Lockheed Martin Cuts 600, eBay Reduces Guidance, and 3 More Hot Stocks

Lockheed Martin (NYSE:LMT): Lockheed Martin is planning to lay off some 600 employees in its Mission Systems and Training Division. The cuts will take effect later this month. Lockheed Martin spokesman Keith Little maintained that the layoffs are not linked to the partial U.S. government shutdown, but instead reflect the increasingly challenging business environment, Reuters reports.

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eBay Inc. (NASDAQ:EBAY): EBay reported its quarterly results on Wednesday evening, which saw earnings per share of 64 cents beat estimates by 1 cent as revenues of $3.89 billion just missed, by $0.01 billion. The company expects its fourth-quarter revenue to fall between $4.5 billion and $4.6 billion, and EPS of between 79 cents and 81 cents, below a consensus of $4.64 billion and 83 cents. PayPal remained strong, with sales up 19 percent year-over-year to $1.62 billion against a 20 percent gain last quarter. Payment volume for eBay rose 25 percent to $43.8 billion.

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International Business Machines Corp. (NYSE:IBM): Shares of IBM are trading 6 percent lower at open as it reported EPS of $3.99, beating by 3 cents, though revenues of $23.7 billion missed by $1.07 billion. The company is still guiding for 2013 EPS of at least $16.90 (consensus is at $16.89); job cuts, buybacks amounting to $1.9 billion, a lower tax rate (16 percent against 22 percent in the second quarter and 24.6 percent a year earlier), and a 60 bps year-on-year increase in gross margins to 48 percent allowed IBM earnings per share to sneak by with a beat.

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Berkshire Hathaway (NYSE:BRKA): Berkshire Hathaway has exercised its warrants good for 10.7 million shares of General Electric (NYSE:GE), which Berkshire received when CEO Warren Buffett made a significant capital injection in October 2008 to help General Electric slog through the financial crisis. At current market value, that block is worth roughly $259.6 million; the contract on the warrants is set to expire on Friday.

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