By Gabriel Madway, MarketWatch
Advancis Pharmaceutical Corp. shares leapt 14% Tuesday after the Germantown, Md.-based pharmaceutical company announced that its once-daily Amoxicillin Pulsys new drug application has been accepted for filing by the Food and Drug Administration. Advancis said the FDA has set Jan. 23, 2008, as the target action date for the application.
American Science and Engineering Inc. shares gained 9.4% after the company reported fiscal fourth-quarter net earnings of $5.79 million, or 60 cents a share, up 23% from $4.73 million, or 51 cents a share, in the year-ago period. The fiscal 2007 fourth quarter included 23 cents a share in stock option expense, the company said. The Billerica, Mass.-based supplier of X-ray inspection systems said revenue in the three months ended March 31 rose 13% to $45.9 million from $40.8 million in the comparable period last year. Analysts polled by Thomson Financial were expecting, on average, a per-share profit of 80 cents on revenue of $47.2 million.
Appliance Recycling Centers of America shares gained 8.9% after the company said the U.S. District Court for the Central District of California has dismissed the action filed by Jaco Environmental Inc., SEG Basis GmbH, and SEG Umwelt-Service GmbH for lack of prosecution. Minneapolis- based ARCA said the ruling means that the case is over unless the court sets aside the dismissal or a new action is filed.
Edap TMS S.A /zigman2/quotes/209484642/composite EDAP -1.93% shares leapt 15% in Tuesday morning trade after the France-based medical device maker said it is fast-tracking its ongoing U.S. Ablatherm - HIFU clinical trial.
Shares of Fremont General Corp. jumped 41% Tuesday after iStar Financial Inc. said it would pay $1.9 billion in cash for the firm's commercial-real-estate lending business. See full story.
Grubb & Eliis Co. shares gained 8% after the company entered a definitive merger agreement with NNN Realty Advisors Inc., under which NNN's shareholders will receive 0.88 Grubb & Ellis shares for each NNN share. The merger, expected to close in the third or fourth quarter, will create a real estate services company with a market capitalization of $725 million. The new company will retain the Grubb & Ellis name and will continue to be listed under the symbol GBE. Scott D. Peters, chief executive and president of NNN, will become the chief executive officer of the combined company.
JetBlue Airways Corp. /zigman2/quotes/207639051/composite JBLU -2.33% shares rallied 6.1% after Prudential analysts repeated an overweight rating on the airline's shares and urged a buying of the stock ahead of any changes expected to be announced by the carrier's new chief executive, Dave Barger.
MGM Mirage /zigman2/quotes/209932643/composite MGM +0.99% shares jumped 27% Tuesday after Kirk Kerkorian's Tracinda Corp. said it's in talks to buy two of MGM's best-known Las Vegas landmarks: the luxurious Bellagio casino, and the $7 billion City Center development now under construction. See full story.
Monro Muffler Brake Inc.'s /zigman2/quotes/209907008/composite MNRO -0.07% shares added 9.2% after the company reported fiscal fourth-quarter net income climbed 31% to $4.25 million, or 28 cents a share, from $3.25 million, or 21 cents, a year earlier, due in part to strong same-store sales in the tire and maintenance service categories. The Rochester, N.Y., provider of automotive undercar repair and tire services said sales for the quarter ended March 31 rose 22% to $107.7 million from $88.3 million, due in part to a sales from new stores. The company backed its 2008 earnings view of $1.85 to $1.95 a share on sales of $435 million to $445 million.
Openwave Systems Inc. shares gained 7.3% on Tuesday after the company confirmed it has received an unsolicited partial tender offer from Harbinger Capital Partners to acquire up to 40.4 million shares of its common stock for $8.30 a share. The offer represents about 49% of the Redwood City, Calif.-based software firm's outstanding shares. Openwave said its board will review the offer and make a recommendation to shareholders within 10 business days, and asked shareholders to postpone making a decision on the offer until it that time. Harbinger already owns around 13% of Openwave and its offer will run until June 19.
Shares of Spansion , the world's No. 1 maker of NOR flash, surged 9.7% after Intel /zigman2/quotes/203649727/composite INTC -1.28% agreed to divest its money-losing NOR flash chip business into a new partnership with STMicroelectronics /zigman2/quotes/207734906/composite STM -1.98% and Francisco Partners. See full story.
Tsakos Energy Navigation Ltd. /zigman2/quotes/209262575/composite TNP +1.63% shares rose 8.9% after the Greece-based shipping company reported first-quarter net earnings of $43.5 million, or $2.28 a share, vs. a year-ago net profit of $41.8 million, or $2.19 a share. Revenue rose to $115.3 million from $98.9 million. Analysts polled by Thomson Financial were expecting, on average, a per-share profit of $1.54 on revenue of $96.3 million.
Black Box Corp. shares fell 6.7% after the company said its CEO Fred C. Young has resigned after nine years in the post.
Forgent Networks Inc. shares plunged 27% Tuesday. Late Monday, EchoStar Communications Group /zigman2/quotes/207505872/composite DISH +1.89% said a Texas jury has found in favor of the company in a lawsuit brought by Forgent. The jury found the patent Forgent accused EchoStar of violating to be invalid, Englewood, Colo.-based EchoStar said. Forgent had sought more than $200 million in damages.
Gander Mountain Company shares dropped 5.6% after the company said Tuesday its first-quarter net loss decreased to $22.8 million, or $1.14 a share, from a loss of $23 million, or $1.61 a share in the year-ago period. Sales rose 13% to $175.7 million. Analysts surveyed by Thomson Financial forecast a loss of 69 cents a share, on average.
GigaMedia Ltd. /zigman2/quotes/204964238/composite GIGM -0.56% shares fell 6.8% after the Taiwanese provider of online entertainment software and services reported first-quarter net earnings of $8.46 million, or 14 cents a share, vs. $3.17 million, or 5 cents a share, in the year-ago period. Excluding items, the profit came in at 15 cents a share. Revenue rose to $36.1 million, from $18.5 million. For its gaming software business, GigaMedia expects second-quarter revenue growth on a percentage basis to be lower than the percentage growth achieved in the first quarter.
KongZhong's shares tumbled 26% after the company said first-quarter net income fell sharply to $1.56 million, or 4 cents per American depositary share, from $8.61 million, or 24 cents a share, a year earlier, as operating and product development expenses rose and revenue fell 28%. Excluding items, earnings were 6 cents per share. The Beijing wireless services company's revenue fell to $20.1 million from $27.9 million. Analysts polled by Thomson Financial expected, on average, earnings of 6 cents a share on revenue of $20 million. Analyst estimates typically exclude items. KongZhong expects second-quarter revenue of $16 million and $18 million.
United Natural Foods' /zigman2/quotes/202981234/composite UNFI -2.06% shares dropped 11% after the company reported a 11% fiscal third-quarter net income rise to $13.7 million, or 32 cents a share, with revenue up 15% to $732.5 million. Analysts polled by Thomson Financial expected earnings of 35 cents a share on revenue of $733 million. It lowered its earnings guidance of the fiscal year to a range of $1.20 to $1.22 a share, from $1.25 to $1.30 a share, and it sees revenue between $2.75 billion and $2.8 billion.
Xinhua Financial Media shares fell 19% Tuesday. Xinhua's proxy advisory unit, Glass Lewis, saw two employees resign last week: research head Lynn E. Turner and research director Jonathan Weil. Questions have arisen over whether Xinhua Finance Media withheld unfavorable information about its former chief financial officer, Shelly Singhal, The Wall Street Journal reported in its Tuesday additions. Dan Connell, chief operating officer with Xinhua Finance in New York, told the Journal that Glass Lewis is safe from conflicts with Xinhua's other units because it is in the ratings business, which is separate from the investor-relations service.