Before the bell: Futures lower ahead of CPIMacy's (NYSE: M), which was forecast to report a loss of a penny a share in the first quarter, said the difficult retail environment hurt sales and it incurred costs from a restructuring. The loss came to $59 million, or 14 cents a share, compared with a profit of $36 million, or 8 cents a share, a year earlier. (As the numbers are quite fresh, it's possible they include one-time item not yet sorted out and not comparable to analyst expectations.)
John Deere (NYSE: DE) said its second-quarter profit rose 22%. Deere experienced increased demand for its farm equipment, as crop prices kept rising, posting an 18% increase in sales. Profit for the quarter jumped to $763.5 million, or $1.74 per share, a penny below analyst estimates. From premarket early action, it seems shares of DE might start much lower.
Freddie Mac (NYSE: FRE) also reported this morning, saying its first quarter loss widened to $151 million as the U.S. housing market worsened. Somehow, though, the results were not as poor as expected and FRE's loss of 66 cents a share beat estimates of a 92 cents a share loss. FRE's shares are up over 6% in premarket trading.
Still on earnings, last night Whole Foods (NASDAQ: WFMI) and Electronic Arts (NASDAQ: ERTS) reported results. Shares of WFMI are plunging nearly 9% in premarket trading as the organic grocery chain reported a worse-than-forecast 13% profit fall.
Electronic Arts (NASDAQ: ERTS) shares are also declining over 2.8% in premarket trading after the suitor of Take-Two Interactive (NASDAQ: TTWO) reported a widening quarterly loss and a disappointing outlook.
Yes, and Applied Materials (NASDAQ: AMAT) also reported lower earnings and revenue after the close Tuesday. New orders fell in the period, AMAT said, but still managed to beat analysts estimates. Most important, though, is that the maker of equipment for chip said it sees the end of the downturn.
In deal news, speculations are mounting that Pfizer Inc. (NYSE: PFE) may bid for MediGene AG, the German developer of the Endotag cancer drug. MediGene shares shot up 16% on the rumor.
BHP Billiton (NYSE: BHP) shares are rising in premarket trading also on bid speculation that China will take a stake in the world's largest miner. It's not clear yet how that will affect BHP's wish to takeover of Rio Tinto (NYSE: RTP).
The Guardian reports that chief executive of Telefónica Europe, which its O2 has a "multi-year" exclusive deal to sell the iPhone in the UK and Ireland said Apple Inc. (NASDAQ: AAPL)'s 3G version of the iPhone will be unveiled "in the coming weeks." Speculation is the reveal will be on June 9.
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Reader Comments (Page 1 of 1)
5-14-2008 @ 3:02PM
Kenneth said...
I think EA sales will always decline in the off season. Their sports games will always shoot up when basketball and football season comes around. http://satxxkenn.sitemighty.com/category/business-cards