Continue reading Ciena scoops up Nortel's Ethernet biz

Ciena scoops up Nortel's Ethernet biz originally appeared on BloggingStocks on Mon, 23 Nov 2009 14:00:00 EST. Please see our terms for use of feeds.

Sirius has until March 15, 2010, to regain compliance with the minimum bid price rule, meaning its stock has to close at or above $1 for 10 consecutive business days.

Continue reading Sirius XM faces a possible delisting

Sirius XM faces a possible delisting originally appeared on BloggingStocks on Fri, 18 Sep 2009 08:00:00 EST. Please see our terms for use of feeds.

Back in October 2007, Silver Lake and TPG took Avaya private in an $8.2 billion deal. While the transaction involved a good amount of debt, it looks like the company has firepower. That is, Avaya has agreed to pay $900 million for Nortel Network's Enterprise division (the transaction will also involve $15 million in employee retention payments).

The transaction was the result of an auction, which appears to have had some juice. Keep in mind that Avaya's original bid was for $475 million.

Continue reading Avaya scoops up Nortel's telecom unit for $900M

Avaya scoops up Nortel's telecom unit for $900M originally appeared on BloggingStocks on Mon, 14 Sep 2009 13:20:00 EST. Please see our terms for use of feeds.

Continue reading Closing Bell: A directionless day (AET, C, GLW, ERIC, SLB, VZ)

Closing Bell: A directionless day (AET, C, GLW, ERIC, SLB, VZ) originally appeared on BloggingStocks on Mon, 27 Jul 2009 16:00:00 EST. Please see our terms for use of feeds.

Rumor has it that Nortel Networks (OTC: NRTLQ) will sell its enterprise division in the near future.

This would be part of a broader plan to break the company apart instead of trying to restructure its way out of bankruptcy. The company is planning to sell its CDMA and LTE wireless businesses to Nokia (NYSE: NOK) for $650 million -- the first unit sale since the January bankruptcy filing.

Continue reading Nortel could be dumping enterprise division

Nortel could be dumping enterprise division originally appeared on BloggingStocks on Wed, 24 Jun 2009 12:20:00 EST. Please see our terms for use of feeds.

Motorola (NYSE:MOT) may be the next large American technology company to go into bankruptcy. Telecom equipment maker Nortel, which has several related businesses, filed for Chapter 11 yesterday.

Motorola has two successful divisions. One of these makes home electronic devices including set-top boxes. The other provides telecom infrastructure to large enterprises and governments. Each of them has had positive operating income over the last several quarters.

Motorola's handset division, however, is taking on water quickly. It will cut another 4,000 people this year. It was going to be spun off from the rest of the company, but its sales fell so quickly that the option was killed. Now, a bankruptcy judge may do what the company would not -- liquidate the handset business completely.

Continue reading The end of Motorola (MOT)

The end of Motorola (MOT) originally appeared on BloggingStocks on Thu, 15 Jan 2009 09:15:00 EST. Please see our terms for use of feeds.

Nortel Networks Inc.

Continue reading Nortel files for Chapter 11 bankruptcy protection

Nortel files for Chapter 11 bankruptcy protection originally appeared on BloggingStocks on Wed, 14 Jan 2009 09:48:00 EST. Please see our terms for use of feeds.

It definitely looks like M&A activity will decline in 2009. What's more, it appears that private financings and public offerings will continue to remain lackluster.

This is bad news for investment banks. However, some of these operators are finding ways to maneuver around by focusing on restructuring work.

Perhaps one of the biggest beneficiaries is Lazard Ltd (NYSE: LAZ).

In fact, this week the firm snagged Timothy R. Pohl, the co-head of restructuring practice at Skadden, Arps, Slate, Meagher & Flom.

Pohl will certainly be busy as Lazard is currently working on the bankruptcies of Lehman Brothers and VeraSun.

This week, Lazard also got several new plumb assignments. The firm is advising Nortel Networks (NYSE: NT) on restructuring options, and other new clients include Tribune and even the United Auto Workers.

Of course, with the protracted credit crunch and the declining global economy, we'll likely see more leveraged companies hitting the wall, providing much more business for Lazard.

Tom Taulli is the author of various books, including The Complete M&A Handbook and The Streetsmart Guide to Short Selling: Techniques the Pros Use to Profit in Any Market. He is also the founder of BizEquity, a valuation website.

Lazard: Feasting on the bankruptcy boom originally appeared on BloggingStocks on Fri, 12 Dec 2008 12:05:00 EST. Please see our terms for use of feeds.

Here are some highlights from this past week's earnings coverage from BloggingStocks:

• Agilent Technologies Inc. (NYSE: A) topped estimates but offered an outlook below expectations.
• Best Buy Co. (NYSE: BBY) warned that it many not be able to maintain its earnings momentum.
• Charlotte Russe Holding Inc. (NASDAQ: CHIC) was upgraded because of its growth potential.
• Focus Media Holding Ltd. (NASDAQ: FMCN) shares tumbled after it reported Q3 numbers.
• HLS Systems International (NASDAQ: HOLI) earnings prospects and management impressed an analyst.
• JCPenney Co. Inc. (NYSE: JCP) reported a lower Q3 profit and lowered its guidance due to the recession.
• KKR Financial Holdings (NYSE: KFN) disappointing Q3 results led to analyst downgrades.
• MercadoLibre Inc. (NASDAQ: MELI) doubled its Q3 profit and beat earnings expectations.
• Nortel Networks Corp. (NYSE: NT) swung to a Q3 net loss and unveiled further restructuring measures.
• Perry Ellis International Inc. (NASDAQ: PERY) posted preliminary Q3 results and lowered its outlook.
• Siemens (NYSE: SI) Q4 net loss widened and it warned about meeting its profit target for the year.
• Starbucks Corp. (NASDAQ: SBUX) Q4 earnings were hurt by restructuring costs, revenue rose slightly.
• Toll Brothers Inc. (NYSE: TOL) posted dismal Q4 results and declined to offer guidance for next year.
• Tyson Foods Inc. (NYSE: TSN) solid Q4 results fell short of estimates and it offered a shaky outlook.
• Wells Fargo & Co. (NYSE: WFC) earnings prospects following its equity offering led to an analyst's upgrade.

Continue reading Earnings highlights: Starbucks, Best Buy, JCPenney, Agilent, Wells Fargo and others

Earnings highlights: Starbucks, Best Buy, JCPenney, Agilent, Wells Fargo and others originally appeared on BloggingStocks on Sat, 15 Nov 2008 15:40:00 EST. Please see our terms for use of feeds.

Here are some highlights from this past week's earnings coverage from BloggingStocks:

• ADC Telecommunications Inc. (NASDAQ: ADCT) beat Q2 estimates and raised its full-year guidance.
• Alcoa Inc. (NYSE: AA) near-term earnings prospects led to an analyst downgrade.
• Banco de Chile (NYSE: BCH) earnings prospects after an acquisition led to an analyst's upgrade.
• Benihana Inc. (NASDAQ: BNHN) posted lower Q4 profits but still beat earnings estimates.
• Bob Evans Farms Inc. (NASDAQ: BOBE) reported solid Q4 results due in part to cost management.
• Brown-Forman Corp. (NYSE: BF.B) easily beat Q4 estimates and offered full-year guidance.
• CMGI Inc. (NASDAQ: CMGI) lowered its guidance, sending shares tumbling 25%.
• Coca Cola Hellenic Bottling Co. (NYSE: CCH) warned of weaker earnings due to economic conditions.
• Conn's Inc. (NASDAQ: CONN) reported solid Q1 results and issued in-line guidance for the year.
• Dick's Sporting Goods Inc. (NYSE: DKS) earnings prospects impress analysts despite recent guidance.
• Guess? Inc. (NYSE: GES) topped Q1 expectations due to strong international expansion.
• Krispy Kreme Doughnuts Inc. (NYSE: KKD) swung to a Q1 profit despite falling revenues.
• Lehman Brothers Holdings Inc. (NYSE: LEH) posted a bigger-than-expected loss on further write-downs.

Continue reading Earnings highlights: Lehman, UBS, Krispy Kreme, Pepsico, Pep Boys and others

Earnings highlights: Lehman, UBS, Krispy Kreme, Pepsico, Pep Boys and others originally appeared on BloggingStocks on Sat, 14 Jun 2008 09:10:00 EST. Please see our terms for use of feeds.

In a reorganization of China's telecom industry, which will change the face of the wireless industry, the country plans to merge two of its largest mobile companies, China Netcom (NYSE: CN) and China Unicom (NYSE: CHU). The new firm will be issued on of the three high-speed wireless licenses that the government plans to grant.

China's two largest phone companies, China Mobile (NYSE: CHL) and China Telecom, will receive the other two contracts.

According to Reuters, the 3G development will "unleash billions of dollars in spending for network gearmakers." Those companies would include Nokia (NYSE: NOK), Nortel (NYSE: NT), Ericsson (NASDAQ: ERIC),and Motorola (NYSE: MOT).

The news may also be a benefit to handset makers as they rush to offer products for the new 3G networks. Apple (NASDAQ: AAPL) has still not found a home for the iPhone in China.

More competition among carriers will give it a greater chance to strike a good deal. A new market could also give some aid to Motorola's flagging handset sales and to rivals Samsung and Sony Ericsson.

Douglas A. McIntyre is an editor at 247wallst.com.

China to scramble its mobile industry originally appeared on BloggingStocks on Sun, 25 May 2008 12:10:00 EST. Please see our terms for use of feeds.

Nortel Networks (NYSE: NT) is scheduled to report Q1 EPS before the market open on May 2.

NT will be a participant at Networld-Interop 2008, beginning on May 4.

NT May option implied volatility of 74 is above its 26-week average of 58 according to Track Data, suggesting larger price uncertainty.

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

Option Update: Nortel volatility elevated into EPS & Networld-Interop 2008 originally appeared on BloggingStocks on Wed, 30 Apr 2008 09:00:00 EST. Please see our terms for use of feeds.

MOST NOTEWORTHY:

• Thomas Weisel downgraded Seagate (NYSE: STX) to Market Weight from Overweight as they believe the company's growth will be more muted given high existing market share and overall industry growth.
  
• Baird downgraded Nortel (NYSE: NT) to Neutral from Outperform citing checks that indicate deteriorating US Enterprise sales in the last few weeks of Q1. The firm now expects companies to guide flat QoQ instead of up and to make cautious 2H08 comments.
  
• Ann Taylor (NYSE: ANN) was cut to Neutral from Buy at Piper to reflect concerns over the LOFT division as well as consumer spending.

• Citigroup lowered TJX Cos (NYSE: TJX) to Hold from Buy.
  
• WestLB downgraded to Hold from Add Novartis (NYSE: NVS).
  
• Hartford Financial (NYSE: HIG) was downgraded to Neutral from Buy at UBS.

Analyst downgrades: STX, NT, TJX, NVS and ANN originally appeared on BloggingStocks on Mon, 07 Apr 2008 11:22:00 EST. Please see our terms for use of feeds.

Here are a few highlights from this past week's earnings coverage from BloggingStocks:

• American International Group Inc. (NYSE: AIG) posted a big loss and warned of more to come.
• CBS Corp. (NYSE: CBS) beat expectations even though its fourth-quarter profit fell.
• DreamWorks Animation Inc. (NYSE: DWA) 2007 earnings and revenue soared, lifted by Shrek the Third.
• HJ Heinz Co. (NYSE: HNZ) posted solid third-quarter earnings and revenue.
• Koppers Holdings Inc. (NYSE: KOP) beat fourth-quarter expectations and approved a share buyback plan.
• Netflix Inc. (NASDAQ: NFLX) raised its first-quarter and full-year guidance on subscriber growth.
• Nortel Networks Corp. (NYSE: NT) missed expectations due to rising operating costs.
• Origin Agritech Ltd. (NASDAQ: SEED) 2007 earnings sank, missing analysts' expectations.
• Salesforce.com Inc. (NYSE: CRM) beat fourth-quarter estimates and offered revised guidance.
• Sirius Satellite Radio Inc. (NASDAQ: SIRI) narrowed its loss due to a surge in subscribers.
• Swiss Reinsurance Co. (OTC: SWCEY) quarterly EPS plunged but 2007 decline was less than expected.
• Viacom Inc. (NYSE: VIA) reported strong fourth-quarter and full-year results.

Also, analysts predict that bank losses will be the highest in 20 years. Timothy Sykes recommends investors not become starstruck by superstar companies such as Apple Inc. (NASDAQ: AAPL) and Google Inc. (NASDAQ: GOOG).

Upcoming results to watch for include Staples, Inc. (NASDAQ: SPLS), Costco Wholesale (NASDAQ: COST), and Blockbuster Inc. (NYSE: BBI).

Visit AOL Money & Finance for more earnings coverage.

Earnings highlights: AIG, CBS, NetFlix, Sirius, Viacom, Dreamworks and others originally appeared on BloggingStocks on Sat, 01 Mar 2008 09:40:00 EST. Please see our terms for use of feeds.

After hitting a one-year high of $30.27 last February, the stock hit a one-year low of $10.28 in January. This morning, NT opened at $10.28. So far today the stock has hit a low of $9.67 and a high of $10.28. As of 10:45, NT is trading at $9.76, down 1.69 (-14.8%). The chart for NT looks bearish and steady, while S&P gives the stock a positive 4 STARS (out of 5) buy rating.

Continue reading Nortel Networks (NT) drops on Q4 Loss

Nortel Networks (NT) drops on Q4 Loss originally appeared on BloggingStocks on Wed, 27 Feb 2008 14:00:00 EST. Please see our terms for use of feeds.

MAJOR PAPERS:

• A slowdown in growth in the telecommunications equipment industry may result in a joint venture between Motorola Inc (NYSE: MOT) and Nortel Networks Corporation (NYSE: NT), that would have combined sales of about $10B, the Wall Street Journal reported.
• The Wall Street Journal also reported that Yahoo! Inc's (NASDAQ: YHOO) board is planning to reject the Microsoft Corporation (NASDAQ: MSFT) bid of $31 per share, feeling that Microsoft would be taking advantage of a deteriorated Yahoo! share price. Sources said Yahoo! will not consider any offer under $40 per share.
• Sony Ericsson, a joint venture between Sony Corporation (NYSE: SNE) and LM Ericsson Telephone Company (NASDAQ: ERIC), admitted that its business is weak in India, China, and the U.S. The joint venture has designated those three countries as priorities, the Financial Times reported.

• According to a source, the Silicon Alley Insider reported that Yahoo! is expected to let go 1,000 employees or more during the week of February 12.
• SiliconValleyWatcher "heard" from a very reliable source that Salesforce.com Inc (NYSE: CRM) has approached Oracle Corporation (NASDAQ: ORCL) over a potential sale of itself for $75 per share.

Newspaper wrap-up: Motorola, Nortel may form joint venture with wireless-infrastructure units originally appeared on BloggingStocks on Mon, 11 Feb 2008 08:45:00 EST. Please see our terms for use of feeds.

Often taking a look at 52-week low gives a hint as to which sectors are in trouble. But, it also may provide investors a look at shares that could come back under the right circumstances. Bottom fishing sometimes pay dividends.

McClatchy Co. (NYSE: MNI): The Wall Street Journal did a major story on McClatchy last week. Its shares are down over 70%, but the company CEO insists that when weak parts of the economy in Florida and California make a comeback, newspapers will recover, too. There may be some wisdom to the observation, but probably not for McClatchy. Most of the company's newspapers are in median-sized markets and that makes it harder for the firm to have a major presence in the internet ad business. Companies like The New York Times Co. (NYSE: NYT) and Gannett Inc. (NYSE: GCI) with their large internet operations like USAToday.com have a much better chance of offsetting falling print revenue with online sales.

Sandisk Corp. (NASDAQ: SNDK): This tech company finds itself in the wrong place at the wrong time. At just over $33, its shares are down by almost half this year. The company is one of the world's largest producers of flash memory chips and the prices for the products are crashing. The turnaround at the company may come when prices for these chips become more stable because demand is moving up. Sandisk products are a big part of what goes into cell phones, digital cameras, and multimedia players. A bottom on flash prices should bring shares back.

Nortel Networks (NYSE: NT): Supplying infrastructure to the world's big telecom and cable companies used to look like a sexy business. But, Nortel shares are off to $15.20 from a 52-week high of $31.79. Rival Alcatel-Lucent (NYSE: ALU) is doing no better. The build-out of systems like 3G and WiMax is going slower than planned and mergers of big telecom companies have taken some customers out of the picture. The market may begin to improve, but companies with more advanced tech, like Cisco Systems (NASDAQ: CSCO), are likely to benefit.

Douglas A. McIntyre is an editor at 247wallst.com.

The week in 52-week lows originally appeared on BloggingStocks on Sat, 29 Dec 2007 17:10:00 EST. Please see our terms for use of feeds.

Vonage (NYSE: VG) must has 100 people in its general counsel's office. The company only has 1,600 people.

The comment may be fanciful, but the Vonage patent problems are not. Nortel (NYSE: NT) has now become one of a long list of companies to sue the VoIP company, which went public at $17. Vonage shares now trade for $2.

The Wall Street Journal writes (subscription required) that "the patents relate to technology that forms the basis of Internet-based voice service, as well as features such as 911 and 411 calling and click to call, according to Nortel spokesman Mohammed Nakhooda."

Investors in Vonage had hoped that the company's intellectual property problems were behind it. The company has already lost legal actions to several large U.S. telecom companies, including Verizon (NYSE: VZ).

And, Nortel needs to be careful. The Canadian company may be better off with a quick settlement than with a lengthy lawsuit. Vonage is already crippled by lost legal battles and negative cash-flow. On its last balance sheet, the company had $350 million in cash and investments and $275 million in long-term.debt. Payables were $332 million.

Nortel could win the suit and end up with nothing to show for it.

Douglas A. McIntyre is an editor at 247wallst.com.

Nortel (NT) sues Vonage (VG) originally appeared on BloggingStocks on Sun, 16 Dec 2007 11:40:00 EST. Please see our terms for use of feeds.

The holiday season may have just begun, but the earnings season continues. Here are some highlights of this past week's earnings coverage from BloggingStocks:

• Burger King Holdings (NYSE: BKC) had a solid quarter thanks to breakfasts and media tie-ins.
• Cisco Systems Inc. (NASDAQ: CSCO) beat expectations and reaffirmed its full-year forecast.
• Ford Motor Co. (NYSE: F) reported smaller-than-expected losses, sending share prices up.
• General Motors Corp. (NYSE: GM) posted bigger-than-expected losses and disclosed huge charges.
• Marvel Entertainment Inc. (NYSE: MVL) had a super quarter and raised its guidance.
• News Corp. (NYSE: NWS) beat estimates, in part due to The Simpsons Movie and cable news.
• Nortel Networks Corp. (NYSE: NT) swung to a profit but missed revenue estimates.
• Nvidia Corp. (NASDAQ: NVDA) beat Wall Street estimates but offered no outlook.
• Orbotech Ltd.'s (NASDAQ: ORBK) earnings took a hit, but the CEO has hopes for 2008.
• Playboy Enterprises Inc. (NYSE: PLA) had better-than-expected profits, helped by international TV revenue.
• Priceline.com (NASDAQ: PCLN) beat estimates, spurred by increased bookings, especially in Europe.

Continue reading Earnings highlights: Time Warner, GM, Toyota, Ford, Cisco, and others

Earnings highlights: Time Warner, GM, Toyota, Ford, Cisco, and others originally appeared on BloggingStocks on Sat, 10 Nov 2007 13:40:00 EST. Please see our terms for use of feeds.

MOST NOTEWORTHY:

• Citigroup upgraded Total SA (NYSE: TOT) to Buy from Hold following the company's Q3 results. JP Morgan upgraded shares to Overweight from Neutral, as they believe the company's Q3 results underlined the strength of exploration and production growth prospects versus peers.
  
• Friedman Billings raised its rating on HLTH Corporation (NASDAQ: HLTH) to Outperform from Market Perform following the company's proposal to merge into WebMD Health Corp (NASDAQ: WBMD) for a combination of cash and stock.
  
• The firm also added shares of Aflac (NYSE: AFL) to its Top Picks List, as they believe Aflac is the only high quality, defensive growth story in the Life Insurance sector.
  
• CIBC upgraded shares of First Solar (NASDAQ: FSLR) to Sector Outperformer from Sector Performer following the Q3 upside and set a $230 target on the stock.
  
• Banc of America upgraded shares of Town Sports (NASDAQ: CLUB) to Neutral from Sell on valuation as they believe the downside risk is now priced into the stock.

• Credit Suisse upgraded Nortel Networks (NYSE: NT) to Neutral from Underperform.
  
• Merrill upgraded Lincoln National (NYSE: LNC) to Buy from Neutral.
  
• Tyson Foods (NYSE: TSN) was raised to Market Perform from Underperform at Wachovia.

Analyst upgrades: TOT, HLTH, AFL, FSLR and CLUB originally appeared on BloggingStocks on Thu, 08 Nov 2007 10:25:00 EST. Please see our terms for use of feeds.