Monday, June 11, 2012
Apple’s Developers Conference To Begin Today (FRAN, NAV, PRGS, INMD, AAPL)
Francesca's Holdings Corp(NASDAQ:FRAN) was up over 23.50% on Friday as the company reported better than estimated first quarter earnings and boosted its second-quarter earnings forecast. The company now projects to earn 22 to 23 cents per share on sales of $69 million to $71 million. Analysts were expecting the company to earn 22 cents per share on sales of $68.6 million. For the first quarter, the company reported earnings of $8.7 million, or 20 cents per share, up from $3.9 million, or 10 cents per share, last year. Analysts were estimating the company to report 17 cents per share on revenue of $60.3 million. Gross margin improved to 53.10% from 52.40% in the year-ago period.
Navistar International Corp(NYSE:NAV) jumped about 7% on news that Germany'sVolkswagen AG is planning to buy stake in the company. The move will help the European car giant gain a foothold in the U.S. truck industry and compete better with domestic rival Daimler AG, which is the owner of Freightliner in the U.S. Navistar has been struggling amid global slower growth and last week reported a second-quarter net loss compared to the previous year's profit. It also faced opposition from activist Investor Carl Icahn last year, who has a sizable stake in the truckmaker. On June 9, Icahn boosted his stake in Navistar to 11.87%. Previously, he held ownership of 7.25 million shares of the Lisle, Illinois-based truck and engine maker.
Progress Software Corporation(NASDAQ:PRGS) ended lower by over 115 on Friday after the company said that second quarter earbings would miss analysts’ estimates. The company projects to earn 17 cents to 19 cents per share on revenue of $110 million to $115 million, missing analysts’ estimates of 28 cents per share on revenue of $126.2 million. In April the company announced that it planned to cut its workforce by 10 percent to 15 percent and eliminate 10 product lines as it looked to cut costs and concentrate more on cloud computing. The job cuts were expected to affect 175 to 260 of its 1,744 workers.
IntegraMed America, Incorporation.(NASDAQ:INMD) soared 21.70% after affiliates formed by Sagard Capital Partners, L.P. (Sagard Capital) for $14.05 per share in cash, or a total equity purchase price of $169.5 million. The consideration represents a 24% premium to IntegraMed’s closing stock price of $11.34 on June 8, 2012, the last trading day prior to today’s announcement, and a 46% premium to IntegraMed’s average daily closing price over the past year.
Apple Inc.(NASDAQ:AAPL) is trading higher by 1% in the opening session. Apple will use the Worldwide Developers Conference starting today in San Francisco to debut Mac computers with high- definition screens, as well as features for the software that powers its iPhone and iPad. Phil Schiller, Apple’s senior vice president of product marketing, will probably emcee the keynote. The success of Apple’s App Store has helped create an economy for downloading mobile applications that will reach $58 billion in sales in 2014, according to Gartner Inc. More than 25 billion apps have been downloaded from Apple’s store, and developers have received $4 billion from the sales, according to Cupertino, California-based Apple.