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Friday, October 26, 2012

U.S. stocks end day with marginal gains - EGHT, LOGM, SSYS, IACI, LLY


Concerns over corporate spending is spreading over a pall of gloom over the equity markets and this is limiting gains in shares.

On Thursday, despite futures showing a positive start to the trading day, the session ended with stocks ending up marginally.

Apple's earnings came short of expectations, while its outlook was also short of what analysts had forecast, sending the shares of the company fell about 4 percent.

Trading of Apple's stock was halted after the close and ahead of the earnings, but trading resumed at about 4:50 p.m. Apple's stock fell 1.4 percent to $600.71 in extended-hours trading after its results, though it was down 4 percent when trading resumed.

The Dow Jones Industrial Average (INDEXDJX:.DJI) rose 26.34 points, or 0.20 percent, to 13,103.68 at the close. The S&P 500(INDEXSP:.INX) gained 4.22 points, or 0.30 percent, to finish at 1,412.97. The NASDAQ Composite (INDEXNASDAQ:.IXIC) advanced 4.42 points, or 0.15 percent, to end at 2,986.12.

Volume was relatively light, with just 6.34 billion shares traded on U.S. exchanges.

Advancers outnumbered decliners on the New York Stock Exchange by a ratio of about 3 to 2. On the Nasdaq, about seven stocks rose for every five that fell.

The earnings season is almost drawing to a close and so far it has been not very cheerful except for a few pockets of unexpectedly good results such as that of Procter & Gamble.

Just 36.3 percent of companies have reported revenues above expectations, compared with a historic rate of 62 percent.

8x8, Inc.(NASDAQ:EGHT) stock increased 13.40% to $6.88 after the company posted second quarter total revenue of $26.4 million from $19.8 million in the same period of fiscal 2012. Non-GAAP net income was $3.7 million, or $0.05 per diluted share, as compared with $1.7 million, or $0.02 per diluted share, in the same period a year ago. GAAP net income was $1.7 million, or $0.02 per diluted share.

LogMeIn Inc(NASDAQ:LOGM) posted third quarter net income of $718 thousand, or $0.03 per share, as compared to GAAP net income of $1.1 million, or $0.04 per share, in the year ago period. Adjusted net income for the third quarter of 2012 was $4.6 million, or $0.18 per diluted share. Total revenue increased 14% to $35.4 million, up from $31.0 million reported in the third quarter of 2011. Analysts expected the company to report profit of $0.16 per share on revenue of $35.13 million for the quarter. The stock added about 18.60%% to $23.82.

Stratasys, Inc.(NASDAQ:SSYS) stock jumped 7.80% to $66.49. The company announced that it will release financial results for the quarter ended September 30, 2012 and hold a conference call with investors on Friday, November 2, 2012. The Company plans to hold the conference call to discuss its third quarter financial results on Friday, November 2, 2012 at 8:30 a.m. (ET).

IAC/InterActiveCorp(NASDAQ:IACI) shares gained 4.80% to $50.30 after the company said that revenue increased 38% in the third quarter to $714.5 million. Analysts had expected revenue of $692.8 million. Adjusted for tax benefits and one-time items, IAC reported earnings per share of 71 cents, beating analysts' forecast of 66 cents.

Additionally, Benchmark Co. reissued their buy rating on shares of IACI in a report released today.

Eli Lilly & Co.(NYSE:LLY) stock increased 1.15% to $51.08 after the company posted third quarter net income of $1.33 billion or $1.18 per share from $1.24 billion or $1.11 per share in the previous year. Analysts expected earnings per share of $0.83 for the quarter. Total revenue declined to $5.44 billion from $6.15 billion in the same quarter last year. Analysts estimated revenues of $5.62 billion for the quarter.

Sanford C. Bernstein reissued their outperform rating on shares of LLY in a research report released today. Sanford C. Bernstein currently has a $57.00 price target on the stock.

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