There were a few stocks making notable moves on Monday after the companies made announcements.
Demand Media (NYSE:DMD) jumped 9% after it announced a share repurchase program. The company said that its Board of Directors has approved a $25 million share repurchase program. “This share repurchase program reflects confidence in our business and our commitment to maximize shareholder value,” said Demand Media Chairman and CEO Richard Rosenblatt.
Corcept Therapeutics (NASDAQ:CORT) fell 2% after the company made two announcements. First, the company announced the appointment of Gary Robb to the position of Chief Financial Officer, effective September 1, 2011. Mr. Robb will oversee Corcept's financial operations, including preparations for potential commercialization of its first product, business development activities, investor relations, and along with other members of the management team, corporate strategy.
The company also announced that it had been advised by the FDA that no advisory committee meeting will be scheduled in connection with its review of the New Drug Application (NDA) for CORLUX, a glucocorticoid receptor type II (GR-II) antagonist, for the treatment of the manifestations of Cushing's Syndrome. This decision does not alter the PDUFA goal date for completion of review which remains February 17, 2012.
Barnes Group (NYSE:B) climbed 3% after it received an offer for one of its businesses. The company announced that it has received a binding offer from Berner SE to acquire its Barnes Distribution Europe (BDE) business, comprised of the businesses that operate as Kent, BD France and Toolcom, subject to customary conditions and approvals. Berner SE is a leading direct seller in Europe of consumables, tools and specialist technical chemicals, primarily in the construction and automotive industries.
Barnes Group’s BDE businesses are currently reported within the company’s logistics and manufacturing services segment and had 2010 revenues of approximately $105 million. If Barnes Group accepts the offer following the consultation processes, it would expect to report its BDE businesses as discontinued operations and to record a pretax loss in the range of $15 to $20 million, inclusive of non-cash impairments of long-lived assets.
The company’s full-year 2011 earnings guidance of $1.35 to $1.45 per diluted share is unchanged on a continuing operations basis. If Barnes Group were to accept the offer, proceeds from the potential transaction are anticipated to provide for global investment in strategic growth initiatives.
Travelzoo (NASDAQ:TZOO) jumped 5% after the company announced a share repurchase program. The company said that its board of directors authorized the repurchase of up to 500,000 of the company's outstanding common shares.
New York & Company (NYSE:NWY) fell 16% after announcing Q2 results. For the second quarter of fiscal year 2011, net sales were $228.6 million vs. $237 million analyst estimate. Comparable store sales for the second quarter of fiscal year 2011 decreased 3.4% with a significant reduction in markdowns versus a comparable store sales decrease of 1.8% in the prior year second quarter.
On a non-GAAP basis, normalizing taxes to eliminate the valuation allowance recorded in the second quarter of fiscal year 2011, the company’s adjusted net loss for the second quarter of fiscal year 2011 was $9.3 million, or $0.15 per diluted share. Analysts forecast a loss of $0.15 for the quarter.
Comparable store sales for the third quarter of fiscal year 2011 are expected to be down slightly versus a comparable store sales gain of 3.6% in the year ago period. The company will have 542 stores in operation at the end of the third quarter as compared to 579 in the prior year.