>>> Good Year - Now see FY14 SOI slightly below prior +10-15% range due to chall

GT -2.8% pre market
ML trade down 60bps on the news and just back on level
CON didn't really moved
NRE1V traded down 30bps and back on level now



Now see FY14 SOI slightly below prior +10-15% range due to challenging Europe situation, global volumes flat - conf slides 
- Impact on Q4 earnings to be $0.15-0.20/shr, lower than prior expectations
- Expect free cash flow to be slightly better than anticipated at time of Q3 call; capital allocation plan remains on track
- In EMEA region, industry negatively impacted by warmer than expected winter that lasted through the quarter; one of the warmest on record
- Reiterates FY15 SOI +10-15% y/y, global volume +1-2% y/y, capex $1.2B, FX headwinds in FY15 to be similar to FY14

>>> US Gapping down

Gapping down
In reaction to disappointing earnings/guidance: ECOM -37.1%, BGFV -9.6%, WWW -6.7%, LMNR -4.6%, PHG -1.8%, DAN -1%

Select oil/gas related names showing early weakness: OXY -2%, SDRL -1.4%, RIG -1.4%, RIG -1.3%, BAS -1.3%, NOV -1.2%, SLB -1.1%, HAL -1.1%, EXH -0.8%.

Other news: ANW -10.2% (announced proposed offering of $40 mln of additional 4.00% convertible senior notes due 2018), ATRS -7.7% (received written recommendations from the FDA related to its clinical development program for QuickShot Testosterone), AUY -5.1% (announces C$260.2 mln equity financing; also dg at HSBC), AIV -2.3% (announced it has commenced a public offering of 8.2 mln shares of its common stock), BRX -2.3% (announced offering of 17.5 mln shares of common stock by selling stockholders), SFY -2.2% (announces a revised 2015 capital budget range of $100-125 mln; Eagle Ford wells update), HPP -2.1% (announced it has commenced a public offering of 9.5 mln shares of common stock), BURL -1.2% (announced offering of 12.5 mln shares of common stock by selling stockholders)

Analyst comments: JUNO -4.6% (initiated with a Neutral at Goldman; tgt $52), SNN -2% (downgraded to Neutral from Buy at UBS), MOS -1.5% (downgraded to Sector Underperform from Sector Perform at CIBC), CUZ -1.3% (downgraded to Neutral from Outperform at Robert W. Baird), CE -1.3% (downgraded to Neutral from Buy at Sun Trust Rbsn Humphrey), FE -0.7% (downgraded to Sell from Neutral at Goldman), ED -0.6% (downgraded to Sell at Evercore ISI), COST -0.5% (downgraded to Neutral from Buy at Goldman)

>>> US Gapping up

Gapping up
In reaction to strong earnings/guidance: BEBE +18.5%, PCYC +12.2%, HEAR +11.9%, ELX +11.9%, XENT +10.9%, CTIC +9.1%, SNX +5.7%, ZIXI +5.4%, HXL +4.1%, KGC +2.3%, AA +1.4%, AET +0.5%

Select Brazil related names showing strength: GOL +4.4%, GGB +3.9%, ABGB +3.7%, SID +3.5%, EBR +2.9%, ITUB +2.3%, VALE +2%, BSBR +1.9%

Select metals/mining stocks trading higher: AU +3.5%, AEM +2.7%, SLV +2.4%, GDX +1.5%, SLW +1.3%, ABX +1.3%, GG +0.9%

Other news: NLST +53.4% (Federal Court update; advanced trial date up 4 mos), BVX +19% (announced all J-Plasma disposable hand pieces as well as the Bovie Ultimate generator have received CE Mark approval), GEVO +18.7% (co has launched sales of renewable isobutanol to Brenntag Canada), MNGA +13.5% (cont momentum higher following yday's advance), RSH +10.3% (potential $500 mln loan from Salus Capital), TOPS +6% (co entered into a sale and leaseback agreement for two of its vessels: the M/T StenaWeco Energy and the M/T StenaWeco Evolution), PBR +4.4% (announces that total oil and natural gas production in December reached an average of 2.863 mln barrels of oil equivalent per day, representing the best result ever achieved in the history of the co), HXL +4.1% (co initiated a $0.10 per share quarterly dividend; co also provided guidance), AG +4% (production guidance update), RLH +3.7% (co entered into an agreement to sell its hotel in Bellevue, Wash. for $35.4 mln to an affiliate of Wig Properties), ARIA +3.2% (announces key strategic objectives for 2015 ), BLCM +3.1% (Baker Bros. Advisors disclosed 16.3% passive stake in 13G filing), AKS +2.4% (in symp with AA earnings)

Analyst comments: BBY +3% (upgraded to Buy from Neutral at Goldman), SONC +2.6% (upgraded to Overweight from Neutral at Piper Jaffray), SPWR +2.6% (upgraded to Outperform from Neutral at Credit Suisse), FCAU +1.9% (resumed with an Overweight at Barclays), AMZN +1.5% (upgraded to Buy from Neutral at Citigroup), ALK +1.4% (upgraded to Hold from Sell at Deutsche Bank), AAPL +1.3% (upgraded to Outperform from Neutral at Credit Suisse; tgt raised to $130 from $110), TKMR +1.3% (upgraded to Outperform from Mkt Perform at Leerink Partners), SWKS +1.1% (upgraded to Outperform from Market Perform at BMO Capital Markets)

>>> Oil (WTI) below $50 --> debt covenants issue. (exane Report from 17/12)

Let me know if you want the full report...but with Oil trading lower, thought will be interersting to have a view on covenants & Debt issue....M&A will not come if we don't see a reverse in the trend of oil ...I personally think that we are not very far from lows but that on an acceleration we can see some much lower levels...the $43 area is a zone where I will start to play oil.
We need few weeks of rebound to see more noise about less cut in capex etc etc...

All companies with debt could breach covenants at c.USD50/bbl Brent
We test a variety of scenarios from LT Brent of USD90/bbl down to USD50/bbl; we find that at low oil prices, every company with covenants (AFR, LUPE, MAU, PMO, TLW) is likely to breach them. However, these companies have some options that could help them weather the storm – Afren (down to U/P) is most exposed at USD50/bbl over 2015-17. We believe TLW could meet its covenants at a flat USD50/bbl oil price scenario until 2017 without cutting its dividend. The stocks most levered to oil prices are PMO & AFR; the least are Seplat, SOCO and Cairn.

* Nav Sensitivity to Oil Prices



* M&A in the Sector
M&A candidates? Could remain muted for now 
All of the stocks trade below asset value and therefore all are starting to screen as M&A candidates – however, the last oil price crash saw deals dry up for a few quarters until the oil price started to recover. With oil price collapsing, majors could seek to acquire material onshore shale exposure first rather than European E&P. Further, we believe that majors will be looking attentively at the upcoming Mexico licensing round
which offers tracts of acreage on trend with the US side of the Eagle Ford. Nevertheless, we believe that at these levels, the main driver will be low development costs and material volumes. Here we see Africa Oil and Tullow screening well on both volumes and valuation.

From the 17th of Dec. Prices are much lower now for few names...

>>> US Early premarket gappers



From: LAURENT CHEKROUN (MAKOR SECURITIES LLP) At: Jan 13 2015 13:29:17
Subject: >>> US Early premarket gappers
Early premarket gappers

Gapping up: BVX +19%, GEVO +18.7%, BEBE +18.5%, HEAR +11.9%, PCYC +11.1%, XENT +10.9%, PHMD +8.3%, TOPS +6%, CTIC +5.7%, SNX +5.7%, FRO +5.4%, HXL +4.1%, HXL +4.1%, RLH +3.7%, KITE +3%, AU +2.7%, AEM +2.7%, AMZN +2.4%, SPWR +2.2%, SLV +2.1%, AA +2%, BLCM +1.9%, STO +1.6%, BIIB +1.5%, GDX +1.5%, CCL +1.4%, SHPG +1.3%,AZN +1.3%, MBLY +1.3%, AAPL +1.2%, SLW +1.2%, KGC +1.2%, BCS +1.1%, ABX +1.1%, GG +0.9%, HMY +0.7%

Gapping down: ECOM -30.3%, ANW -10.2%, BGFV -8.2%, WWW -6.7%, LMNR -4.6%, AUY -4%, JUNO -3.7%, OXY -3.1%, SNN -2.5%, AIV -2.2%, HPP -2.1%, RIG -1.7%, BRX -1.3%, NOV -1.2%, MT -1.1%, RIO -0.9%, BAS -0.9%, BURL -0.7%, SLB -0.6%

>>> US Early premarket gappers

Early premarket gappers

Gapping up: BVX +19%, GEVO +18.7%, BEBE +18.5%, HEAR +11.9%, PCYC +11.1%, XENT +10.9%, PHMD +8.3%, TOPS +6%, CTIC +5.7%, SNX +5.7%, FRO +5.4%, HXL +4.1%, HXL +4.1%, RLH +3.7%, KITE +3%, AU +2.7%, AEM +2.7%, AMZN +2.4%, SPWR +2.2%, SLV +2.1%, AA +2%, BLCM +1.9%, STO +1.6%, BIIB +1.5%, GDX +1.5%, CCL +1.4%, SHPG +1.3%,AZN +1.3%, MBLY +1.3%, AAPL +1.2%, SLW +1.2%, KGC +1.2%, BCS +1.1%, ABX +1.1%, GG +0.9%, HMY +0.7%

Gapping down: ECOM -30.3%, ANW -10.2%, BGFV -8.2%, WWW -6.7%, LMNR -4.6%, AUY -4%, JUNO -3.7%, OXY -3.1%, SNN -2.5%, AIV -2.2%, HPP -2.1%, RIG -1.7%, BRX -1.3%, NOV -1.2%, MT -1.1%, RIO -0.9%, BAS -0.9%, BURL -0.7%, SLB -0.6%


Read more: http://www.briefing.com/InPlayEq/InPlay/InPlayDual.htm#ixzz3Ohhs4k00

>>> Mota- Engil - +10% on Santander initiation - €2.62 target €4.60 +77%

--> Interesting Report, I stronlgly Believe this stock is a strong Buy, have a look to this report attached. Big exposure to the Africa...Infrastructure...
the stock is not very well covered with only Credit Suisse Covering, i will send you the report in the new few minutes.
have a look
Laurent


Mota Engil - Ready for the new Emerging Markets

* We reinitiate coverage of Mota-Engil with a Buy rating.
Mota is among the few Engineering and Construction (E&C) players with a deep know-how and successful track record in the next emerging market: Sub-Saharan Africa (67% of 2013 EBITDA). This should translate into several growth opportunities given the region’s infrastructure deficit: construction spending is expected to post a 9% 2008-20E CAGR and Mota should grow by a 7.5% 2013-18E CAGR. Mota holds a 80% stake in its listed African subsidiary –Mota-Engil Africa (MEAFR).

* But Mota is not only Africa, it is also LatAm (9% of EBITDA) and Europe (mainly Portugal and Poland). 
With recent awards LatAm (mostly Mexico) has gained significant weight in the backlog (46% of the total). Mota’s backlog reached an historical peak in 9M14 of €4.4bn and the company repeated a maximum orderbook measured in months (22). Mota’s backlog increased by 19% YoY in 9M14, indicating solid growth for 2015E.

* Despite backlog growth, we expect 2015E to be a tough year:+6% and +1% sales and EBITDA growth respectively. Our
cautious stance is based on a deceleration in MEAFR due to weaker activity in Angola. Angola is MEAFR’s main sales contributor (c16% of the backlog) and should face a sharp slowdown as the fall in crude oil prices reduces infrastructure investment (oil rents account for 41%-43% of GDP).

* Mota’s share price has collapsed (-60%) since it reached its 5-year peak of €6.0/sh in July 2014. This performance was mostly explained by: (1) the cancellation of the MEAFR IPO (it is now listed but with only a 6% free-float) due to the bankruptcy of BES, leading to foreign investors fleeing from Portuguese stocks; (2) poor cash-flow generation in 9M14 due to strong investment in Working Capital; and (3) the recent plunge in oil prices.

* We believe that the current share price already partly discounts a recession in Angola and see the stock as deeply
undervalued when considering our YE15 TP of €4.60/sh and the implicit reference price for Mota, ie, €3.58/sh, when using the MEAFR’s current stock price.

WSJ :Boeing to Exit Commercial Cybersecurity Business

Boeing to Exit Commercial Cybersecurity Business
Symantec Acquires Staff, Technology Licenses From Boeing’s Narus Unit

Symantec Corp. is expanding its presence in the battle against corporate hackers through a deal with Boeing Co. , after the aerospace-and-defense giant found it tough to win commercial deals in the fast-growing cybersecurity business.

Boeing and other defense contractors such as Lockheed Martin Corp. expanded their cyber offerings through dozens of small acquisitions over the past four years, aiming to leverage their prowess in protecting the Pentagon and their own servers through deals with banks, retailers and others being targeted by cyber thieves.

Symantec on Monday said it had acquired staff and technology licenses from the Narus Inc. business Boeing bought four years ago, hoping to use Narus’s Internet-filtering technology to win commercial deals. Terms of the deal weren’t disclosed.

“That just didn’t materialize the way we thought it was going to,” said Dewey Houck, vice president and general manager of Boeing’s Electronic & Information Solutions division.

For Symantec, best known for its Norton Antivirus software, the deal is part of an effort to reinvent itself in a crowded and fragmented industry tackling a surge in high-profile breaches suffered by banks such as J.P. Morgan Chase & Co. and retailers including Target Corp.

Norton works like an immune system to block previously seen attacks. But Symantec acknowledges that antivirus programs are less effective against novel attacks.

Narus specializes in Internet-filtering software for intelligence agencies. The Wall Street Journal in 2013 reported that Narus developed technology used by the National Security Agency’s surveillance systems.

Symantec Chief Technology Officer Amit Mital said the Narus engineers will examine Symantec’s four-trillion-row database of computer threats to develop better algorithms to spot skilled hackers. “People with these skills are very, very hard to find,” Mr. Mital said.

Symantec shares have risen more than 35% since it fired its second chief executive in as many years, Steve Bennett, last March. Since then it has promised new products and said in October it would split into two firms—one for computer security and one for data storage.

Boeing bought Narus, which then employed 150, in 2010, one of several acquisitions in its push into cybersecurity. But executives had indicated in recent months that commercial markets were proving tough to crack.

Symantec said it interviewed more than 100 people from Narus and ultimately hired about 65.

Boeing’s planned exit from part of its commercial cybersecurity business is the first since Chris Chadwick took over as head of its defense and space business a year ago and launched an internal restructuring. Boeing officials said the company will focus its cybersecurity efforts on military and government customers and protecting its own network.

Lockheed Martin has been the most optimistic among peers about commercial cyber opportunities, and last year bought Massachusetts-based Industrial Defender, which specializes in protecting critical infrastructure against cyberattacks. Lockheed has said its cyber business generates sales of around $1 billion a year, though it doesn’t break this down between military and commercial clients.

Chandra McMahon, vice president of commercial markets at Lockheed Martin, said commercial work remained one of its fastest-growing cyber businesses.

She said Lockheed had found synergies between government work and infrastructure, healthcare, chemicals and financial-services clients.

>>> Bayer to focus on internal pipeline in animal health --> -ve for Zoeltis



From: LAURENT CHEKROUN (MAKOR SECURITIES LLP) At: Jan 13 2015 11:55:23
Subject: >>> Bayer to focus on internal pipeline in animal health --> -ve for Zoeltis
Bayer to focus on internal pipeline in animal health - Healthcare CEO 

Bayer AG does not need to gain scale to grow its animal health business and thus is focusing on its internal pipeline, said Healthcare CEO Olivier Brandicourt.

Brandicourt, speaking at the JP Morgan Healthcare conference, said that animal health is "not a critical mass type of business," unlike its over-the-counter business, for which Bayer bought Merck & Co's OTC unit for USD 14.2bn in 2014.

There has been speculation of Bayer as a possible bidder for top animal healthcare company Zoetis, which was spun off from Pfizer and has a market capitalization of USD 22.2bn.

Asked about the spin-off of its Material Sciences unit, Brandicourt said that Bayer would still prefer to IPO the unit. Both Brandicourt and investor relations manager Jürgen Beunink declined to comment on the timing of the IPO when asked by this news service. Media reports had said that Bayer was also exploring a sale of the unit.

Proceeds from the IPO of the Material Sciences unit could be used for bolt-on acquisitions, though Bayer will still focus on paying down debt, largely generated from the acquisitions of Merck's OTC business, said Brandicourt. The scale of bolt-on acquisitions can be gauged from its purchase of Algeta in 2013, which came to USD 2.9bn.

Brandicourt also declined to comment about the auction process to sell its diabetes unit. But he admitted that the unit had come under pressure, losing 70% of its reimbursement in the US. The unit is now doing "slightly better" but diabetes remains a tough area for Bayer.

Bayer has reportedly mandated Credit Suisse to explore a sale of the unit. This news service previously reported that it failed to attract solid interest, with KKR as the only feasible bidder.