The new quarter brings with it a new earnings season. While the earnings crunch doesn't begin in earnest until the following week, Alcoa as usual helps kick things off this coming week.
One of the world's leading producers of aluminum, Pittsburgh-based Alcoa Inc. (NYSE: AA) is scheduled to report second-quarter results Tuesday after market close. Analysts surveyed by Thomson Financial on average expect the company to report net income of 68 cents per share on revenue of $7.4 billion. That's down 16% from EPS a year ago. Alcoa has missed estimates in two of the past five quarters -- by four cents in the previous quarter. Analysts have recommend buying AA for more than 90 days. Shares have fallen 10.3% year to date, but the long-term EPS growth forecast is 21.6%.
Beverage distributor Pepsi Bottling Group Inc. (NYSE: PBG) is scheduled to report its second-quarter results Tuesday morning. Analysts are looking for earnings of 75 cents per share, up 6.6% from the same period of the previous year, on revenue of $3.6 billion. PBG has offered up positive surprises recently, by a penny in the previous quarter. However, analysts recommend holding PBG, and have for more than 90 days. The long-term EPS growth forecast is 9.1%, which is better than the industry average. Shares have fallen 27.6% year to date.
San Francisco Fed Reserve Bank President Yellen to speak about the U.S. economic outlook at the University of California/San Diego with a Q&A session.
Aracruz Cellulose (NYSE: ARA) to report Q2 earnings; conference call at 11:00am.
Tuesday, July 8
Richmond Fed Reserve Bank President Lacker to speak about U.S. economic outlook to the National Economists Club in Washington with a Q&A session expected.
Merrill Lynch has reiterated its "underperform" rating on Bank of America (NYSE: BAC) and dropped its price target to $28 from $29, according toMarketWatch.
Wachovia has upgraded Morgan Stanley (NYSE: MS) to "outperform" from "market perform", according toBriefing.com. The news service also reports that Oppenheimer downgraded Marriott (NYSE: MAR) to "perform" from "market perform."
MOST NOTEWORTHY: Shanda Interactive, Evergreen Solar, SunPower and Marriott were today's noteworthy downgrades:
Citigroup downgraded shares of Shanda Interactive (NASDAQ:SNDA) to Hold from Buy following the company's lower-than-expected guidance as they see a lack of positive catalysts.
Merrill downgraded Evergreen Solar (NASDAQ:ESLR) and SunPower (NASDAQ:SPWR) to Sell from Neutral citing a potential reduction in German tariffs.
Morgan Stanley downgraded Marriott (NYSE:MAR) to Equal Weight from Overweight citing economic pressures on business travel.
OTHER DOWNGRADES:
Vivus (NASDAQ:VVUS) was downgraded at Wachovia to Market Perform from Outperform.
UBS lowered Juniper(NASDAQ:JNPR) to Neutral from Buy.
Cemex (NYSE:CX) was downgraded to Neutral from Overweight at JP Morgan.
Perini Corporation (NYSE: PCR) is a leading construction services company offering diversified general contracting, construction management and design/build services to private clients and public agencies in the U.S. and selected overseas locations. The firm is well know for its casino and hotel projects, but is also active in the design and construction of schools, health care facilities, entertainment facilities and sports complexes. Its civil division builds and maintains highways, subways, and airports. Clients include Marriott International (NYSE: MAR), Honeywell International (NYSE: HON) and American Express (NYSE: AXP).
The company surprised the Street earlier in the month, when it reported Q1 EPS of 91 cents and revenues of $1.26 billion. Analysts had been expecting 87 cents and $1.27 billion. The COO cited strong contributions from the building and management services segments. Management also guided FY08 EPS to $3.50-$3.75 ($3.73 consensus), FY08 revenues to $5.5-$5.9 million ($5.16B consensus), FY09 EPS to $4.00-$4.20 ($3.85 consensus) and FY09 revenues to $7.3-$7.8 billion ($5.46B consensus).
50 Most Innovative Companies The companies that make up BusinessWeek's annual ranking nurture cultures that value creative people in good times and bad. The top company by industry include Apple, Pfizer, Goldman Sachs, Disney, Toyota, GE, Marriott, Wal-Mart and BP. The World's Most Innovative Companies
Are There Too Many Women Doctors? As an MD shortage looms, female physicians and their flexible hours are taking some of the blame. Are There Too Many Women Doctors?
In a short article tucked away The Wall Street Journal today, there is an interesting marketing idea being presented: using vouchers to bring in paying guests. But to me, the new plan to give away vouchers for free gasoline as a means to bring in guests is not a very exciting idea. In fact, how many ways and in how many languages can you say stupid?
If lower costs do not drive hotel bookings, does the brilliant marketing team at Sleepin' Now & Sellin' Later think that there is any possible way to bring up occupancy with a $50 carrot? I don't think so.
Beware Charging at the Supermarket Supermarkets have long employed tricks aimed at luring shoppers into spending more, such as doling out free samples or stationing the most expensive sugar cereals right at a toddler's eye level. Now, as shoppers struggle to get their escalating grocery bills under control, the credit-card companies are throwing one more temptation their way: grocery store rewards cards. Here are the three things you should consider before applying for a grocery rewards card. Plus: the three best rewards cards today. Grocery Rewards Cards Often Aren't Worth It - SmartMoney.com
Interstate Hotels & Resorts (NYSE: IHR) is an independent hotelier, operating a portfolio of 220 hospitality properties in the US, Canada, Mexico and Europe. Altogether, it has approximately 46,000 rooms under management. The firm owns seven of the properties it operates and has ownership interests in 47 more. It has contracts to manage 16 additional facilities, currently in the planning stage. Interstate manages hotels represented by more than 30 franchise and brand affiliations. Marriott International (NYSE: MAR) is a major competitor. Starwood Hotels & Resorts Worldwide (NYSE: HOT) and the Blackstone Group (NYSE: BX) are clients.
The firm pleased investors late last month, when it reported Q4 EPS of 33 cents and revenues of $213.9 million. Analysts had been looking for 24 cents and $205 million. Management also guided FY08 EPS to 30-38 cents, versus Street consensus of 24 cents.
10 Stocks With Big Insider Buying & Buybacks When people in the know in a company start purchasing large chunks of stock that is usually a good sign because they know better than anyone the in what is really going on. Here are ten that you should take a closer look at that are either seeing insider buying or are buying back shares. They include Amazon.com, US Steel, Move, Digital River, Verizon, GE and EMC. TheStreet.com : Top 10 Stocks With Big Insider Buying,
Not Tax Return = No Rebate Up to 20 million Americans who normally don't need to file returns must file this year to receive a rebate check. That's part of the fine print in the tax stimulus legislation that became the law of the land Wednesday. IRS offers details on stimulus checks, says nonfilers must file - MarketWatch
Love Your Money It's about your finances. How do you feel things are working out between you? Are your needs being met? See how to build a fulfilling long-term relationship with your finances. Love Your Money. It Will Love You Back - Kiplinger.com
Marriott International Inc. (NYSE: MAR) fourth quarter earnings fell 20% to $176 million or 46 cents per share, as it took a hit from the closure of its business making cleaner burning coal for tax credits. The company posted revenue of $4.1 billion. Excluding the loss from the discontinued operations, Marriott says it earned $236 million, or 62 cents per share, beating the 62 cents expected by analysts.
UBS AG (NYSE: UBS) on Thursday posted a fourth-quarter net loss -- the first since 1997 -- of $11.28 billion, and a loss for the entire year, due to investments in U.S. subprime mortgages. It said it expected more problems in 2008. The results were inline with previous guidance. UBS shares are down some 5.75% in premarket trading.
Boeing Co. (NYSE: BA) said Thursday it created a joint venture to be formed by June with Tata Industries Ltd. to make more than $500 million in aerospace components.
Taser International Inc. (NASDAQ: TASR) reported that fourth-quarter earnings doubled, reaching $4.7 million, or 7 cents a share, on 61% higher revenue. Sales rose to $31 million. Analysts polled by Thomson Financial expected a profit of 7 cents per share on $29 million of sales.
Micros Systems (NASDAQ: MCRS) is a leading developer of enterprise applications designed for the hospitality and specialty retail industries. The firm provides hardware and software for point-of-sale and operational applications, as well as back office programs for inventory, labor and financial management needs. The systems operate locally and across the enterprise, allowing management to analyze demand through detailed tracking of inventory, orders and reservations. Marriott International (NYSE: MAR) is a major customer.
The firm pleased investors last week, when it reported fiscal Q2 EPS of 68 cents and revenues of $244 million. Analysts had been looking for 61 cents and $220.7 million. Management also guided Q3 EPS to 63-67 cents (65 cent consensus) and Q3 revenues to $228-$232 million ($229.83M consensus).
The markets stayed in a holding pattern today, not really moving up or down very much. Oil made some mild gains as November futures rose up $1.58 a barrel to $81.52 as a storm is forecast for the Gulf of Mexico.
The NYSE had volume of 2.7 billion shares with 2,024 shares advancing while 1,227 declined for a gain of 41.90 points to close at 10,142.93. On the NASDAQ, 1.7 billion shares traded, 1,659 advanced and 1,294 declined for a gain of 4.14 to 2,733.57.
In options there were 3.9 million puts and 6.1 million calls traded for a put/call open interest ratio of 0.64. Verizon Communications, Inc. (NYSE: VZ) saw heavy volume on the October 42.50 calls (VZJV) with over 182,000 options trading. The October 40 calls (VZJH) also had volume move with 164,600 options trading. The stock pays a dividend tomorrow so this is likely dividend arbitrage. Petroleo Brasileiro S.A. (NYSE: PBR) saw heavy volume on the October 60 calls (PBRJL) with over 173,700 options trading and also has a $0.43 dividend tomorrow. AT&T, Inc. (NYSE: T) saw heavy volume on the October 37.50 calls (TJU) with over 75,900 options trading. Research In Motion Limited (NASDAQ: RIMM) moved heavy volume on the October 100 calls (RULJT) with over 38,600 options trading ahead of its earnings after market close today. There were also bearish option players on RIMM with it moving 26,200 October 90 puts (RFYVR) with options trading.
Kevin Kersten is an Options Analyst with InvestorsObserver.com. Disclosure note: Mr. Kersten owns and or controls a diversified portfolio of long and short positions that may include holdings in companies he writes about.
Today Daimler drops Chrysler from its name as it officially splits after a bad $40 billion merger in 1998. A few days ago eBay conceded they overpaid for Skype. And years after the catastrophic merger of Time Warner and AOL, Time Warner is still trying to make the deal work. How is it that such deals come together in the first place?
Some homeowners dispute the adage that good fences make good neighbors. Lots of shared space in cohousing developments, they say, makes better communities.
New York and New Jersey residents pay more in these taxes than anyone else in the country. The hardest hit? Homeowners in western New Jersey's Hunterdon County. Last year, the median yearly property tax bill amounted to a whopping $7,999 here, according to the Tax Foundation. Loudon County, VA has the highest property taxes in the south, Lake County, IL in the midwest and Marin County, CA in the west. See where the highest property taxes in your part of the country is.
Mark Cuban: Web 1.0's Richie Rich Wants Some R-E-S-P-E-C-T
Seven years into his effort to disrupt the sports and entertainment industries, Web 1.0's Richie Rich is learning some hard lessons. The 49-year-old billionaire owner of the Dallas Mavericks is now prancing around on 'Daning With the Stars'. For Cuban, it is not enough to be rich. He wants to be famous and influential, much as he might argue otherwise.
This Christmas, Neiman Marcus catalog shoppers can give their loved ones an underwater dream machine for $1.44 million or a dragon topiary for $30,000 among other things.
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Marriott International Inc. (NYSE: 
The markets stayed in a holding pattern today, not really moving up or down very much. Oil made some mild gains as November futures rose up $1.58 a barrel to $81.52 as a storm is forecast for the Gulf of Mexico.
Mall vacancies and store closures at 28-year-high
Merrill seeks $6 billion from Bloomberg, Blackrock to finance asset write-downs
Cramer on BloggingStocks: 'Bailout' is not a dirty word 
