Before the bell: YUM, BSX, KBH, PHM, POT, SIRF ...

Posted Feb 5th 2008 8:25AM by Melly Alazraki
Filed under: Before the Bell, Earnings Reports, Analyst Upgrades and Downgrades, Apple Inc (AAPL), Boeing Co (BA), Boston Scientific (BSX), Yum Brands (YUM), KB HOME (KBH), Toll Brothers (TOL), Hasbro Inc (HAS), Potash Corp. of Saskatchewan (POT)

Yum Brands (NYSE: YUM) reported essentially flat fourth-quarter earnings of 44 cents per shares, beating analyst expectations by two pennies. Robust sales in its China and international divisions countered rising costs and a sluggish U.S. performance. Yum raised its 2008 earnings forecast, but not enough for investors to be satisfied. YUM shares fell over 2.2% in premarket trading.

Boston Scientific (NYSE: BSX) swung to a $458 million fourth-quarter loss, as the $27 billion acquisition of Guidant Corp. nearly two years ago continued to erode its bottom line and obscure an overall sales gain. Net loss for the October-December period equaled 31 cents per share, down from a profit of $277 million, or 19 cents per share the year before. Sales, though rose 4% to $2.15 billion. Excluding charges, Boston Scientific posted a profit of $355 million, or 24 cents per share.

Two unconfirmed reports: Engadget reports that Apple Inc. (NADSAQ: AAPL) may come up with a 16 GB iPhone soon. Staff at AT&T (NYSE: T) and O2 saw the phone listed in the inventory -- wishful thinking or the natural step up?
Meanwhile, MacRumors reports that employees have spotted new MacBook Pros in Best Buy's (NYSE: BBY) inventory tracking system.

Boeing Co. (NYSE: BA) said Tuesday it received an order worth about $150 million at list prices for two of its 737-800 jets from Romanian low-cost airline Blue Air Transport Aerian.

Some analyst calls:

Hasbro (NYSE: HAS) was upgraded at Banc of America from Neutral to Buy.
KB Home (NYSE: KBH) and Pulte Homes (NYSE: PHM) were both upgraded at BoA from Neutral to Buy while Toll Brothers (NYSE: TOL) was upgraded from Sell to Neutral. KBH shares are up over 3.3% in premarket trading, PHM's over 7.2%, and TOL over 1.1%.
Potash Corp. (NYSE: POT) was upgraded at Citigroup from Hold to Buy. POT shares are up nearly 1.6% in premarket trading.
SiRF Technology (NASDAQ: SIRF) received at least four downgrades after reporting sharply lower fourth-quarter profit that missed Wall Street expectations. Sales missed too. SIRF shares are down nearly 43% in premarket action.