SAN FRANCISCO (MarketWatch) — Aeropostale Inc. tumbled Friday on worse than expected quarterly results while Liberty Media Corp. climbed after it abandoned its plan to buy the share of Sirius XM Holdings Inc. that it doesn’t already own.
Aeropostale shares slumped 20%. The teen retailer late Thursday reported a wider-than-expected adjusted loss in the fourth quarter of 35 cents a share. Quarterly sales fell 16% to $670 million from $797.7 million a year earlier, also falling short of analyst estimates. Same-store sales slumped 15%. Separately, Aeropostale said it had agreed to enter a strategic partnership with Sycamore Partners. The deal gives the retailer a $150 million loan and in return, Aeropostale will issue convertible preferred stock to Sycamore, giving the firm the right to buy up to 5% of common stock.
Shares of Liberty Media Corp. gained 7.2%. The company late Thursday said it would drop plans to buy the rest of Sirius XM /zigman2/quotes/201205073/composite SIRI -1.41% , of which it currently owns 53%. Liberty Media also said it would reclassify its common stock into two tracking stocks — one called Liberty Media Group and the other called Liberty Broadband Group — in a move that is expected to be completed in the third quarter. Shares of Sirius rose 2.1%.
Castlight Health Inc. /zigman2/quotes/201298689/composite CSLT -0.71% shares surged 149% on its first day of trading. The provider of healthcare software priced 11 million shares at $16 a share and has granted underwriters an option to purchase up to an additional 1.665 million shares.
Ulta Salon Cosmetics & Fragrance Inc. /zigman2/quotes/210513442/composite ULTA -0.08% shares jumped 6.4%. The retailer of beauty products said late Thursday its profit increased 9.5% in the fourth quarter as revenue rose 14%.
GameStop Corp. /zigman2/quotes/203755179/composite GME -1.07% shares rose 5%. The stock got a boost after analysts at Barclays raised the price target on peer Activision Blizzard Inc. /zigman2/quotes/200717283/composite ATVI +0.20% to $24 from $22. “While we are very constructive on the long-term growth opportunity for the mobile gaming industry, we don’t think its strong expected growth will come at the expense of the console-based game publishers,” said analyst Christopher Merwin. Shares of Activision rose 0.7%.
One-Minute Wine: Barbera
Northern-Italy’s widely planted and easy drinking grape Barbera has a reputation for producing fresh, fruity, soft red wines. But in the right hands it can be transformed into something a little more serious.
Celgene Corp. shares fell 4.2%. The biotechnology firm is involved in a patent lawsuit with Natco Pharma Ltd. over Revlimid. The first pretrial hearing is scheduled for April 29, which is sooner than expected, said analyst Michael Yee at RBC Capital Markets.
Gilead Sciences Inc. /zigman2/quotes/210293917/composite GILD -0.26% shares declined 3.8%. Idenix Pharmaceuticals Inc. said Friday that it has filed patent infringement lawsuits against Gilead in France, Germany and the U.K. on related to drugs containing sofosbuvir which is used to treat the hepatitis C virus.
Tickers to Watch
AMZN: Amazon.com Inc. /zigman2/quotes/210331248/composite AMZN +0.18% continued to attract attention in the wake of its announced plans to boost the annual price for its Prime membership by $20 to $99. Amazon shares are up 0.6%.
PLUG: Shares of Plug Power Inc. /zigman2/quotes/205453512/composite PLUG +0.55% fell 16% after volatile moves all week. The fuel-cell maker said Thursday its adjusted loss narrowed in the fourth quarter as revenue rose to $8 million from $5.9 million. Fellow fuel-cell maker Ballard Power Systems Inc. /zigman2/quotes/205070617/composite BLDP -6.33% slid 4.9% while FuelCell Energy Inc. /zigman2/quotes/203763461/composite FCEL +2.33% dropped 9.3%.
GIS: General Mills Inc. /zigman2/quotes/206659526/composite GIS +0.12% shares shed 2.4%. The food company, which owns brands like Cheerios and Yoplait, said Friday it now expects third-quarter per-share earnings of 61 cents to 62 cents. That’s below earnings of 68 cents a share expected by analysts, according to a FactSet survey. The company maintained its view on fiscal-year per-share earnings of between $2.87 and $2.90.