Tag - :SORC

The Russell 2000 and the other major indices are falling despite news of strong earnings at Morgan Stanley and a fall in bond yields.

At 10:15 a.m. ET the Russell 2000 has lost 1.91 points, or 0.23 percent, to 846.43. Dow Jones Industrial Average was down 4.39 points, or 0.03 percent, to 13,631.03.

Investors reacted well to news that New York-based financial services giant Morgan Stanley (NYSE: MS) reported a 40% increase in its second-quarter net income, while revenue rose 32% to $11.52 billion.

Elsewhere, the yield on the U.S. government’s 10-year Treasury note has fallen to 5.13%, easing concerns of higher borrowing costs. Bond yields help determine rates on loans and mortgages.

Wall Street opened the day in negative territory on news of a rise in U.S. Treasury notes.
 
At 9:58 a.m. ET the Russell 2000 was down 5.30 points, or 0.64 percent, to 827.88. Dow Jones Industrial Average was down 38.28 points, or 0.29 percent, to 13,386.68.

The 10-year Treasury note increased to 5.21%, on growing concerns that the U.S. Federal Reserve will not lower interest rates this year. Last week marked the first time in 10 months that the note crossed the $5 mark. The 2-year Treasury note has climbed to 5.04%.

The following were the most actively traded companies in Tuesday's trading among those with market capitalizations under $500 million:

Idenix Pharmaceuticals, Inc. (Nasdaq: IDIX) announced that the Cambridge, Mass.-based company achieved its primary and secondary endpoints in the second trial phase of its hepatitis C drug valopicitabine.

Neurochem Inc. (Nasdaq: NRMX) said that no predictions or conclusions can be made regarding the outcome of the phase III trial for its Alzheimer’s treatment Alzhemed.

On lower sales, Cyberonics, Inc. (Nasdaq: CYBX) announced a fourth-quarter loss of $0.42 per share, compared to a $0.17 a share loss in the year-ago period. Analysts polled by Thomson Financial were expecting a loss of $0.35 per share.

China-based Connect Holdings Ltd. announced progress in its cash offer of $11 per share to acquire all issued shares of Pacific Internet Ltd. (Nasdaq: PCNTF). Withdrawal of acceptances is permitted until 1:00 a.m. ET on June 22.

Nastech Pharmaceutical (Nasdaq: NSTK) reported this morning it received a U.S. patent titled "Cyanocobalamin Low Viscosity Aqueous Formulations for Intranasal Delivery." Issuance of the new patent prompts an obligation by QOL Medical LLC to pay the Bothell, Wash.-based Nastech $2 million under the license agreement granting QOL Medical rights to Nascobal Nasal Spray.

Oil and gas company GMX Resources Inc. (Nasdaq: GMXR) announced successful results from the test drilling of a 20-acre plot in the area of east Texas and northern Louisiana known as Cotton Valley.

The following are the most actively traded companies in Tuesday pre-market trading among those with market capitalizations under $500 million:

Source Interlink Companies, Inc. (Nasdaq: SORC) traded on both sides of Monday’s close in after hours trading, following news that the company missed analysts’ estimates in the latest quarter.   

For the fiscal first quarter 2008 ended April 30, Source Interlink reported earnings of $0.03 per share, compared with $0.06 per share a year earlier.  Analysts polled by Thomson First Call expected EPS of $0.13.  Company officials stated that it earned $0.10 per share, excluding $3.9 million in one-time charges for depreciation and amortization of acquired intangibles.

 
The Florida-based provider of home entertainment products and marketing services reported a 6% increase in revenues of $475.4 million for the first quarter, compared with $ 447.9 million a year earlier. Operating income increased 33% to $8.8 million, from $6.6 million in the first quarter of fiscal 2007.

Wall Street is trading close to the flat line this morning, with no major news items weighing on investors’ minds.
 
At 10:09 a.m. ET the Russell 2000 was down 2.17 points, or 0.26 percent, to 833.14. Dow Jones Industrial Average had added 9.99 points, or 0.07 percent, to 13,434.38.

The most significant risk facing the U.S. economy is that inflation will not moderate, according to top Federal Reserve official Sandra Pianalto this morning. Pianalto, who is president of the Federal Reserve Bank of Cleveland, said that inflation remains the dominant concern of the U.S. central bank, according to news reports this morning.

Pianalto added that America’s economic fundamentals remain solid even though problems in the housing sector may have reduced economic growth by a full percentage point.

The following were the most actively traded companies in Monday's trading among those with market capitalizations under $500 million:

The following were the most actively traded companies in Thursday's trading among those with market capitalizations under $500 million:

The following were the most actively traded companies in Monday's trading among those with market capitalizations under $500 million:

The Russell 2000 lost big today, while the Dow managed a small rise.  Among specific small cap stocks, QAD Inc. (Nasdaq: QADI) said it expects to report a loss in the first quarter of fiscal 2008, while shares of Source Interlink Companies, Inc. (Nasdaq: SORC) sagged on news of a $1.2 billion media acquisition.

The Russell 2000 lost 7.21 points, or 0.87%, to 822.33.  The Dow Jones Industrial Average added 20.56 points, or 0.15%, to 13,346.78.

The following are the most actively traded companies in Monday's trading among those with market capitalizations under $500 million:

These are the biggest percentage losers among companies with market capitalizations under $500 million:

Lexington, Mass.-based Critical Therapeutics, Inc. (Nasdaq: CRTX) announced this morning that the U.S. Food and Drug Administration approved its drug for the treatment of Chronic Obstructive Pulmonary Disease (COPD).  Nevertheless, shares are down $0.03, or 2%, to $1.65.

End-to-end electronics manufacturing services SMTC Corp. (Nasdaq: SMTX) reported this morning that its first-quarter net income was $2.8 million, or $0.19 per share, approximately three times net income reported in the first quarter 2006.  Analysts were expecting earnings of $0.05 per share.  The Canadian company’s stock is up $0.03, or 1%, to $3.07.

The following are the most actively traded companies in pre-market trading among those with market capitalizations under $500 million: