Today was a mixed market with many movers around in both directions despite the closing bells on the indexes. The non-Farm Payrolls growth was only right before the ADP data and that more robust prediction artificially skewed expectations. The stock market was down less than 1% after the morning lows before recovering off lows in the afternoon. Crude oil sold off and gold was lower before trying a late-day comeback.
Here were the unofficial closing bell levels:
Dow Jones 11,674.76 -22.55 (-0.19%)
S&P 500 1,271.50 -2.35 (-0.18%)
Nasdaq 2,703.17 -6.72 (-0.25%)
Top Analyst Upgrades/Downgrades
LIZ posts
FeedClosing Bell: Market Mixed on Employment Data (BAC, LOCM, DNDN, LIZ, XOMA, RBN)
Continue reading Closing Bell: Market Mixed on Employment Data (BAC, LOCM, DNDN, LIZ, XOMA, RBN)
U.S. Stock Futures Down, All Eyes on Payroll Data
U.S. stock futures are lower this morning as investors await December's payroll report. Futures on the Dow Jones Industrial Average dropped 14 points to 11,632.00 and S&P 500 futures fell 2.10 points to 1,268.10. Nasdaq 100 futures dropped 3 points at 2,273.25.U.S. stock markets closed lower yesterday, with the Dow Jones Industrial Average down about 26 points.
The December non-farm payroll figures and the latest reading on U.S. unemployment are due today. The payroll data is scheduled to be released at 8:30 a.m. ET. Economists project that 175,000 non-farm jobs were created in December.
Continue reading U.S. Stock Futures Down, All Eyes on Payroll Data
Liz Claiborne Gaps Higher After Earnings
Wall Street seems pleased by the latest earnings report from Liz Claiborne (LIZ), judging by the stock's 5% jump Thursday morning. Bright and early, Liz Claiborne reported a third-quarter loss of $62.7 million, or 67 cents per share, improved from its year-ago loss of $90.5 million, or 96 cents per share. Excluding items, Liz Claiborne swallowed a loss of 24 cents per share from continuing operations.Net sales for the quarter declined 14% to $658.3 million -- but, excluding the impact of a shift to licensing models under a new deal with JCPenney (JCP), sales fell just 2.7%. Gross margin, meanwhile, expanded to 51.3% from 45.3%.
Perry Ellis Sold Off on Q4 Earnings
If you are a shareholder of apparel entity Perry Ellis (PERY), you probably aren't so happy about the price action seen on Friday. The stock was off by 9%, on strong volume. The market just wasn't buying the earnings news.
What happened? According to Reuters, the situation didn't seem so bad. The company made 64 cents per share in the fourth quarter. That was a lot better than the $1.58 per-share loss observed in the comparable period twelve months ago. Furthermore, estimates were set at 59 cents per share. Come on, what gives? Plus, if you look at the actual press release, you'll find some encouraging commentary from management. The worst of the economic problems is hopefully behind the business; in addition, cash flow appears to be decent.
Analyst Upgrades, Downgrades and Initiations: ACN, ADBE, BBY, DIS, FSLR, GILD, ZNT ...
- FBR Capital upgraded Adobe Systems (ADBE) to outperform from market perform to reflect valuation following the recent pullback in shares, as well as the upcoming release of the company's CS5 product. The firm raised its price target for the stock to $39 from $36.
- Keefe Bruyette upgraded Zenith National (ZNT) to market perform from underperform following the company's merger agreement with Fairfax Financial. The firm thinks the offer is a strong price to receive for Zenith National shareholders.
- Kaufman Bros. upgraded Infosys (INFY) to buy from hold as it believes the offshore applications outsourcing market is picking up. The firm raised its target price for shares to $67 from $58.
- Ventas (VTR) was upgraded to buy from neutral at BofA/Merrill.
- Liz Claiborne (LIZ) was upgraded to buy from hold at KeyBanc.
- iStar Financial (SFI) was upgraded to hold from sell at Citigroup.
Ten Valentine's Day Stocks to Hate
Not all companies in these love-struck industries are good buys. Here are 10 stocks to break up with this Valentine's Day.
- 1-800-Flowers (FLWS): A good gift, but a poorly run company that has posted a loss for three of the past four quarters.
- Hershey (HSY): Missing out on the Cadbury merger was not so sweet for Hershey.
- Cardiac Sciences (CSCX): It's hard to have a heart for a company that fails seven out of my eight fundamental screens.
Analyst upgrades, downgrades and initiations: AMAT, CSCO, GD, HOT, LIZ, RBS ...
- Collins Stewart upgraded General Dynamics (NYSE: GD) to Buy from Hold as it finds the valuation compelling at current levels and sees potential upside from a better economy and better-than-expected defense budgets.
- SunTrust views the sell-off in shares of Cabot Oil (NYSE: COG) as a buying opportunity and expects the Pennsylvania Department of Environmental Protection order to be resolved quickly. The firm upgraded Cabot to Buy from Neutral.
- Barclays upgraded Cisco (NASDAQ: CSCO) to Overweight from Equal Weight based on expectations for improved carrier demand, continued U.S. momentum, and an improved Europe.
- Applied Materials (NASDAQ: AMAT) was upgraded to Buy from Hold at Citigroup.
- Stericycle (NASDAQ: SRCL) was upgraded to Gradually Accumulate from Hold at Soleil.
- Grupo Televisa (NYSE: TV) was upgraded to Neutral from Sell at Goldman.
Continue reading Analyst upgrades, downgrades and initiations: AMAT, CSCO, GD, HOT, LIZ, RBS ...
Liz Claiborne hires bankruptcy firm as turnaround consultant
Struggling retail giant Liz Claiborne (NYSE: LIZ) has hired turnaround consultant Alvarez & Marsal to help it cut costs and stem losses at the insistence of its creditors.
"We told [the lenders] that we've been doing everything we can to manage receivables and control inventory," Liz CEO Bill McComb said in an interview with The New York Post. "In the spirit of that, we said we would hire a consultant."
Continue reading Liz Claiborne hires bankruptcy firm as turnaround consultant
Earnings highlights: Blockbuster, Walmart, Applied Materials, ING, Priceline ...
Here are some highlights from last week's earnings coverage from BloggingStocks:
- Applied Materials Inc. (NASDAQ: AMAT) posted better-than-expected Q3 results, sending shares higher.
- AutoDesk Inc. (NASDAQ: ADSK) reported better-than-expected Q2 earnings, sending shares higher.
- Blockbuster Inc. (NYSE: BBI) had another disappointing quarter as same-store sales declined.
- CIT Group Inc. (NYSE: CIT) delayed its Q3 report due to ongoing debt restructuring and a possible bankruptcy.
- Dr Pepper Snapple Group Inc. (NYSE: DPS) Q2 earnings came in well ahead of Wall Street expectations.
Continue reading Earnings highlights: Blockbuster, Walmart, Applied Materials, ING, Priceline ...
Liz Claiborne loses in Q2

Fashion business Liz Claiborne (NYSE: LIZ) reported second-quarter results on Wednesday. Upfront warning: they're not for the faint of heart.
Sales declined 29%. The adjusted loss from continuing operations came in at 48 cents per share. The company made 11 cents in last year's Q2 on the same basis. According to Reuters, the market was expecting a loss of only 39 cents per share. Same-store sales were down double digits across Liz Claiborne's portfolio.
Earnings highlights: FedEx, Best Buy, RIM, Adobe, Smucker, Discover and more
Here are some highlights from this past week's earnings coverage from BloggingStocks:
- Adobe Systems Inc. (NASDAQ: ADBE) Q2 earnings were in line with expectations but sales beat.
- Best Buy Inc. (NYSE: BBY) beat earnings estimates for Q1, but on horrible metrics, sending shares lower.
- Carnival Corp. (NYSE: CCL) lower Q2 earnings beat expectations and previous guidance, boosting shares.
- CarMax Inc. (NYSE: KMX) Q1 profit and sales dropped, but still beat expectations, sending shares higher.
- Discover Financial Services (NYSE: DFS) posted a smaller-than-expected Q2 net loss and shares rose.
Continue reading Earnings highlights: FedEx, Best Buy, RIM, Adobe, Smucker, Discover and more
Earnings highlights: Walmart, JCPenney, Freddie Mac, Playboy, Whole Foods and more
Here are some highlights from this past week's earnings coverage from BloggingStocks:
- Abercrombie & Fitch Co. (NYSE: ANF) reported dismal Q1 numbers as same-store sales plunged.
- Applied Materials Inc. (NASDAQ: AMAT) dismal Q2 results were in line with analysts' expectations.
- Bankrate Inc. (NASDAQ: RATE) reported lower earnings and revenue for Q1 and offered no guidance.
- Blockbuster Inc. (NYSE: BBI) earnings, revenue, and same-store sales all fell in the first quarter.
- Dr Pepper Snapple Group (NYSE: DPS) Q1 earnings declined but still topped analysts' expectations.
Continue reading Earnings highlights: Walmart, JCPenney, Freddie Mac, Playboy, Whole Foods and more
Analyst upgrades, downgrades and initiations: CI, CCE, JBLU, LIZ, LLL
- Oppenheimer upgraded FTI Consulting (NYSE:FCN) to Outperform from Perform on expectations the stock will outperform in the second half of 2009 due to easier comparisons and a "deeper and longer" restructuring cycle. The firm has a $62 target on shares.
- Citigroup upgraded Cigna (NYSE:CI) to Hold from Sell to reflect reduced balance sheet risk following the company's capital raise and the potential for a PBM sale. The firm raised its target price to $23 from $13.
- Goldman expects Coca-Cola Enterprises (NYSE:CCE) to benefit from favorable soda demand and lower commodity costs. The firm upgraded shares to Conviction Buy from Buy and has a $20 target on the stock.
- Novellus (NASDAQ:NVLS) was raised to Buy from Neutral at Bank of America/Merrill.
- CME Group (NASDAQ:CME) was upgraded at JP Morgan to Neutral from Underweight.
- Allegiant (NASDAQ:ALGT) was upgraded to Overweight from Equal Weight at Morgan Stanley.
Continue reading Analyst upgrades, downgrades and initiations: CI, CCE, JBLU, LIZ, LLL
Ann Taylor's awful earnings miss means stock is a sell
Ann Taylor (NYSE: ANN) is not the darling of Wall Street today. As I write this, the retailer's shares have lost 30% of their value. Trading volume is heavy. The company missed Wall Street's estimates by a pretty wide margin. The call, was for an adjusted loss of $0.55 per share in the fourth quarter. According to the press release, Ann Taylor lost $1.03 per share on an adjusted basis. Last year at this time, there was a profit of $0.19 per share. What a difference a year makes. By the way, if you include all the GAAP stuff in the current Q4, Ann Taylor lost an amount equal to the mark of the beast. I don't even want to write the evil number out, but it begins with a 6 if you want a hint.
Continue reading Ann Taylor's awful earnings miss means stock is a sell
The week in preview: Earnings season winds down
While the release of economic data doesn't stop next week (see economic schedule highlights below), the earnings season does wind down dramatically. Most of the S&P 500 companies already have reported on the past quarter, which means dismal earnings news is largely behind us, at least for a while. About the only companies of note expected by analysts surveyed by Thomson Reuters to report falling earnings this week are Costco Wholesale Corp. (NASDAQ: COST), Wendy's/Arby's Group Inc. (NYSE: WEN), Foot Locker Inc. (NYSE: FL), Bank of Montreal (NYSE: BMO), and Steinway Musical Instruments Inc. (NYSE: LVB).
While PetSmart Inc. (NASDAQ: PETM) and Big Lots Inc. (NYSE: BIG) quarterly profits are expected to be about the same as a year ago, Liz Claiborne Inc. (NYSE: LIZ), Kenneth Cole Productions Inc. (NYSE: KCP), Ciena Corp. (NASDAQ: CIEN), and Trina Solar Ltd. (NYSE: TSL) are expected to have swung to losses in the most recent quarter.
Continue reading The week in preview: Earnings season winds down
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