Friday, May 11, 2012
Among the companies with shares expected to actively trade in Friday's session are J.P. Morgan Chase & Co. (JPM), McDermott International Inc. (MDR) and Brooks Automation Inc. (BRKS).
J.P. Morgan has taken $2 billion in trading losses in the past six weeks and could face an additional $1 billion in second-quarter losses due to market volatility, Chief Executive James Dimon said Thursday in a hastily arranged postclose conference call. Shares of the bank were off 6.7% at $38 after hours. The disclosure dragged down other financial heavyweights, including Citigroup Inc. (C), which fell 3.6% to $29.54; Morgan Stanley (MS), off 2.9% at $15.15 and Goldman Sachs Group Inc. (GS), down 2.3% at $103.85.
McDermott's first-quarter profit slid 11% due to lower activity in the Asia Pacific region, though cost controls helped the company sail past earnings expectations. Shares jumped 8% to $10.68 after hours on the stronger-than-expected profit.
Brooks Automation's fiscal second-quarter earnings slumped 64% amid weaker sales, though strong demand from the chip-equipment maker's life sciences business bolstered its margins. Shares jumped 11% to $11.88 after hours on the stronger-than-expected core profit.
Nordstrom Inc.'s (JWN) fiscal first-quarter earnings rose 2.8% as the high-end retailer's revenue strengthened, though margins narrowed and earnings missed expectations. Shares slid 5.1% to $50.81 after hours.
Darling International Inc.'s (DAR) first-quarter earnings fell 39% as lower raw material volumes and lower finished product prices weighed on the food recycler's results. Shares slumped 12% to $14.01 after hours.
Codexis Inc.'s (CDXS) first-quarter loss widened as the biotechnology company recorded higher expenses and flat revenue. Shares slipped 6.3% to $3.15 after hours.
Nuance Communications Inc.'s (NUAN) fiscal second-quarter profit fell 49% as greater expenses and a higher tax provision weighed on the speech-software company's bottom line, though revenue strengthened. Shares still fell 4.7% to $22 after hours.
Orexigen Therapeutics Inc.'s (OREX) first-quarter loss narrowed on fewer costs as the company said it is on schedule to start a clinical trial for its diet drug Contrave and said it completed Phase 2 clinical trials evaluating its other weight loss drug, Empatic. Shares were up 10% at $3.70 after hours.
Procera Networks Inc. (PKT) swung to a first-quarter profit as the technology company recorded stronger revenue and margins. Shares jumped 9.2% to $20.75 after hours as adjusted earnings sharply beat analyst expectations.
CA Inc.'s (CA) fiscal fourth-quarter earnings rose 12% as the business-software maker posted stronger revenue in all major segments, led by software fees. Shares rose 2.5% to $25.75 after hours.
MBIA Inc. (MBI) swung to a first-quarter profit as losses on derivatives continued to ease, though the insurer's core results worsened and earned premiums stagnated. Shares slipped 2.8% to $9.55 after hours.
Watchlist
Bond insurer Ambac Financial Group Inc. (ABKFQ) swung to a first-quarter profit as losses from the company's mortgage- and student-loan-related portfolios dropped.
Assured Guaranty Ltd. (AGO) swung to a first-quarter loss as derivatives losses widened and income from premiums slid, though the insurer's operating earnings still topped expectations.
BreitBurn Energy Partners LP (BBEP) signed two deals to acquire oil and gas properties in Texas' Permian Basin for about $220 million, building up its exposure to oil.
Cigna Corp. (CI) has agreed to acquire American Financial Group Inc.'s (AFG) Medicare supplement and critical-illness businesses for approximately $295 million in cash, as the managed-care company looks to expand its presence in the individual and seniors markets.
Express Scripts Holding Co. (ESRX) first-quarter earnings fell 18% as acquisition-related expenses weighed on the pharmacy-benefit manager's bottom-line, though revenue increased more than expected.
First-quarter earnings for Federal Agricultural Mortgage Corp. (AGM), commonly known as Farmer Mac, rose 20% as net interest income increased and credit quality continued to improve.
Home Inns & Hotels Management Inc. (HMIN) swung to a first-quarter loss as weak market conditions weighed on the Chinese hotel chain's occupancy rates and revenue per available room.
Standard & Poor's said it will add semiconductor equipment maker Lam Research Corp. (LRCX) to the S&P 500 index after it completes its acquisition of Novellus Systems Inc. (NVLS).
Liberty Global Inc.'s (LBTYA, LBTYB) swung to a first-quarter loss as the broadband and cable operator reported higher losses related to derivative instruments.
Polycom Inc. (PLCM) agreed to sell its cordless phone business to an affiliate of private-equity firm Sun Capital Partners Inc. for about $110 million in cash, shifting more of its focus to software.
Sotheby's (BID) swung to a first-quarter loss as the auctioneer posted higher expenses and weaker auction sales during the seasonally lighter period.
-Edited by Corrie Driebusch, Mia Lamar and Drew FitzGerald; write to andrew.fiztgerald@dowjones.com
(END) Dow Jones Newswires
May 11, 2012 06:10 ET (10:10 GMT)
