) to outperform from strong buy.
Metro One Telecommunications (MTON
) says it will discontinue service for Cingular Wireless in the states of California, Nevada and Washington. RBC Capital downgraded to sector perform from outperform. S&P keeps avoid.
Baird downgraded Flowserve (FLS
) to underperform from outperform.
) sees $2.22-$2.32 pro forma 2002 EPS (excluding a gain on the exchange of Immunex stock for Amgen shares, and a litigation charge). Banc of America downgraded to market perform.
Salomon downgraded Chubb (CB
) to underperform after the CFO resigned to assume the top post at Allegheny.
) says third quarter same store sales are tracking within 3%-5% guidance and is comfortable with the upper end of the $0.39-$0.40 third quarter EPS guidance, and $1.74-$1.75 for fiscal 2003. Lowe's expects to increase EPS by 19%-20% annually over the next two years.
Procter & Gamble (PG
) says it is comfortable with first quarter fiscal 2003 EPS sales growth guidance. CIBC World initiated with sector outperform.
Philip Morris (MO
) cut its 2002 earnings per share growth guidance to 3%-5% due to lower than anticipated volume and additional promotional spending at Philip Morris U.S.A. The tobacco manufacturer sees $1.26 third quarter earnings per share.
SBC Communications (SBC
) plans to cut its workforce by another 11,000 and reduce capital expenditures in response to a continued weak economy and outmoded regulation that could threaten the future viability of its telecom networks. S&P downgraded.
Callaway Golf (ELY
) sees lower than expected $0.13-$0.15 third quarter earnings per share on revenue of $155M-$160M, citing general softening in its golf equipment business.
) sees a $0.05-$0.10 third quarter loss, excluding special charges, on a 5%-8% sequential revenue decline.
Lehman downgraded General Electric (GE
) to equalweight, and cut its price target to $35. S&P reiterates hold.
Children's Place (PLCE
) says September same store sales declined 30% month-to-date, and 22% quarter-to-date vs. last year. The retailer sees a breakeven third quarter, and does not expect to meet the Street's fourth quarter estimates.
New Century Financial (NCEN
) reaffirmed the $1.95 third quarter earnings per share forecast, and sees fourth quarter equal to or better than the third quarter's. The company raised its $6.35-$6.55 2002 earnings per share forecast to $6.75-$6.85.
Rent A Center (RCII
) expects to exceed the high end of its previously announced third quarter guidance of $1.10 by about $0.02, citing stronger than expected revenues and cost controls.