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Options Update: Research in Motion Volatility Low; Shares in Four-Month Trading Range

Research in Motion (RIMM) closed $66.67. RIMM is expected to report Q4 EPS on March 30. March option implied volatility is at 40, June is at 43, versus its 26-week average of 48 according to Track Data, suggesting decreasing price movement.

Motorola (MOT) closed at $6.57. Barron's said MOT shares look increasingly attractive on a sum-of-the-parts basis. March and April option implied volatility of 48 is below its 26-week average of 52, according to Track Data, suggesting slightly decreasing price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

Five Super Bowl Stocks to Sideline

5 Super Bowl stocks to sidelineOn the other hand, not all the stocks paying out big bucks for Super Bowl ad spots are going to see a lift as a result.

Here are five stocks having too much trouble right now for a few glitzy ads to fix.

Disney (DIS): A Toy Story sequel may get a decent draw, but this entertainment giant needs a new brand to rejuvenate its bottom line and build lasting success in 2010.

Continue reading Five Super Bowl Stocks to Sideline

Analyst Upgrades, Downgrades and Initiations: AA, DE, DUK, FCX, HYS, MA, MOT, V ...

Analyst Upgrades

  • Citigroup upgraded Freeport McMoRan (FCX) to buy from hold to reflect valuation, as well as its increased forecasts for copper and aluminum. The firm raised its price target on shares to $95 from $85.
  • Citigroup also upgraded Alcoa (AA) to buy from hold and reiterated a buy rating on Cliffs Natural (CLF).
  • William Blair upgraded WESCO International (WCC) to outperform from market perform. The upgrade reflects the firm's belief that WESCO's sales trends will become increasingly positive from easy comparisons over the next 12 months.
  • RBC Capital upgraded Thomson Reuters (TRI) to top pick from outperform. The firm sees attractive returns over the next 12 to 18 months as the company's headwinds subside, and it raised its target price on shares to $43 from $41.
  • Motorola (MOT) was upgraded to hold from sell at Societe Generale.
  • American Express (AXP) was upgraded to buy from neutral at BofA/Merrill.
  • Schnitzer Steel (SCHN) was upgraded to buy from neutral at UBS.

Continue reading Analyst Upgrades, Downgrades and Initiations: AA, DE, DUK, FCX, HYS, MA, MOT, V ...

A Rather Litigious Monday Morning for Motorola

Monday morning, mobile phone firm Motorola (MOT) found itself on the lips of lawyers and judges. The first reason is that a lawsuit commenced in the U.S. District Court for the Northern District of Illinois on behalf of MOT stock purchasers who made their purchase from December 6, 2007 through January 22, 2008.

The lawsuit alleges that Motorola and "certain of its officers and directors" violated federal securities laws by "intentionally and knowingly misstating the 2007 fourth quarter earnings projections and sales demands for the RAZR2 during the 2007 holiday shopping season." The suit states that Motorola's RAZR2 did not attract buyers thanks to its $299 price tag and the fact that it had not improved enough from the RAZR. Nevertheless, Motorola made positive statements all while losing "significant market share" to its competition. The defendants claim that Motorola senior execs knew that Motorola was not on track to hit their profit forecast of 12 cents to 14 cents per share, and would like a bit of compensation.

Continue reading A Rather Litigious Monday Morning for Motorola

Closing Bell: A six-day rally (AIG, REGN, M, MOT, PALM, RIMM)

This was a strange day with a half-participation as bonds and many government offices were closed due to this being the Veterans Day holiday. Stocks were up all day and this works out to be six straight days of a rally in the DJIA. We had no economic news to digest and here are today's unofficial closing bell levels:

Dow: 10,291.10 +44.13 (0.43%)
S &P: 1,098.52, +5.51 (0.50%)
Nasdaq: 2,166.90, +15.82 (0.74%)

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AIG (AIG) could have a key vacancy open at the firm. Its new CEO Benmosche has expressed to its board of directors that he may step down over frustration of working under the government and over salary restrictions. This would not be welcome as he is deemed one of the few who can run that show. A late day memo from the company said he is committed and the press is over pay for those at the company. Shares were 'only' down 0.7% at $37.30 right before the close.


Continue reading Closing Bell: A six-day rally (AIG, REGN, M, MOT, PALM, RIMM)

Cramer on BloggingStocks: Investors are rethinking their snap judgments

TheStreet.com's Jim Cramer says that as numerous stories are mulled over anew, the reasons for selling seem silly.

The lack of important data today forces market participants to revisit stories that got tossed out over the last few weeks simply because of earnings ennui. People are now doubling back to see what they have forgotten, or more important, why they sold certain stocks they most likely shouldn't have.

For example, why did JPMorgan (JPM) (Cramer's Take) go from $47 to $44? Bad loans? Credit quality? No, not really. Nothing like that. Why did Goldman Sachs (GS) (Cramer's Take) go from $192 to the $170s? Some of it was Meredith Whitney, but there is also a sense of entitlement that makes the firm hated, as if somehow it is too much of a pariah to invest in.

Continue reading Cramer on BloggingStocks: Investors are rethinking their snap judgments

Closing Bell: Unemployment must not be relevant (GE, ACOM, FNM, ZIOP, MOT, NVDA)

Today was a surprise considering the news. There was not great economic news to hang on, particularly considering that the 10.2% unemployment was the worst reading since 1983. As the market did not crater and as it went positive throughout the day, it almost felt as though the 10.2% of the officially unemployed don't matter to the economy as everyone keeps noting the 'lagging indicator' effect. Still, stocks held their own for most of the day and where the real direction for the end of the day bells felt uncertain until the end of the day.

Here are today's unofficial closing bell levels:

Dow 10,023.19 +17.23 (0.17%)
S&P 500 1,069.30 +2.67 (0.25%)
Nasdaq 2,112.44 +7.12 (0.34%)

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Continue reading Closing Bell: Unemployment must not be relevant (GE, ACOM, FNM, ZIOP, MOT, NVDA)

Barron's, Citigroup bet on a comeback for Motorola

An article in Barron's suggests that Motorola (NYSE: MOT) is on the verge of regaining some of its former mojo. The company recently offered a solid outlook for the remainder of the year, and it could garner new business after debuting two smartphones featuring Google's (NASDAQ: GOOG) Android operating system -- namely, the Droid and the Cliq.

The author cites analyst Ed Snyder of Charter Equity Research, who believes Motorola is on the cusp of "an extended upswing in handsets ... over the next several quarters." Snyder believes that the firm's ailing handset division could achieve break-even results as soon as the second quarter of 2010.

Continue reading Barron's, Citigroup bet on a comeback for Motorola

Analyst upgrades, downgrades and initiations: FCX, MOT, CHK, MON ...

Analyst upgrades:
  • Deutsche Bank upgraded Freeport McMoRan (NYSE: FCX) to Buy from Hold to reflect the company's better than expected Q3 results and improved volume outlook. Deutsche raised its target on shares to $100 from $72.
  • Thomas Weisel upgraded Motorola (NYSE: MOT) to Overweight from Market Weight and raised its target to $11 from $7 and said they expect Motorola to benefit from several upcoming catalysts that include new Android-based smartphone products and they believe the handset division could break even by year end of 2010.
  • Janney Montgomery upgraded Regal Entertainment (NYSE: RGC) and Cinemark (NYSE: CNK) to Buy from Neutral on expectations both companies will benefit from a strong box office in Q4. The firm has a $14 price target on Regal shares and a $13.50 target on Cinemark shares.
  • Marshall & llsley (NYSE: MI) was upgraded to Neutral from Underweight at JPMorgan.
  • F5 Networks (NASDAQ: FFIV) was upgraded to Neutral from Sell at UBS.
  • William Blair upgraded Lindsay Corporation (NYSE: LNN) to Outperform from Market Perform.

Continue reading Analyst upgrades, downgrades and initiations: FCX, MOT, CHK, MON ...

Cramer on BloggingStocks: Passing on the upside

TheStreet.com's Jim Cramer says the spike in stock prices warrants no buying until prices go lower.

I read a scary book this weekend: the S&P chart book. It was frightening because there weren't more than a handful charts that aren't overextended, and many stocks have reached levels that I didn't like when their companies were doing well. Chart after chart in every business, but especially retail and industrial, have moved up so much that you have to feel like a chump to come in at these levels.

There are almost no stocks with growth prospects that have accidentally high yields anymore. Kimberly-Clark (NYSE: KMB) (Cramer's Take) and Paychex (NASDAQ: PAYX) (Cramer's Take) were the only two that I saw that seemed remotely appealing, and maybe Philip Morris (NYSE: PM) (Cramer's Take).

Continue reading Cramer on BloggingStocks: Passing on the upside

Closing Bell: Bulls 97, Bears 4 (BBY, CVM, KR, MSO, HD, MOT, S)

Today was another up day and you have to wonder if the woes of the world we all felt a few short months ago are just gone for good. Bernanke said the recession is effectively lower. The inventories are getting low enough that a manufacturing surge could come. And inflationary fears are not scaring traders. If this was a football game, it seems that the bulls keep scoring, and the bears just got a couple accidental safety scores.

Here are today's unofficial closing bell levels:

Dow 9,683.41 +56.61 (0.59%)
S&P 500 1,052.63 +3.29 (0.31%)
Nasdaq 2,102.64 +10.86 (0.52%)

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Continue reading Closing Bell: Bulls 97, Bears 4 (BBY, CVM, KR, MSO, HD, MOT, S)

Analyst upgrades, downgrades and initiations: AA, ETFC, FIATY, MOT, MSFT, POT ...

Analyst upgrades:

  • Kaufman Bros. upgraded Computer Sciences (NYSE: CSC) and Cognizant (NASDAQ: CTSH) to Buy from Hold on better demand trends as it believes overall enterprise IT spending is turning more positive. The firm raised its target on Computer Sciences to $62 from $54 and on Cognizant to $45 from $42.
  • Citigroup upgraded E-Trade (NASDAQ: ETFC) to Buy from Hold as it believes loan less trends have improved and the company could potentially be acquired. Citi raised its target on shares to $2.30 from $1.50.
  • Auriga upgraded Microsoft (NASDAQ: MSFT) to Buy from Hold as it believes consensus expectations for 2010 are too low, but admits the company's Q1 results could be fairly weak. Auriga believes Microsoft is coming up to its "most powerful product cycle in many years" and raised its price target on shares to $30 from $24.
  • Motorola (NYSE: MOT) was upgraded to Buy from Neutral at UBS.
  • Fidelity Southern (NASDAQ: LION) was upgraded to Neutral from Reduce at SunTrust.
  • Sonoco Products (NYSE: SON) was upgraded to Buy from Neutral at BofA/Merrill.

Continue reading Analyst upgrades, downgrades and initiations: AA, ETFC, FIATY, MOT, MSFT, POT ...

Motorola unveils new Google-powered phones as it trys to get back in the game

Motorola Inc. (NYSE: MOT) has seen more turmoil in the past 36 months than most any other maker of wireless telephones. The company, which saw a huge boon to its business in 2004 and 2005 with the RAZR handset, saw the competition trump it in just about every way since 2006, and it really has not had a standout product in that time. It hopes a new handset (of more soon to come) will alleviate that problem.

And, it's trusting Google Inc.'s (NASDAQ: GOOG) Android operating system to help it regain some semblance of wireless mojo. The new Motorola Cliq will run the latest and greatest version of the Android operating system, but will also contain Motorola's "motoblur" software that will attempt to combine social networking, e-mail, instant messaging, and more into every contact in the phone in one central place -- very similar to what Palm Inc. (NASDAQ: PALM) has done with the Pre device released in June.

Continue reading Motorola unveils new Google-powered phones as it trys to get back in the game

Analyst upgrades, downgrades and initiations: AIG, COH, LMT, MOT, MVL, NOK, RTN ...

Analyst upgrades:

  • Credit Suisse upgraded Motorola (NYSE: MOT) to Outperform from Neutral after the close Monday. The firm believes Motorola's devices segment will approach breakeven in 2010 while operating margins in nonhandset segments will expand, and that a break-up story will reemerge. Credit Suisse raised its target on shares to $9.50 from $7.
  • UBS upgraded BHP Billiton (NYSE: BHP) to Buy from Neutral. The firm cites BHP's leverage to iron ore, coking coal, copper, and oil for its upgrade after raising its commodity price forecasts.
  • Merriman upgraded Walter Energy (NYSE: WLT) to Buy from Neutral to reflect higher met coal price forecasts. The firm believes Chinese demand is strong and has a target range of $66-$72 on the stock.
  • Intersil (NASDAQ: ISIL) was upgraded to Outperform from Perform at Oppenheimer.
  • Coach (NYSE: COH) was upgraded to Buy from Neutral at BofA/Merrill.
  • Lockheed Martin (NYSE: LMT) was upgraded to Buy from Hold at Citigroup.

Continue reading Analyst upgrades, downgrades and initiations: AIG, COH, LMT, MOT, MVL, NOK, RTN ...

Research in Motion Limited and Motorola receive upgrades

Bright and early Tuesday morning, Credit Suisse issued upgrades to Motorola (NYSE: MOT) and Research in Motion Limited (NASDAQ: RIMM), lifting both of them from Neutral to Outperform. The brokerage cited a recovery at MOT's mobile-phone division along with growing demand for RIMM's BlackBerry as reasons for the upgrades. In addition, Credit Suisse elevated the price targets on both, upping MOT to $9.50 from $7 and RIMM to $95 from $76.

Credit Suisse did not stop there, issuing downgrades to MOT and RIMM competitors QUALCOMM (NASDAQ: QCOM) and Alcatel-Lucent (NYSE: ALU) from Outperform to Neutral.

Continue reading Research in Motion Limited and Motorola receive upgrades

Next Page »

Symbol Lookup
IndexesChangePrice
DJIA-77.779,980.87
NASDAQ-15.602,135.27
S&P 500-8.991,061.53

Last updated: February 10, 2010: 10:16 AM

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