Will These Stocks Drive Monday’s Market Off Track?
These stocks are generating heat this morning. Get a step ahead of the market and let us give you the lowdown on all the premarket action today.
1) Chesapeake Energy (NYSE:CHK): The stock is down 2.18% in early morning exchanges today, perhaps due to some contrversy that stirred over the weekend. The New York Times (NYSE:NYT) published an article titled “Insiders Sound an Alarm Amid Natural Gas Rush” essentially accusing executives at energy companies of having a harder time extracting natural gas than they would’ve admitted, and perhaps botching some related accounting figures. The article seemed to strike a chord with Chesapeake CEO Aubrey McClendon, who fired back, its “ludicrous to allege that shale gas wells are underperforming as we sit awash in natural gas, with natural gas prices less than half of what they averaged in 2008.” Competitors to Watch: Gastar Exploration Ltd. (AMEX:GST), Anadarko Petroleum Corp. (NYSE:APC), Devon Energy Corporation (NYSE:DVN), Bronco Drilling Co., Inc. (NASDAQ:BRNC), EOG Resources, Inc. (NYSE:EOG), Exxon Mobil Corporation (NYSE:XOM), Chevron Corporation (NYSE:CVX) and Apache Corporation (NYSE:APA).
2) Phillips Electronics (NYSE:PHG): Stock is up .59% this morning despite news that analysts at Nomura downgrade their expectations, cutting the company’s rating from buy to neutral. According to the analysts, “Given the poor performance so far this year, the share-price drop of 10% post the profit warning suggests a complete loss of confidence in the quality of the underlying assets or management or both.”
3) AutoZone (NYSE:AZO): Can expect a lukewarm at best open this morning as news gets around that renowned investor and hedge fund manager Eddie Lampert has been sequentially cutting his stake in the company, recently selling his largest chunk (6%) yet. Lampert’s fund owned as much as 25% of AZO’s outstanding shares in the mid 2000s, which has since exploded from near $30/share to over $290/share, a return of over 800%. Competitors to Watch: Advance Auto Parts, Inc. (NYSE:AAP), O’Reilly Automotive, Inc. (NASDAQ:ORLY), The Pep Boys – Manny, Moe & Jack (NYSE:PBY), U.S. Auto Parts Network, Inc. (NASDAQ:PRTS), General Motors Company (NYSE:GM), Toyota Motor Corp. (NYSE:TM), Honda Motor CO., Ltd. (NYSE:HMC), Ford Motor Company (NYSE:F), CarMax (NYSE:KMX), Tesla Motors Inc (NASDAQ:TSLA), Tata Motors Limited (NYSE:TTM) and Navistar Intl. Corp. (NYSE:NAV).
4) Nokia (NYSE:NOK): is trading up 1.87% this morning on a variety of news for the company, or maybe just that investors got bored of dumping their shares for a day. Nokia and Accenture (NYSE:ACN) reached an agreement whereby Nokia will outsource Symbian software development and customer service to Accenture, the deal will expire in 2016. Also making news this morning, Nokia and partner Siemens are struggling to find a buyer for a telecomm networking equipment company the businesses own jointly in Finland. Last year the firm had an operating loss of 686 million euros ($975 million) on revenue of 12.7 billion euros. Competitors to Watch: Broadcom Corp. (NASDAQ:BRCM), Ericsson (NASDAQ:ERIC), Sprint (NYSE:S), Verizon (NYSE:VZ), AT&T (NYSE:T), Nokia (NYSE:NOK), Intel (NASDAQ:INTC), NVIDIA (NASDAQ:NVDA), Motorola Mobility (NYSE:MMI), Motorola Solutions (NYSE:MSI), Research in Motion (NASDAQ:RIMM) and Texas Instruments Inc. (NYSE:TXN).
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