Top 10 Most Traded Stocks for Monday and Why

by: Richard Saintvilus




Shares Traded

Current Price

Sirius XM Radio


Fell 2.1%



Cisco Systems


Fell 0.1%



Huntington Bankshares


Fell 1.9%



Intel Corp.


Rose 0.5%



Microsoft Corp


Rose .4%



Level 3 Communication


Fell 1.3%



Micron Technology


Fell 1.3%



Oracle Corp


Fell .4%



Research In Motion


Fell 0.2%



Dell Inc


Rose 2%



Sirius XM Radio announced Monday that it will launch Live from UCB Theatre, the exclusive hour-long weekly show featuring sketch comedy, stand up and improv performances recorded live at the UCB Theatre, on Raw Dog Comedy, channel 99. Live from UCB Theatre will launch on Saturday, June 11, at 11:00 pm ET and will air on Saturday nights at 11:00 pm ET with a special encore on Mondays at 7:00 pm ET. Each week SiriusXM listeners will hear a different comedy show, performed from the stage of the UCB Theatre. The exclusive series will kick off with the award-winning variety show, "Totally J/K," hosted by Joe Mande and Noah Garfinkel and featuring guest appearances from some of the best stand-up comedians in New York City, including Julian McCullough and Kurt Braunohler.

In a previous article, I told readers why they should consider Cisco (CSCO) as a buying opportunity. I suggested that investors ought to distinguish between the company and the stock. I said this for several reasons, but particularly because readers often associate or mistake Cisco’s languishing stock with its standing among the leaders in technology -- a notion that is simply not true. I read a very compelling article this weekend, one that made a great case for how Cisco can reverse its fortunes. In the article, I was reminded of a famous quote by Cisco’s CEO John Chambers where, in November of 2001, he defiantly proclaimed: "We will probably gain more market share during this economic slowdown than we ever have."

There is a massive rumor going around that Dell Inc. is looking at buying Brocade Communication Systems Inc. (NASDAQ:BRCD), a networking supplier specializing in Fibre Channel storage and Ethernet connectivity. The story seems to stem from some analyst reports suggesting that Dell “should” buy Brocade. Now news items are cropping up everywhere and stock prices are being affected. While there’s a case to be made for buying a networking firm, I’m inclined to think that Dell is looking elsewhere. I suggest this because much of the argument for buying Brocade stems from the fact that it has great market share in a few of the segments where Dell would benefit. On the other hand, the idea is for Dell to gain some vertical integration with networking gear that it can sell alongside its complete “solutions.” But why does it need market share for that?

IDC, one of the best-known technology market watchers, on Monday issued an even-gloomier forecast for PC shipment growth this year. Chip giant Intel is sticking to a more optimistic perspective. The debate began in April, when Intel’s blowout results for the first quarter seemed to contradict soft PC sales projections by IDC and rival Gartner for the period. At issue is how to accurately account for the buying activity of PC buyers in emerging economies. IDC on Monday predicted global PC unit shipments will grow 4.2% this year, down from its February forecast of 7.1% growth. The “slow patch” in the market, as IDC called it, was linked by the firm to factors that include slowing laptop PC purchases in mature markets–reflecting, in part, consumers there shifting some of their spending to tablet-style devices like the iPad.

The launch of Kinect for Xbox 360 was one of the big success stories of holiday 2010. With life -to-date sales of over 10 million units, the motion sensor controller caught the imagination of the casual audience, while boosting console and software sales at the same time. But the months that have followed have been pretty barren. There have been no major Kinect releases since December, and that has consumers getting antsy. And if the company wants to maintain its momentum, Kinect will need to be a primary focus at E3, the video game industry's annual trade show. Part of the problem is that Kinect was a product that made it to retail in a rushed fashion. That meant Microsoft had to cut corners that, though invisible at first, are starting to become more apparent.

Level 3 Communications, Inc. on Monday announced that its Board of Directors has determined that the acquisition of more than 4.9 percent of the company's shares of common stock by an institutional investor, as reported on a Schedule 13G filed with the SEC on May 23, 2011, is an exempted transaction for purposes of the stockholder rights plan adopted by the company on April 10, 2011, to protect the company's federal Net Operating Losses. The purpose of the NOL Rights Plan is to deter trading that would result in an "ownership change" as defined under Internal Revenue Code of 1986 Section 382. In general, this would occur if certain ownership changes related to the company's stock that is held by five percent or greater stockholders exceed 50 percent, measured over a rolling three-year period. The NOL Rights Plan is also designed to protect the company's ability to use its NOLs in the future, in order to prevent the reduction in stockholder value that would result from the loss of the NOLs.

Oracle Announces Third Annual Kickoff Event for Oracle PartnerNetwork Members Around the Globe Live, Virtual Event Offers Partners Strategic Insights on How to Grow and Profit Through the Oracle PartnerNetwork Program in Fiscal Year 2012. News Facts about the event include: Further enabling its valued global partner community to learn, grow and profit, Oracle today announced it will host its third annual Oracle PartnerNetwork (OPN) global kickoff event on June 28, 2011.The live, virtual session will provide partners with specific sales strategies, messages and opportunities that will enable them to successfully plan and engage in the OPN program for Oracle fiscal year 2012. Hosted by Judson Althoff, Oracle Senior Vice President of Worldwide Alliances and Channels and Embedded Sales, and top regional Oracle Alliances and Channels executives, the event will give partners deeper insight into Oracle's vision and plans for the upcoming year, as well as deliver:

Dell, Inc. shares in the PC maker are up 3.00% to arrive at $16.06 as of noon on the East Coast, but it looks like one options trader is prepared for the price of the underlying to pull back ahead of July expiration. The investor appears to have sold around 2,500 July $17 strike call options in order to offset the cost of buying the July $14/$15 put spread, 2,500 times. The trader pockets a net credit of $0.02 per contract on the three-legged spread, and keeps the full amount as long as shares trade below $17.00 through expiration day. Additional profits are available should shares in Dell decline 6.6% from the current price of $16.06 to breach $15.00 at expiration. The trader could walk away with maximum potential profits of $1.02 per contract, including the 2-cents per contract credit, if Dell’s shares fall 12.8% to trade below $14.00 by expiration next month.

MU valuation and volatility premium, coupled with a mostly upbeat sector outlook, make bullish MU option plays one of the best bets in the semiconductor space.

Micron has two segments - memory (DRAM/NAND flash memory) and Numonyx (NOR flash memory.) Its 'other' category includes imaging products. DRAM sales account for approx. 60% of FY11 sales, NAND flash about 28%, NOR flash 7%. Intel and Micron are close partners, with MU representing the largest position in Intel's investment portfolio.

Huntington Bank recently announced a groundbreaking public-private lending partnership with the state of Michigan and the Michigan Economic Development Corporation (MEDC) by committing $2 billion in commercial and small business lending throughout the state. Huntington's expertise in small business lending has made it the No. 1 SBA lender in Michigan and the 3rd largest SBA lender in the country. The four-year commitment is aimed at generating jobs and attracting businesses to Michigan. Huntington is the first Michigan bank to enter into this partnership.

Eolas Technologies settles patent suit with Sun Microsystems Internet technology provider Eolas Technologies has reached another settlement in a Texas patent infringement lawsuit over two company patents that enable Internet browsers to host embedded interactive applications. Santa Clara, Calif.-based Sun Microsystems became the latest defendant to settle the federal infringement claims filed by Eolas. Sun Microsystems, which was acquired by Redwood City, Calif.-based Oracle (NASDAQ:ORCL) in January 2010, signed the settlement on June 6. The lawsuit includes claims related to two Eolas patents, U.S. Patent No. 5,838,906 ('906 Patent) and U.S. Patent No. 7,599,985 ('985 Patent).

RIM has yet to completely implode. Despite the complete and utter destruction RIM has suffered since March, I truly believe it will get much worse. In fact, I think the Jets win their first game back in Winnipeg before RIMM shares have a winning month on the stock market. Despite how closely I and others have covered the irrefutably bearish story, I don't think the true gravity of the situation has settled in. In a rush to cover the story as it stands today or in an attempt to call the bottom, many investors have ignored the RIM story that has yet to unfold -- the almost inevitable disconnect between analyst estimates for RIM quarterly and full-year earnings and the company's comical, if not delusional guidance.

Disclosure: I am long SIRI, MSFT, ORCL, CSCO.