNET -1.3% (announced commencement of secondary public offering of 10,500,000 shares by stockholders), AKS -1.3% (still checking), WBAI -0.9% (late weakness on cautious Muddy Waters mention).
Analyst comments: LUV -1.1% (initiated with a Neutral at Credit Suisse), POT -1% (downgraded to Underperform from Mkt Perform at Cowen), MOS -0.8% (downgraded to Sector Perform from Outperform at RBC Capital Mkts), JBLU -0.7% (initiated with a Underperform at Credit Suisse), CVX -0.7% (downgraded to Underperform from Neutral at BofA/Merrill).
Gapping up In reaction to strong earnings/guidance: BURL +6.1%, CASY +4.1%, TPLM +3.4%, KFY +3%, HELI +2.2%, HDS +1.9%, CTLT +1.1%.
M&A news:BNNY +37.4% (to be acquired by General Mills (GIS) for $46 per share in cash), IPAS +36.8% (to explore strategic alternatives), GFIG +7.2% (BGC Partners (BGCP) announces intent to commence all cash tender offer to acquire GFI Group Shares for $5.25 Per Share).
Select BNNY peers showing strength: WWAV +5.5%, BDBD +4.5%, HAIN +3.8%.
Select Mad Money mentions trading higher: ATK +2%, NFLX +1.6%, LMT +1.1%, RTN +0.9%, SKX +0.5%.
Other news: MZOR +6.8% (receives China CFDA approval for its Renaissance Systems), IDTI +4.8% (working closely with Intel (INTC) on the development of wireless charging solutions), NVFY +3.8% (announces purchase order fulfilled with IKEA China), STKL +3.6% (will further expand its Modesto, California aseptic processing and packaging operation), GTAT +3.1% (ahead of Apple's product event - speculation as supplier), HSOL +2.6% (signs its second supply agreement with Baotou Shansheng New Energy for delivery of 50 MW of HSOL's PV modules), PRTS +2.2% (named Michael Yoshida Interim Chief Financial Officer; co has initiated a search for a new CFO), ABB +2.1% (announces $4 bln share repurchase), SGMS +1.9% (awarded three-year instant game contract extension with Colorado lottery), ADXS +1.5% (announces completion of an End-of-Phase 2 Meeting with the FDA for its lead Lm-LLO cancer immunotherapy), GLYC +1.1% (announced that data from preclinical studies demonstrating the in vivo efficacy of GMI-1051 will be presented), IMMR +1% (following late move higher on increased volume), MITK +1% (announced that it has agreed to end all pending litigation with Top Image Systems (TISA) andTIS America), JCP +1% (subsidiary commences underwritten public offering of $350 mln aggregate principal amount of senior unsecured notes), LPCN +0.9% (announces first patient dosed in Phase 1 study in pregnant women of LPCN 1107, potentially the first oral product for the prevention of preterm birth), AAPL +0.7% (trading higher in advance of product event).
Analyst comments: THLD +15% (initiated with a Buy at Cantor Fitzgerald), CTIC +9.7% (initiated with a Overweight at Piper Jaffray), ECYT +5.5% (initiated with a Buy at Cantor Fitzgerald), CEMP +4.2% (receives $10 mln milestone payment from Toyama Chemical Co), MACK +3.5% (initiated with a Buy at Cantor Fitzgerald ), MBLY +3.4% (hearing positive Morgan Stanley comments as catalyst), SYF +3.2% (initiated with a Overweight at JP Morgan and Morgan Stanley, among others), GCA +2.8% (upgraded to Buy at Stifel following MGAM purchase), LYG +2.3% (upgraded to Overweight from Neutral at HSBC Securities), MT +1.9% (upgraded to Outperform from Neutral at Credit Suisse), VRTU +1.7% (upgraded to Overweight from Neutral at JP Morgan), BCS +1.6% (upgraded to Overweight from Neutral at HSBC Securities), MDVN +1.4% (upgraded to Outperform from Mkt Perform at Bernstein), AMRI +1.3% (initiated with a Overweight at JP Morgan), DHI +1.2% (upgraded to Overweight from Neutral at JP Morgan)
BN 09/09 11:53 *`IMPORTANT TO MAKE SURE WE GET ACCESS TO LOCAL CONTENT' - RYAN
2014-09-09 11:53:36.664 GMT
--KRISTEN SCHWEIZER
-0- Sep/09/2014 11:53 GMT
Gapping up: IPAS +36.8%, BNNY +36.8%, THLD +9.3%, CTIC +9.3%, BDBD +4.5%, MITK +4.4%, MITK +4.4%, NVTL +4.3%, TPLM +4.3%, BURL +4%, CASY +3.5%, GTAT +3%, KFY +3%, ABB +2.9%, MBLY +2.8%, PRTS +2.2%, HELI +2.2%, SGMS +1.9%, LYG +1.9%, BCS +1.3%, GLYC +1.1%, IMMR +1%, LPCN +0.9%, CTLT +0.8%, RADA +0.5%
Gapping down: FCEL -10.1%, PBY -8.3%, DOC -4.9%, PF -4.1%, TNET -2.7%, FUEL -2.7%, AKS -2.4%, BKD -2.2%, BKD -2.2%, AVP -1.5%, RDS.A -1%, WBAI -0.9%, GPRO -0.5%