Thursday Morning, April 19th Market Summary from Icecoldstocks.net
Dow Jones
News
:
Altria Group Inc. (MO) on Thursday said first-quarter net income fell to $2.75 billion, or $1.30 a share, from $3.48 billion, or $1.65 a share. On a continuing operations basis, it earned $1.01 a share, and on an adjusted continuing operations basis it earned $1.03 a share. Analysts, on average, expected it to earn $1.05 a share, according to Thomson Financial. Net revenue rose to $17.56 billion from $16.23 billion. The company, whose cigarette brands include Marlboro and Parliament, raised its profit forecast from continuing operations for the year to a range of $4.20 to $4.25 a share, from its prior view of $4.15 to $4.20 a share. Analysts polled by Thomson Financial expect it to earn $4.26 a share for the year, on average. - MarketWatch
UTX United Tech Prudential Price Target Raised Overweight $78 to $81;
JPM JP Morgan Chase Rochdale Securities Price Target Raised Buy $54 to $58;
Breakouts the Ice Man may consider trading:
ATHR - 27.55
AEP - 50.05
AYE - 51
SCI - 12.35
Regular Trades the Ice Man may consider:
KMX - 25.20
VRTX - 32
BMC - 32.40
Depressed stocks the Ice Man may buy:
ESLR - 9.75 Gap * Best Bet
GEO - 46.80 Gap * Best Bet
JSDA - 25.75 Gap, then 23 Gap
SLV - 133.60
JSDA - 25.60 to 26.25
Dollar Man Ideas:
MGRM - 1.96 Bid
AGIX - 4
PUDC - Took Great Volume
FBR - 6
RMDX - 1.83 Bid
Cramer's Comments:
Bullish: DSL, IMH, BWA, HAL, RIG;
Gorilla Trades:
New Potential Buys:
BMC Software (BMC): ABOVE $32.36, with a $35.50 first target, a $40 second target, and a $29 stop loss. Confirmation Volume Area = 1.8M Risk Rating = 4
Vertex Pharm. (VRTX): ABOVE $31.99, with a $36 first target, a $45 second target, and a $28 stop loss. Confirmation Volume Area = 3M Risk Rating = 5
Richard the Break-out Buyer Video Summary:
Break out buy watch list for short term gains April 19 includes: AGIL, AFL, AEP, AME, AYE, AVXL, RMDX, SCI.
Several candidates for break out or pullback plays for at least short term gains by buying the break out on good volume and selling at least some on the first day.
Swing Man Market Recap:
by Steve Nelson
Yesterays's trading session was very similar to Tuesday with the SPX/DOW again outperforming the Nasdaq. Despite a very strong day in the semiconductor index, the Nasdaq continues to lag the other indices as Wall Street doesn't yet have an appetite for additional risk. The latest culprit for this phenomenon was Yahoo's lackluster report last night. Yahoo got crushed and even with the semi's flying the Nasdaq never could mount a charge. No guts, but some day it will rock like the other indices. Aside from the Nasdaq, everything else is performing quite well with new breakouts and new highs seemingly a daily occurence. Overall, the markets remain very healthy.
Yesterday morning we saw the market try to move down, but the Dow and SPX refused to budge as some great earnings reports from the likes of UTX and JPM kept a strong bid under the market. The Nasdaq still remains below the February highs, but with many sectors looking fine the market may just want to consolidate here while the oscillators unwind. They are still very overbought and could use some deeper selling, but it's possible that the indices will just move sideways instead. Therefore, continue to play what's working, with the understanding that the markets are near term overbought.
Finally, I have included a few sector charts below for you to review. In addition, I have included two individual stock setups that you may find interesting. These two plays are meant to be trades and not long term holds at this stage. The homebuilder setup has worked out beautifully so I hope that you participated.
Good Trading.
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CNBC Fast Money Review:
1. The Top 3
Bull Market Is Back
Stacey Gilbert, Chief Options Strategist of Susquehanna Financial Group
Najarian: Market just starting to heat up. XLF moving back to fair value.
Gilbert: Not bullish. XLF puts outnumber calls. Lots of puts on GS, CFC.
Adami: Own banks like BAC, USB.
Bolling: Miners up 26%, steel up 19%, utilities up 9%, energy up 4%. Stay with things that work.
Macke: Dollar is weak. Get long multinationals - INTC, KO, XOM, C, MCD. Also, go long AMD, MOT.
Big Pharma Bull Market
Gilbert: Bullish options positions in pharam going into Jan '08. Likes PFE. Buy PPH.
Adami: Likes WYE for pipeline and merger candidate.
Najarian: Big pharma have inflated value. Likes managed healthcare like WLP, UNH - more upside potential.
Bolling: MRK has best charts.
Macke: Likes big pharma space.
Google Get Ready
Bolling: GOOG is long term winner, but if stock fall below $460 get out.
Najarian: Options market anticipating too small of move.
2. Getting Ahead of American Express
Najarian: AXP will hit numbers out of park.
Adami: Rising gas prices = more credit card use.
3. Got Milk?
Bolling: Likes DF - dairy prices going up. Likes milk packagers - OI, CCK.
4. Word on the Street
iPhone On Time
Bolling: Play is T - will carry iPhone service.
Blackberry Blackout
Bolling: Buy RIMM on any dips.
Sold To You
Macke: EBAY trading at 45 times earnings. Sell the news.
All Aboard CSX
Adami: Loves rails but take breather for now.
Jump Starting ENER
Najarian: ENER for sale. Wall street likes.
Macau Wow
Bolling: Any company with Macau exposure will do great.
Net Flops:
Macke: NFLX need to get with digital revolution.
Your Tax Dollars At Work
Najarian: NYX, banks on fire.
5. Face 2 Face
Graham from MA - UPL?
Bolling: Prefers DVN.
Harold from CA - AAPL?
Najarian: Likes AAPL. Could hit $100.
Angela from NY - Airlines?
Adami: Likes LUV.
Stephen from PA - MCD, WEN?
Macke: WEN same store sales 3%, MCD same store sales > 10%. Buy MCD.
6. Streethearts
ITG
Bolling: Don't like ITG.
Najarian: Don't like ITG.
Macke: Don't like ITG.
Adami: Lies ITG.
7. Final Trade
Adami: AXP is a buy.
Bolling: T is a buy.
Najarian: NOK is a buy.
Macke: JCP is a sell.
_________________
Hidden Treasure Report - CFPC:
Wake Up and Smell the Coffee
CFPC Reports Third Country To Join Growers' Network
Coffee Pacifica, Inc. (CFPC.OB) is a leading marketer and distributor of Papua New Guinea grown arabica and robusta green bean coffee in the United States and Europe. In this they represent about 2% of the world green bean coffee production. The company claims to be the only public company in this space that is selling green beans directly to importers, roasters and coffee houses.
The company recently made an agreement to be the exclusive worldwide marketer and distributor of the "Penlyne Castle" brand "Jamaican Blue Mountain" coffee. Coffee lovers or those who have been to Jamaica are familiar with this coffee as it is a super premium bean. Just yesterday the company announced an agreement to begin buying beans from Ethiopia, reputed to be the 6th largest coffee exporter in the world.
Coffee Pacifica, Inc. is a distributor and a marketer in the United States, Canada and Europe of the green bean coffee grown in Papua New Guinea and "Penlyne Castle" brand "Jamaican Blue Mountain" coffee grown by Blue Mountain Coffee Co-Operative Society Ltd ("BMCC") of Jamaica. Green bean coffee in Papua New Guinea is grown by Coffee Pacifica's shareholder-farmers in the Highland region's rich volcanic soils between the altitudes of 4,000 and 6,000 feet above sea level. Papua New Guinea exports approximately 2% of the annual world green bean production. Papua New Guinea coffee is well regarded by consumers for its uniqueness, consistency and special flavor characteristics. For more information about our coffee products, visit our website at www.coffeepacifica.com. Coffee Pacifica's wholly owned subsidiary, Uncommon Grounds Inc., established in 1984, is a coffee roasting and wholesale company based in Berkeley, California.
Breaking
News
:
China’s economic growth accelerated in the first quarter and inflation rose in March above the country's target, boosting expectations that policy makers will soon unveil a fresh round of tightening measures. - WSJ
Seaspan Corp. (SSW) said that it has priced an offer of 5 million shares at $29.45, raising net proceeds of $141 million. - MarketWatch
Swedish telecoms equipment maker Ericsson (ERIC) on Thursday said it's signed a deal with China Netcom's Beijing branch to build an IMS-based next-generation multimedia network in Beijing. This will be the first commercial IMS network in China, Ericsson said. Under the deal, whose financial terms weren't unveiled, Ericsson will be the sole supplier of the IMS system and will also supply integration services. The network is expected to be completed during April 2007. - MarketWatch
Wall Street powerhouse Merrill Lynch said Thursday its first-quarter profit more than doubled as its investment bank and money management units posted strong results. - MarketWatch
Did you know that Copper has lost $200 a ton over the last few trading days?
M&A Activity:
Kroger Co. (KR) agreed to acquire 18 Scott's Food & Pharmacy stores from Supervalu Inc. (SVU) in northeastern Indiana. - MarketWatch
IPO Central:
JMP Group Inc. on Thursday said it plans to offer 7.9 million shares at $10.50-$12.50 a share in a bid to raise about $91 million in its upcoming initial public offering. The San Francisco-based investment banking and asset management firm plans to trade on the New York Stock Exchange under the symbol JMP. JMP Group is underwriting the IPO, along with Merrill Lynch, Keefe, Bruyette & Woods and Fox-Pitt Kelton. - MarketWatch
MetroPCS Communications Inc. (PCS) priced its initial public offering at $23 a share, above its earlier range of $19-$21, as the profitable communications firm marks the first IPO of the year to top $1 billion in proceeds. With 50 million shares in the deal, MetroPCS raised $1.15 billion with underwriters Bear Stearns, Banc of America Securities, Merrill Lynch and Morgan Stanley. The IPO debuts Thursday on the New York Stock Exchange under the symbol PCS. - MarketWatch
AMC Entertainment on Thursday set the price range of its upcoming initial public offering at $18-$20 a share under its corporate name Marquee Holdings Inc. The movie theater chain plans to raise about $750 million in the deal by offering 39.47 million shares with underwriters Goldman Sachs and Citi. The company plans to trade on the New York Stock Exchange under the symbol AC.
Stock Split Announcement:
AptarGroup, Inc. (Ticker: ATR) announced that its board of directors approved a 2 for 1 stock split.
Economic Data:
8:30 Initial Claims
10:00 Leading Indicators
12:00 Philadelphia Fed
Upgrades/Downgrades by Sector:
Airlines - Passenger
FRNT Frontier Airlines Calyon Securities Upgraded from Reduce to Neutral
AMR AMR Corp Calyon Securities Cut Price Target Buy $50 to $43
Biotech
GILD Gilead Sciences Leerink Swann Upgraded from Mkt Perform to Outperform
GILD Gilead Sciences CIBC Wrld Mkts Price Target Raised Sector Outperform $83 to $89
GILD Gilead Sciences Friedman Billings Price Target Raised Mkt Perform $73 to $78
GILD GILD - price target raised to $95 at Jefferies Price Target Raised
Business Services
TTEC TeleTech Friedman Billings Price Target Raised Outperform $38 to $46
Chemicals
MOS The Mosaic Co. Citigroup Downgraded from Hold to Sell
Computer Hardware
LOGI Logitech Intl SA Prudential Cut Price Target Overweight $32 to $31
Computer Software
FARO FARO Techs AG Edwards Upgraded from Hold to Buy $37.50
IDC Interactive Data AG Edwards Initiated at Buy $30
ALDN Aladdin Knowledge Systems UBS Downgraded from Buy to Neutral
CPWR Compuware Piper Jaffray Downgraded from Outperform to Market Perform
SMSI Smith Micro Software Jefferies & Co Downgraded from Buy to Hold $24 to $21
Construction
NCS NCI Building Sys UBS Upgraded from Neutral to Buy
PCS MetroPCS Jefferies & Co Initiated at Buy $27
Finance Companies
EV Eaton Vance Corp JP Morgan Upgraded from Neutral to Overweight
SLM SLM Corp Prudential Price Target Raised Neutral $46 to $57
BEN Franklin Resources JP Morgan Downgraded from Overweight to Neutral
Foods
DAR Darling International Inc Avondale Partners Price Target Raised Mkt Outperform $6.75 to $8.75
Healthcare
MOGN MGI Pharma Brean Murray Price Target Raised Buy $24 to $27
PPDI PPD Inc. Banc of America Sec Price Target Raised Buy $40 to $45
Healthcare Equipment
AMMD American Medical Matrix Research Upgraded from Hold to Buy
HSIC Henry Schein Matrix Research Upgraded from Hold to Buy
MWIV MWI Veterinary Supply Banc of America Sec Upgraded from Neutral to Buy $34 to $43
SYK Stryker Banc of America Sec Price Target Raised Buy $65 to $74
Heavy Machinery
LMS Lamson & Sessions Matrix Research Initiated at Strong Buy
Industrial Equipment
ITW Illinois Tool Friedman Billings Price Target Raised Outperform $57 to $59
Industrial Metals
PVG Penn Va GP Hldgs Wachovia Downgraded from Outperform to Mkt Perform
Insurance
GNW Genworth Financial Bear Stearns Initiated at Outperform
RLI RLI Corp Ferris Baker Watts Downgraded from Buy to Neutral
Manufacturing
ENR Energizer Prudential Upgraded from Underweight to Neutral $83 to $90
APH Amphenol Stifel Nicolaus Price Target Raised Buy $37.75 to $40
GLYT Genlyte Friedman Billings Price Target Raised Outperform $86 to $90
Mfg - Satellites
LORL Loral Matrix Research Initiated at Strong Buy
Motion Pictures
BBI Blockbuster Soleil Downgraded from Buy to Hold
NFLX Netflix First Albany Downgraded from Buy to Neutral
NFLX Netflix Jackson Securities Cut Price Target Hold $23 to $21
AIT Applied Industrial BB&T Capital Mkts Downgraded from Buy to Hold
Oil and Gas
ALY Allis-Chalmers Energy Matrix Research Upgraded from Buy to Strong Buy
CEO CNOOC Ltd JP Morgan Upgraded from Neutral to Overweight
CRZO Carrizo Oil & Gas Wachovia Downgraded from Outperform to Mkt Perform
BP BP - downgraded to Neutral at Merrill Lynch Downgraded
Paper and Packaging
SPP Sappi Limited JP Morgan Upgraded from Underweight to Neutral
Pharmaceutical
VLRX Valera Pharma First Albany Coverage Dropped
Regional Banks
CYN City National Friedman Billings Upgraded from Underperform to Mkt Perform $64 to $75
TCBI Texas Capital Sandler O'Neill Upgraded from Hold to Buy $24
PNC PNC Bank Friedman Billings Price Target Raised Outperform $82 to $86
REITs
WRE Washington REIT Stifel Nicolaus Upgraded from Hold to Buy $42
Restaurants
DPZ Domino's Pizza Bear Stearns Downgraded from Outperform to Peer Perform
Retail Trade
EBAY eBay Banc of America Sec Price Target Raised Buy $42 to $43
EBAY eBay Cantor Fitzgerald Price Target Raised Sell $29 to $30
FCFS First Cash Roth Capital Price Target Raised Buy $26.50 to $27
COH COH - HAMR recommends buying here Reco
JCP JCP - added to focus list at JPMS Focus
Semiconductors
ISIL Intersil HSBC Securities Price Target Raised Neutral $27 to $29
ISIL Intersil Friedman Billings Price Target Raised Outperform $32 to $35
LLTC Linear Tech Prudential Price Target Raised Neutral $30 to $37
LLTC Linear Tech HSBC Securities Price Target Raised Underweight $28 to $32
LLTC Linear Tech Friedman Billings Price Target Raised Mkt Perform $30 to $39
WFR MEMC Elec CIBC Wrld Mkts Price Target Raised Sector Outperform $59 to $78
ATHR Atheros Communications AG Edwards Initiated at Buy $32
JMBA Jamba Oppenheimer Initiated at Buy $11
SPSN Spansion Cathay Financial Downgraded from Outperform to Neutral $16 to $10
NVLS NVLS - PACS sees a downside of $25; Downside
Telecommunications
LEAP Leap Wireless Jefferies & Co Price Target Raised Buy $76 to $96
Transportation
DRYS DryShips Cantor Fitzgerald Price Target Raised Buy $31 to $32
OMM OMI Corp Cantor Fitzgerald Price Target Raised Hold $26 to $29.25
TNP Tsakos Energy Cantor Fitzgerald Price Target Raised Buy $53 to $65
HOS Hornbeck Offshore Bear Stearns Initiated at Outperform
OMM OMI Corp Bear Stearns Downgraded from Outperform to Peer Perform
TK Teekay Shipping Citigroup Downgraded from Hold to Sell
TNP Tsakos Energy Citigroup Downgraded from Hold to Sell
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