M&A news: BUD +2.8% (Anheuser-Busch InBev announced that an agreement has been entered into whereby AB InBev will reacquire Oriental Brewery from KKR and Affinity for $5.8 billion).
Select metals/mining stocks trading higher: GOLD +5.3% (reports Kibali meets its goals and more), ABX +2.8%, GG +2.1% ( awaits filing of Osisko's Directors' circular), AU +2.1%.
Select oil/gas related names showing strength: SNP +5.5% (China Petroleum (Sinopec) disclosed that Sinopec Group (SHI) increased its shareholding by way of acquiring 173,248,859 A shares on the secondary market as of January 17 2014), SSN +4.6% (provides its weekly operational advisory), SDRL +0.9% (Seadrill unit North Atlantic Drilling offers $600 mln of Unsecured Senior Notes due 2019), RDS.A +0.8% (Royal Dutch Shell announces sale of Wheatstone LNG stake in Australia), TOT +0.7%, SLB +0.7% ( upgraded to Outperform from Neutral at Credit Suisse) .
A few India related names are trading higher: SIFY +3.4%, IBN +2.8%, TTM +2.7%
Other news: YRCW +19.5% (YRC Worldwide and IBT reach tentative agreement on revised proposal), GALT +11.7% (Preclinical Study Demonstrates Effect of Galectin Inhibitor on Serum Biomarker in Fatty Liver Disease With Fibrosis), WPCS +8.3% (updates Bitcoin platform rollout plan; says 'we are formalizing our plans and undertaking several initiatives to launch and begin monetizing this exciting opportunity'), AFFX +6.4% (Affymetrix receives FDA clearance of first-of-its-kind postnatal test for developmental delays and intellectual disabilities in children ), BBRY +6.3% (BlackBerry smartphones will be on 98% of DoD networks, according to reports), PSTI +6.1% (Pluristem Therapeutics' Phase I/II Muscle Injury Trial successfully meets primary safety & efficacy endpoints), PPHM+5.8% (still checking), CYTR +5.8% (Receives FDA Approval to Extend Aldoxorubicin Dosing Cycles until Disease Progression in Upcoming Pivotal, Global Phase 3 Trial for Soft Tissue Sarcomas), IRBT +3.4% (following positive mention on Mad Money), CAMT +3.3% (rebounding from Friday's afternoon decline), NQ +3.1% (Altimeter Capital filed amended 13G), TMUS +3% (Deutsche Telekom has recovered value of TMobile investment, according to reports ), AMD +2.9% (still checking), AZN +2% (still checking), CTIC +2.2% (off premkt highs; still checking for catalyst), CLSN +2% (Initiates Development Program for Glioblastoma Brain Tumors with ThermoDox and HIFU), TS +1.9% (still checking), ASML +1.7% (still checking), NUS +1.1% (Nu Skin confirms its existing sales force will continue to sell products to new and existing customers in China), ACT +0.6% (confirms court upholds Lo Loestrin Fe patent), AMZN +0.6% (e-commerce head to leave the company, according to reports), MA +0.4% (Fed Defends decision to cap swipe fees), IBM +0.4% (speculation that Lenovo may be interested in server unit).
Analyst comments: SRPT +6.4% (upgraded to Buy from Hold at Needham), LUX +6.1% (upgraded to Buy at Deutsche Bank), PLUG +3.4% (Plug Power initiated with an Outperform at Cowen), AA +2.6% (upgraded to Overweight from Neutral at JPMorgan), CCJ +2.5% (upgraded to Buy from Hold at TD Securities), CENX +2.5% (upgraded to Overweight from Underweight at JPMorgan), IQNT+2.3% ( upgraded to Outperform from Mkt Perform at Raymond James), BSX +1.4% (Boston Scientific upgraded to Overweight from Neutral at Piper Jaffray), STX +1.1% (upgraded to Overweight from Equal Weight at Morgan Stanley)
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European Stocks ‘Strong,’ Strategas Lists 24 Favorite Stocks 2014-01-21 13:08:36.863 GMT
By Andrew Cinko Jan. 21 (Bloomberg) -- While S&P 500 remains “choppy” and percentage of S&P stocks below their 50-DMA continues to grow, European stocks are strong with Consumer Discretionary stocks far outpacing defensive Consumer Staples companies, writes Strategas technical analyst Chris Verrone in note. * European stocks at new highs is “very strong,” says expanding new highs “rarely” occurs near market tops * Lists top 24 European stocks: * ABB Ltd., Accor, Adecco, Akzo Nobel, Allianz, Atos, Aviva, AstraZeneca, Barratt Developments, BMW, Daimer, Deutsche Bourse, JCDecaux, Exor, Ferrovial, Geberit, ING Groep, Kaba Holding, Lafarge, Porsche, Renault, Swisscom, SEB, Zardoya
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Europe Equities Vulnerable for Short Set Back Into Mid Feb.: UBS 2014-01-21 13:03:16.22 GMT
By Francesca Cinelli Jan. 21 (Bloomberg) -- Europe overbought, Euro Stoxx 50 facing resistance by broken July bull trend line, technical analysts Michael Riesner and Marc Mueller say. * Say Europe vulnerable for short set back into mid Feb. before resuming underlying bull trend into summer * NOTE from Jan. 7 -- S&P 500, Stoxx 600 to undergo tactical correction in 1Q: UBS
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Co issues guidance for FY14, sees EPS of $5.75-5.85 vs. $5.85 Capital IQ Consensus.
"Johnson & Johnson delivered strong results in 2013 led by the outstanding performance in our Pharmaceutical business, the strength of key brands in our US OTC and other Consumer businesses and continued progress in integrating Synthes into our Medical Devices and Diagnostics business. We also advanced our longer term growth drivers, bringing innovative solutions to the global healthcare market and executing with excellence."
Delta's operating revenue improved 6%, or $474 million, in the December 2013 quarter compared to the December 2012 quarter. Traffic increased 2.0% on a 2.9% increase in capacity. Passenger revenue increased 6.1%, or $451 million, compared to the prior year period. Passenger unit revenue (PRASM) increased 3.0% year over year with a 4.0 percent improvement in yield. Cargo revenue decreased 1.0%, or $3 million, as higher freight volumes partially offset declining freight yields. Other revenue increased 2.8%, or $26 million, driven by higher SkyMiles revenue.
Q1 Guidance
Operating margin 6 -- 8% Fuel price, including taxes, settled hedges and refinery impact $2.97 - $3.02 Non-operating expense $235 - $250 million
1Q 2014 Forecast (compared to 1Q 2013) Consolidated unit costs -- excluding fuel expense and profit sharing Up 0.5 -- 1.5% System capacity Up 2 -- 3%
Wireless
- 8.0 percent year-over-year increase in service revenues in 4Q 2013;
- 7.5 percent year-over-year increase in retail service revenues;
- 29.5 percent operating income margin and 47.0 percent segment EBITDA margin on service revenues (non-GAAP).
- 1.7 million retail net additions, excluding acquisitions and adjustments;
- 1.6 million retail postpaid net additions;
- low retail postpaid churn of 0.96 percent;
- 102.8 million total retail connections, 96.8 million total retail postpaid connections.
- 6.4 percent year-over-year increase in consumer revenues;
- consumer ARPU (average revenue per user) up 10.8 percent year over year.
- 15.6 percent year-over-year increase in FiOS revenues;
- 126,000 FiOS Internet and 92,000 FiOS Video net additions, with continued increased sales penetration for both services.