Today - Friday, December 13, 2013
8:15 AMInvestors likely to applaud Las Vegas Sands' white flag in Spain
- Shares of Las Vegas Sands (LVS) are on watch after Sheldon Adelson gives up on his vision of a $30B casino complex in Spain.
- Plenty of investors have been clamoring for Las Vegas Sands to stick to its strength of producing impressive returns in Asia and avoid the land of +25% unemployment.
- LVS +1.0% premarket.
8:15 AMCelsion +8.4% on trial data presentation
- "The impressive local response rate seen in these two studies was determined by lesion measurements and digital imaging data," says Dr. Hope Rugo. "Patients are pleased with the local control in the treated areas. I look forward to continuing my involvement in the Phase 2 portion of the DIGNITY study and its future application to clinical development of ThermoDox across different cancers."
- Press release
- CLSN +8.4% premarket
8:09 AMBroad brand strength at Volkswagen
- Volkswagen (VLKAY) reports strong sales of its Audi brand in China and the U.S. helped group grands achieve a 4% gain in sales for November.
- By brand, the automaker has seen Volkswagen, Audi, Porsche, Seat, and Bentley all improve sales this year. Czech unit Skoda is the only Volkswagen brand which has moved in the wrong direction for the year.
8:03 AMAdvertising works on Twitter; RBC boosts price target
- "A substantial 40% of Twitter (TWTR) advertisers reported improving ROI over the last six months and 40% have also increased their Twitter spend," says RBC Capital, upping its price target on Buy-rated Twitter to $60 from $33.
- 59% of respondents plan to increase ad spend with Twitter over the next twelve months, says the team, while only 4% plan to decrease.
- Shares +1.2% premarket to $56.
8:01 AMAereo likes its chances with Supreme Court
- Aereo says it won't oppose a petition to the Supreme Court filed by broadcasters (FOXA, CMCSA, CBS, DIS) as it preps to let the high court decide the issue on if its service is legal.
- So far, Aereo has a decent track record in court cases filed against it in new markets where its has entered.
- However, the legal squabbles have slowed down Aereo's growth track. The company is only in 9 markets after setting a goal to be in 22 by the end of the year.
8:00 AMOn the hour
- S&P +0.36%.
- 10-yr +0.02%.
- Euro -0.23% vs. dollar.
- Crude -0.52% to $97.
- Gold +0.2% to $1227.4.
7:58 AMAnadarko gets three downgrades after court decision, shares -11.5%
- Anadarko Petroleum (APC) almost certainly will appeal yesterday's court ruling against it in the Tronox litigation: "We vehemently disagree with the judge's [decision]... We fully expect to pursue every avenue available to us through the appellate process to protect the interests of our stakeholders, once a final judgment including damages has been rendered."
- The severity of the ruling for APC will come down to damages: While the judge found that the trust is entitled to recover ~$14.17B, APC may be able to lower the figure by ~$9B for offsetting costs it may have incurred from the Tronox transaction.
- J.P. Morgan downgrades APC to Underweight and a $77 price target, while Citi and Global Hunter cut shares to Neutral from Buy; Credit Suisse views $65-$70 as a potential floor level valuation.
- Jefferies, maintaining a Buy rating and $111 price target, believes APC could pursue more aggressive dividend/buyback moves to instill shareholder confidence that the ruling will be found excessive.
- Shares -11.5% premarket.
7:54 AMAmid MSFT rumor, Qualcomm names Mollenkopf CEO| 1 Comment
7:51 AMCoffee prices take a turn higher| Comment!
7:38 AMSpringleaf and JGWPT started at Buys by JMP
- JMP Securities starts coverage on a couple of recent specialty finance IPOs, with both subprime lender Springleaf FInancial (LEAF) and JGWPT Holdings (JGW) - J.G. Wentworth - initiated with Buy ratings.
- Business is good in this corner of the consumer finance universe, with Springleaf Holdings up 36% since its October IPO and JGW up 21.8% since coming public a month ago.
7:31 AMIreland exits rescue program
- "This isn’t the end of the road," says finance minister Michael Noonan as Ireland becomes the first EU state to officially exit its rescue program. "This is a very significant milestone on the road."
- The economy is forecast to grow about 2% next year and unemployment is below 13% after rising above 15% in 2012. Noonan pledges to keep the screws down on fiscal discipline, but also makes noises about a tax cut sometime in the next two years.
- Irish stocks are up marginally on the session; EIRL is up 37.7% YTD.
7:26 AMBoeing to moves hundreds of jobs away from Washington state
- Boeing (BA) intends to transfer hundreds of research jobs to Alabama, Missouri and South Carolina and away from Washington state and California.
- The move is part of a restructuring of Boeing's U.S. research operations that will start in early 2014 and will be completed in 2015.
- The news comes as negotiations break down between Boeing and its machinists union over a labor contract that would see the company build the 777X in the Seattle area. Boeing said that the transfer of the research jobs had nothing to do with the 777X talks.
7:17 AMSimon Property to spin off strip centers/smaller malls
- SpinCo will be an independent, publicly traded REIT initially with interest in 54 strip centers and 44 smaller enclosed malls (each generating NOI of about $10M or less). SpinCo's initial year NOI is estimated to be more than $400M and initial year FFO is estimated at $300M, or $0.80 per share.
- The spinoff will take the form of a tax-free distribution to shareholders who will see a boosted dividend - Simon Property's current $4.80 annualized payout will be maintained, and SpinCo's initial year dividend is estimated to be at least $0.50 per share.
- The distribution is expected to take place in 2014 Q2.
- CC to discuss is at 9 ET.
- SPG +1.1% premarket
- Press release
7:16 AMMovie theater operators take on IMAX
- Movie theater operators (CKEC, CNK, RGC, MCS, RDI, AMC) take on IMAX with a rapid expansion of the number of large-format screens for which they can charge premium ticket prices.
- The development could cut in IMAX's revenue if moviegoers associate the two different formats as offering the same experience. For The Hunger Games: Catching Fire, IMAX collected close to $13M during the opening weekend compared to the $9.6M outsized private-label screens took in.
- Analysts think the private-label screen will have a tough time overtaking the power of the IMAX brand.
7:13 AMPowerShares Financial Preferred Portfolio ETF announces monthly distribution of $0.095| Comment!
7:06 AMStocks set to open with nice gains
- Stock index futures point to gains after a couple of days of decent-sized losses; with S&P 500 and Nasdaq 100 futures up 0.4% and DJIA up 0.25%.
- Europe's up moderately and Asia was mixed overnight.
- The 10-year Treasury yield creeps up one basis point to 2.89%.
- Intel is off 2% premarket on a Bloomberg story Google is set to cut the company out by designing its own chips. SA's Ashraf Eassa calls the story baloney and explains why in this interesting article and even better comment thread.
- Index ETFs: SPY, QQQ, IVE, SH, DIA, SSO, SDS, PSQ, IVV, SPXU, UPRO, VOO, QID, TQQQ, DOG, RSP, SQQQ, DXD, QLD, RWL, EPS, UDOW, SDOW, DDM, IVW, SPYG, RPG, SPYV, BXUB, RPV, VOOG, QQEW, QQQE, VOOV, TRND, SFLA, BXUC, QQXT, FTA, BXDB, TNDQ
7:04 AMAstraZeneca gout drug hits Phase III goal, but safety an issue
- AstraZeneca's (AZN +2.3%) Lesinurad treatment for gout met the primary goal of a Phase III study, although it caused a number of side effects, some of which were serious.
- The study tested Lesinurad for use in the small number of patients who are unable to take rival therapies allopurinol and febuxostat.
- The side effects included increased levels of serum creatinine, which are an important indicator of renal health.
- AstraZeneca is now waiting for the outcomes of three other Phase III trials, which are testing Lesinurad in combination with other drugs. (PR)