Bloomberg News

Aruba Networks, F5, Gold Resource, RIM: U.S. Equity Movers

June 21, 2011

June 21 (Bloomberg) -- Shares of the following companies had unusual moves in U.S. trading. Stock symbols are in parentheses and prices are as of 4 p.m. in New York.

Aruba Networks Inc. (ARUN US) rose 9.1 percent, the most since April 13, to $26.74. Morgan Keegan said the wireless network builder would outperform the Standard & Poor’s 500 Index during the next 12 months and initiated a share-price estimate of $35, citing Aruba’s growing market share and prospects of being acquired.

Commercial Metals Co. (CMC US) jumped to 4.8 percent, the most since Sept. 1, to $14.29. The Texas-based steel recycler reported third-quarter profit of 32 cents a share excluding some items, beating the average analyst estimate by 58 percent, Bloomberg data show.

F5 Networks (FFIV US) increased 4.9 percent to $103 for the biggest gain since May 27. The software maker was rated “buy” at Sterne Agee, with a share-price estimate of $129. Sterne Agee cited growth potential in cloud computing, virtual desktop infrastructure and management of data traffic.

Gold Resource Corp. (GORO US) rallied 14 percent, the most since August 2009, to $27.69. The Colorado Springs, Colorado- based mining company said it added a sixth property of more than 100 square miles to its Oaxaca Mining Unit.

Monster Worldwide Inc. (MWW US), world’s largest online- recruiting company, jumped 7 percent to $14.37 for the biggest gain in the Standard & Poor’s 500 Index. Online job postings have started to accelerate in the past six weeks, said Douglas Arthur, an analyst at Evercore Partners Inc in New York. Dice Holdings Inc. (DHX US), another online provider of career services, climbed 6.7 percent to $12.70. Manpower Inc. (MAN US), which provides employment services in offices around the world, rose 3.2 percent to $54.61.

Motorola Mobility Holdings Inc. (MMI US) slipped 2.9 percent to $23.79 for the second-biggest decline in the S&P 500. The handset maker was cut to “underperform” from “outperform” by Kulbinder Garcha, an analyst at Credit Suisse Group AG who cited competition in the handset industry.

Nanosphere Inc. (NSPH US) plunged 26 percent to $1.64 for the biggest decline in the Russell 2000 Index. The maker of tests to diagnose diseases said it will provide additional data to the Food and Drug Administration for premarket approval of the Plavix metabolism test. The Northbrook, Illinois-based company said it sees a delay in plans to commercialize the product.

Research In Motion Ltd. (RIMM US) rose 10 percent, the most since December 2009, to $28.55. The maker of the Blackberry smartphone has become a takeover candidate, losing so much value that an acquirer could pay a 50 percent premium and still buy the company for a lower multiple than any other in the industry, Bloomberg News reported.

Sears Holdings Corp. (SHLD US) dropped 2.1 percent to $73.51 for the third-biggest decline in the Standard & Poor’s 500 Index. Fitch Ratings lowered its rating on the largest U.S. department-store chain to B from B+ with a negative outlook, citing “worse than expected” sales growth.

Sino-Forest Corp. (SNOFF US) plunged 29 percent to $1.97, the lowest price since June 2004. The Hong Kong-based tree- plantation owner fighting a short seller’s assertions of financial manipulation lost the support of its biggest shareholder after Paulson & Co. sold all of its stock.

Starwood Hotels & Resorts Worldwide, Inc. (HOT US) rose 3.6 percent, the most since May 26, to $54.06. The third-largest U.S. lodging company said it plans a $20 million advertising campaign to highlight the rebranding of its Sheraton Hotels.

SunPower Corp. (SPWRA US) jumped 5.4 percent, the most since April 29, to $17.27. The second-largest U.S. solar panel maker confirmed the success of an all-cash tender offer from France’s Total SA (FP FP). SunPower said Total now owns 60 percent of both its Class A and Class B shares.

Tower Bancorp Inc. (TOBC US) surged 32 percent, the biggest gain in the Russell 2000 Index, to $26.80. The Harrisburg, Pennsylvania-based bank holding company will be purchased by Susquehanna Bancshares Inc. (SUSQ US) for $28 per share or 3.47 shares of Susquehanna stock per share of Tower stock. The transaction is valued at $343 million and expected to be complete in the first quarter of 2012, the companies said. Susquehanna fell 7.7 percent to $7.70.

Walgreen Co. (WAG US) dropped 4.2 percent to $43.28 for the biggest retreat in the S&P 500. The largest U.S. drug-store chain said it would no longer be a part of Express Scripts Inc.’s (ESRX US) pharmacy network as of next year after unsuccessful contract negotiations. The company said Express Scripts’ contribution to sales should be more than $5 billion in fiscal 2011.

Whole Foods Market Inc. (WFM US) rose 6.2 percent, the most since Feb. 19, to $60.41. The largest U.S. natural-goods grocer said it expects to expand to as many as 1,000 stores in the U.S. and it may consider share buybacks.

Weatherford International Ltd. (WFT US) advanced 4.1 percent, the most since March 29, to $17.59. The oilfield- services and equipment provider agreed to pay BP Plc (BP US) $75 million to cover its liability for any current or future claims related to the Macondo oil spill. BP rose 3.7 percent to $43.40.

--With assistance from Inyoung Hwang, Lu Wang, Nikolaj Gammeltoft and Cecile Vannucci in New York. Editor: Stephen Kleege

To contact the reporter on this story: Victoria Stilwell in New York at vstilwell@bloomberg.net;

To contact the editor responsible for this story: Nick Baker at nbaker7@bloomberg.net


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