Plus more stocks making headlines in Thursday's market
From Standard & Poor's Equity ResearchCHINA TELECOM (CHA)
Up 3.21 to 79.60
The company and other Chinese telecom stocks seen higher after Chinese government approves plan that could lead to 3G network launch in China.
FEDERAL HOME LOAN (FRE)
Up 1.54 to 33.96
OFHEO classifies Freddie Mac and Fannie Mae (FNM) as adequately capitalized as of Sept. 30, 2007. OFHEO reports Fannie had a 5.9% surplus above the OFHEO-directed requirement, which is 30% above the required minimum capital, Freddie's surplus above the OFHEO-directed requirement was 1.7%.
CITIGROUP INC. (C)
Down 0.84 to 29.61
Goldman ups fourth-quarter subprime mortgage writedown estimates for Citi, Merrill Lynch (MER), and JPMorgan Chase (JPM). Goldman says it now assumes writedown of $18.7 billion for Citi (up from previous $11 billion estimate), $11.5 billion for Merrill (from $6 billion), and $3.4 billion for JPM (from $1.7 billion before). Goldman expects Citi to cut its dividend by 40% in 2008.
SLM CORP. (SLM)
Down 1.58 to 20.55
Says it is commencing concurrent public offerings of common stock and mandatory convertible preferred stock to raise a total of $2.5 billion of capital. The company intends to apply about $2 billion of the net proceeds from the proposed offerings to physically settle its outstanding equity forward purchase contract, pursuant to which it will effect the repurchase of 44,039,890 shares deliverable to SLM under the contract. S&P keeps its buy recommendation on the shares.
QIAO XING UNIVERSAL (XING)
Up 0.98 to 8.61
Expects net results for fourth-quarter to be positive and major indicators of financial performance for full-year 2007 to reach record highs. Notes its mobile phone business over the past three quarters has experienced rapid growth, financial performance of operations has improved considerably.
DOCUMENT SCIENCE (DOCX)
Up 6.20 to 14.43
Agrees to be acquired by EMC Corp. (EMC) in an $85 million deal. Terms: $14.75 cash for each DOCX share.
STERLING FINANCIAL (STSA)
Down 2.25 to 17.32
Due to increased charge for credit costs, a charge to prepay some high fixed rate trust preferred securities, and other charges, the company now sees 31-34 cents fourth-quarter EPS, and $1.84-$1.87 EPS for all of 2007.