- Hyatt Hotels (H) and Hospitality Properties (HPT) to outperform from neutral at RW Baird.
- AB InBev (BUD) to buy from neutral at Goldman.
- Amerisafe (AMSF) to buy from hold at Wunderlich.
- Northrop Grumman (NOC) to sector perform from underperform at RBC Capital.
- China Lodging Group (HTHT) to buy from hold at Brean Murray and to buy from neutral at Roth Capital.
Teams have been preparing their game plans and it's time to see which of the 60 teams will win. No, not the Packers or Steelers -- Go Pack! -- but PepsiCo (PEP), Anheuser-Busch (BUD), General Motors (GM) and all the other companies competing for the best spots in one of TV's most expensive marketing moments, costing an estimated $3 million dollars per 30 second spot.
For those not into football, the ads in the Super Bowl game can be more amusing than the game itself as advertising teams compete for attention, show their best efforts and even get rated by numerous online sites. Last year, Doritos (owned by PepsiCo), and E-Trade (ETFC) did well, and Anheuser-Busch seems to always have a Clydesdale horse in the running.
Here were today's unofficial closing bell levels:
Dow Jones 10,009.73 -140.92 (-1.39%)
S&P 500 1,048.92 -15.67 (-1.47%)
Nasdaq 2,119.97 -33.66 (-1.56%)
Watch the following short video to see why these stocks should sizzle over the summer.
In fact, Independence Day is one of the biggest days of the year for the beer, soft drink and snack food industries.
So, I am not much of a soccer fan. I far prefer football to soccer (you know, having played and coached football). That said, I was sucked into the World Cup thanks to national pride. I watched the U.S. lose to Ghana and beat Algeria; but I also watched the referee blow a call against Slovenia, forcing the game into a tie.
I said, I am not a huge soccer fan; but it sure seems that this World Cup is fraught with refereeing problems.
In the business world, there's rarely a thing as growing too big. But unfortunately for Sam Adams brewer Boston Beer (SAM), the price of success could be higher costs and the loss of its label as an "artisan" craft beer.
That's not to say a cold bottle of Sam Adams Summer Ale will taste any different to consumers. But according to the Brewers Association, "artisan" brewers include small outfits that put out less than two million barrels of suds a year. That means the brewer that almost single-handedly sparked interest in smaller batch brews with more flavor could be pushed into the same category as the big beer vendors like Anheuser Buch Inbev (BUD) and Molson Coors (TAP).
Though by some estimates, consumer spending has topped its 2008 peak (really!) there is no denying that many businesses are still offering rock-bottom prices to lure shoppers out of their shells. You can now add convenience store chain 7-Eleven to the list.
The company just announced that it will be offering a lower-priced private label beer in an effort to connect with Americans looking for a cold brew this summer. The label is called "Game Day," and will be produced by City Brewing of Wisconsin -- a facility that joined up with Boston Beer (SAM) in 2007 to craft its flagship Sam Adams lager.
The closing price for the stock on Tuesday April 6 was $42.89. The 52-week high of $51.33 was reached mid October 2009 -- six months ago. At a time when many stocks are at or near their 52-weeks highs, TAP is trading at a 20% discount.
July 14 -- Dow 11,055 (down 45 points); trading range, 327 points
The third-largest bank failure in U.S. history made headlines after IndyMac Bancorp collapsed following a run on the bank.
An FDIC takeover of IndyMac attempted to keep operations as normal as possible, but doubts began to arise about other troubled regionals like Washington Mutual (later sold to JPMorgan Chase) and National City (now a part of PNC Financial after an October "take-under," where the company was purchased at a discount to its stock value).
But wait, there's more. After years of financial shenanigans and controversy, Freddie Mac (NYSE: FRE) and Fannie Mae (NYSE: FNM) were placed into conservatorship in a federal takeover of the government sponsored enterprises. This contributed to another slaughter in the financials, with 96% of the sector posting a loss for the session.
Oh, and if you wanted to drown your sorrows over an American-owned brew, scratch Budweiser off your list. Anheuser-Busch agreed to merge with Belgium's InBev for $70 a share, or $52 billion.
Greg Tucker is the executive editor of OptionsZone.com.
Stocks to buy in a recession, 8 questions to auto bailout answered & 5 retailers bucking the slump - Today in Money 12/9
Stocks to Buy in a Recession
Here are six companies that should hold up well -- and 13 that are on sale. Among them Abbott Labs, Gilead, Google, Apple, Medtronic, CVS Caremark, Wal-Mart, Kraft Foods, Boeing, Broadcom to name a few.
10 Fast & Easy Ways to Throw Away Your Money
Getting ahead requires work; falling behind is much easier. Follow these tips to achieve total financial failure.
6 stocks with little debt and lots of cash, 5 potential year-end surprises & your homes' value dropping $54/day - Today in Money 11/19
6 Stocks With Little Debt and Lots of Cash Flow
Big, reliable dividends never go out of fashion and these six stocks make the grade. They include the Gap, Altria, 3M, Intel, Barnes & Noble and Marathon Oil.
5 Potential Surprises to Years' End
2008 will go down as a disastrous year for most of the U.S. and it isn't ven over yet. With just a little over a month to go there is still time for more to happen. Here are five additional twists and turns that could still happen.
Below are today's unofficial closing bell levels:
Anheuser-Busch Companies Inc. (NYSE: BUD) is no more..... The merger was completed today with InBev and the stock will now be European listed and be called Anheuser-Busch InBev. Shareholders of common stock receive $70.00 per share in cash as part of this $52 billion merger.
Corning Inc. (NYSE: GLW) gave disappointing LCD panel guidance which was "below" the $1.1 to $1.2 billion in revenues previously offered and "at the low end of below" the $0.20 to $0.28 EPS range previously offered just a few weeks ago. Shares were down 7% right before the the close.
Who knew that the fate of world beer would one day be in the hands of the beer faithful in Rochester, New York? The tastes of this blue-collar town, along with neighbors Syracuse and Buffalo, are key in the pending acquisition of Anheuser-Busch (NYSE: BUD) by Belgian giant InBev, SA. The three cities make up half of the U.S. consumption of Labatt Blue and Labatt Blue Light. Due to the popularity of Labatt brews and Budweiser brands in upstate New York, the U.S. Justice Department worries that beer prices might rise in Rochester.
So, if the acquisition is to be approved, giving Europeans control over America's iconic beer brands, InBev is being asked to sell the Labatt USA subsidiary. Other major InBev brands, including Stella Artois, Becks, and Bass, are not considered competitive enough in any markets to reduce competition between beers and provide upward pressure on prices.
Nope, it all comes down to Rochester and its surprisingly European tastes. Who would have thought?
The problem may not be so far fetched. Most of the money needed to close the transaction is debt.
According to Reuters, "A banking industry meltdown and corresponding market volatility has already caused the Belgium-based brewer to postpone a $13.4 billion rights issue it planned in connection with the deal."
The InBev management may say that BUD is worth less now as the economy has faltered. The Anheuser-Busch board may not buy that. They like the $70 a share offer they have now. But, do they have any choice to take less? Maybe not.
BUD trades at $58, which means that some risk of problems with InBev are already in the stock. But, before word of the deal leaked, BUD traded below $50. If the board walks now, especially given how far the overall stock market is off, shares could drop well below $40.
Anheuser-Busch is trapped by the 40% drop in most of the equity indexes. Its shareholders are about to be hammered. Look for a deal to get done at $55. BUD don't have any leverage to do better.
Douglas A. McIntyre is an editor at 24/7 Wall St.