Movers: Humana, Take-Two, Caterpillar, American Eagle
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12/Mar/2008 8:52AM

Humana (HUM) cuts first quarter EPS guidance to $0.44-$0.46, vs. previous range of $0.80-$0.85, with 2008 EPS now projected to be in the range of $4.00-$4.25, vs. previous guidance of $5.35-$5.55. It says revised guidance is the result of updated projections for the company's 2008 stand-along PDP financial performance.

Take-Two Interactive Software (TTWO) posts $0.52 first quarter loss per share, vs. $0.30 loss a year ago, on 13% revenue drop. It sees $450-$500 million second quarter EPS, $1.00-$1.10 non-GAAP EPS; raises fiscal year 2008 guidance to $1.25-$1.4 billion revenue, $1.35-$1.55 non-GAAP EPS.

Caterpillar (CAT) backs its 2008 EPS growth estimate of 5%-15% and sales and revenue growth estimate of 5%-10%, and says it will invest $2.3 billion in capital expenditures for the year. Additionally, says it expects sales and revenue to approach $60 billion by 2010.

JP Morgan reportedly downgrades airlines AMR Corp. (AMR), Alaska Air Group (ALK), Continental (CAL), Delta Air Lines (DAL), Northwest Airlines (NWA), US Airways (LCC), and UAL Corp. (UAUA).

Covidien Ltd. (COV) offers to pay $2.10 in cash for each share of Tissue Science Laboratories PLC, for a total of about $80 million. It expects to complete the acquisition of the tissue implant manufacturer by the second quarter.

Talbots (TLB) posts $0.22 fourth quarter non-GAAP loss per share on 8% lower total sales. It sees $0.47-$0.52 fiscal year 2009 EPS from continuing operations, top line sales growth of about 3%. It says, for fiscal year 2009, planning conservatively in light of the current macro-related challenges.

American Eagle Outfitters (AEO) posts $0.66, vs. $0.44 a year ago, fourth quarter EPS on 2% lower same-store sales, 2.2% higher total sales.

J.Crew Group (JCG) posts $0.39, vs. $0.71 a year ago, despite 4% same-store sales rise (consistent calendar basis). It sees $1.85-$1.87 fiscal year 2009 EPS. S&P notes results match its estimate, reiterates buy.

Collective Brands (PSS) posts $0.73 fourth quarter loss per share, vs. $0.37 EPS a year ago, as purchase accounting expense, other item related to the acquisition of Stride Rite offset 12% revenue rise.

Steel Dynamics (STLD) raises $1.10-$1.20 first quarter EPS guidance to $1.25-$1.30 due to higher-than-anticipated flat-rolled steel pricing and improved scrap processing results.

Progenics Pharmaceuticals (PGNX) and Wyeth (WYE) say early results from a Phase 3 trial of intravenous methylnaltrexone, a drug for managing postoperative ileus, showed the treatment failed to meet its primary endpoint of reducing time to recovery of gastrointestinal function. The companies note the study also did not show that secondary measures of surgical recovery, including time to discharge eligibility, were superior to placebo. Results from a second Phase 3 study are expected by mid-year.

Separately, Wyeth says it will need to conduct more clinical studies to address questions from the Committee for Medicinal Products for Human Use regarding the risk-benefit profile of desvenlafaxine for treating vasomotor symptoms. As a result, WYE has voluntarily withdrawn its application to market in Europe desvenlafaxine for the treatment of vasomotor symptoms (hot flashes) associated with menopause.

Divx (DIVX) posts $0.11, vs. $0.21 a year ago, fourth quarter EPS as higher operating expenses offset 47% revenue rise. Anticipates product development expenses in 2008 will increase as a percentage of revenue. Sees $24.5-$25.5 million first quarter revenue on $0.01 loss per share to $0.01 EPS, Sees $95-$100 million 2008 revenue on $0.14-$0.22 EPS.

Immucor (BLUD) signs definitive agreement to acquire BioArray Solutions Ltd. for $117 million cash.

VeraSun Energy (VSE) posts $0.04, vs. $0.27 a year ago, fourth quarter EPS as higher corn costs, lower ethanol prices offset sharp revenue rise.




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