| Futures Point to a Flat Open. Stocks to Watch: BBY, BA, F, GOOG, HOLX, PALM, and X |
| Written by Christoper Lynn |
| Friday, 19 March 2010 08:46 |
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Concerns over Greece’s deficit problems re-surfaced, as European Union officials remained uncommitted on how they will provide financial assistance to the Greek government.
On the earnings front, Palm shares are plummeting in pre-market trading as the company reported a dismal quarter.
Investors should expect volatility in the afternoon trading, as today is options and futures expiration.
Today Stocks to watch: Best Buy (NYSE:BBY), Boeing (NYSE:BA), Ford (NYSE:F), Google (NASDAQ:GOOG), Hologic (NASDAQ:HOLX), Palm (NASDAQ:PALM), US Steel (NYSE:X).
Best Buy (NYSE:BBY), the consumer electronics retailer, may see some upside on a Goldman Sachs’ upgrade. The analysts at Goldman upgraded Best Buy to a “Buy” from a “Neutral”.
Boeing (NYSE:BA), the 2nd largest aircraft maker in the world, announced that it will accelerate planned rate increases on both the 777 and 747 programs. The accelerated rate increases will support increasing customer demand in the recovering airplane market. The current production rate decisions are not expected to have a material impact on 2010 financial results. The company will provide a complete guidance update when it releases first-quarter financial results.
Ford (NYSE:F), the Dearborn, MI based automaker, will be in focus after the Wall Street Journal reports that U.S. car sales rose the first half of March is lifting expectations that totals for the month will show the industry's recovery is picking up speed. J.D. Power & Associates is now forecasting March U.S. sales will reach an annualized pace of 12 million cars and light trucks, the highest level the industry has seen in 18 months except for last August, when "cash for clunkers" rebates spurred sales. Additionally, reports surfaced that talks for the sale of Ford’s Volvo unit to China’s Zhejiang Holding Group have been held up over internal issues at Ford.
Google (NASDAQ:GOOG), the owner of the leading Internet search engine, will be a stock to watch on reports that the company will close its business in China. China Business News reported that Google might announce details of its exit from China on Monday, citing unnamed Google employees in China. Google declined to comment on the newspaper reports.
Hologic (NASDAQ:HOLX), the medical imaging device maker, will be a stock to watch after an analyst notes it would be time for profit taking in the stock. Oppenheimer notes that Hologic shares have risen 35% this year. The analysts in the firm believe that investors are over estimating the growth potential that would be fueled by a digital mammography equipment replacement cycle, new products, or future opportunities. Oppenheimer expects another double-digit decline for mammography in FY10. As a result, the firm would use the recent strength to take profits in the stock.
Palm (NASDAQ:PALM), the maker of the Pre and Treo smart phone, will be on watch, after the company missed earnings estimate as it reported a dismal quarter. Investors were hoping of a rebound on a speculation the company might be taken over by a rival or a new technology player that will like to enter the smart phone market. Meanwhile numerous analysts downgraded the stock to sell with a target price of $0 a share.
US Steel (NYSE:X) is a stock to watch as the company estimates and target price were raised. Credit Suisse is rising its fiscal year 2010 earnings per share estimate to $1.90 a share versus consensus of $0.26. The analysts raised their target price for the stock to $56 from $45 following a meeting with management. The higher target price is based on current order book visibility, and emerging strength in the company’s tubular business. Credit Suisse now believe US Steel will return to profitability one quarter ahead of their previous expectations.
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New York, March 19th (TradersHuddle.com) – Stock futures are little changed, as a stronger Dollar and poor earnings were offsetting equities advance in overseas markets.