Tag - RATE

Orexigen Therapeutics Inc. (Nasdaq:OREX), Repligen Corp. (Nasdaq:RGEN) and Affymetrix Inc. (Nasdaq:AFFX) are among the most actively traded companies in Thursday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Seattle Genetics (Nasdaq:SGEN), Bankrate Inc. (Nasdaq:RATE), TriQuint Semiconductor Inc. (Nasdaq:TQNT), PDL BioPharma Inc. (Nasdaq:PDLI), Volterra Semiconductor Corp. (Nasdaq:VLTR) and ClickSoftware Technologies Ltd. (Nasdaq:CKSW).

The markets were up today sloughing off yesterday's losses. The down closed up 57 points to 8,504. The Nasdaq gained 11 points to close at 1,845 and the S&P 500 gained 4 points to close at 923 after hitting resistance at 932 in morning trading and slowly sliding back down.

The Russell 2000, moved up just under 2% for the day to close at 517. The Russell 2000 represents the 2,027 small cap companies and contains well known companies like 1-800 Flowers.com (Nasdaq:FLWS), BankRate.com (Nasdaq:RATE), and Dominos Pizza (NYSE:DPZ). The Russell 2000 Index is up 50.7% since the market's nadir on March 9, 2009.

Small-cap gainers were lead by Oshkosh Corporation (NYSE:OSK), up 27% after the Pentagon announced that the firm's new blast resistant, off-road ground force vehicles were the "clear winners" in a multi-billion dollar competition. Oshkosh won the bid to build 2,244 vehicles for a deal worth $1.06 billion. The company beat out defense industry heavyweights including BAE Systems (LSE:BA.L) and General Dynamics (NYSE:GD).

A very exciting small-cap gainer today was LogMeIn (Nasdaq:LOGM), up 25% on it's IPO. LogMeIn is an on-demand connectivity specialty service firm whose product allows computer users to access files and services on one of their computers from another computer across the Internet.

For example, workers can access files resident on their office computers from home without having to attach to a corporate network or have their files stored on network servers. LogMeIn's services are primarily directed to small and medium-sized businesses.

Other gainers included Ivanhoe Mines (NYSE:IVN), up 23%; Northeast Bancorp (Nasdaq:NBN), up 23%; and ShengdaTech (Nasdaq:SDTH), up 19% after being upgraded by Roth Capital to a Buy rating from a Hold.

Small-cap decliners were lead by CardioNet (Nasdaq:BEAT), down 41% on news that the company slashed its profit and revenue outlook for 2009. The Pennsylvania-based maker of wireless heart-monitoring devices revised its profits to a range of 30 cents to 35 cents from earlier forecasts of 69 cents to 73 cents. Investors punished the company by unloading shares started right the open and continuing through the day. Shares tumbled to $9.57 from Tuesday's close of $16.32.

Rounding out the small-cap decliners were Repros Therapeutics (Nasdaq:RPRX), down 31% after being downgraded by Wedbush Morgan and Ladenburg Thalmann; Spartan Motors (Nasdaq:SPAR), down 27%, and Immersion Corporation (Nasdaq:IMMR), down 23%.

*****Earnings season is right around the corner. It seems that expectations are pretty low. I've read a few commentaries that suggest that estimates are low enough that companies should be able to meet them. Of course, what corporate America has to say about the future will be important.

Of course, I'll be watching the banks closely.

*****A lot has gone right for the banks lately. Changes to accounting rules have allowed them enough breathing room to operate. Mortgage loan modifications have brought in fees. And trading activities have even helped some banks to boost profits.

Still, I believe there's another banking shoe to drop.

As I reported yesterday, foreclosure sales are the majority of home sales these days. And when a bank sells a foreclosed home, it is a realized loss. That's as opposed to a non-performing loan or a foreclosed home that has yet to be sold, which can be counted as an asset.

Further exacerbating this is that banks are not realizing as much profit on those sales of foreclosed homes as they're all flooding the market with them and thus driving down prices.

So I expect to see higher losses affecting banks' earnings in the future. These losses may not show up in the earnings season that's about to begin, but they are looming.

*****It was reported today that mortgage applications fell 19% last week, another sign that foreclosures are driving the market. It also reinforces the point that once foreclosure sales slow, there may well be little demand for traditional home sales to pick up the slack.

Rising interest rates and still-falling home values are also impacting new mortgage applications. It's a buyers market, and there's no reason to rush in when prices are falling and loan costs are rising.

*****Bloomberg is reporting that 20 million of the 93 million homes, condos and co-ops in the U.S. are underwater as of March 31, 2009. Somebody will take these losses at some point, whether it's the homeowner, the bank or the government/taxpayer or a combination of any or all of the three.

******We know that sub-prime mortgages were a major source of non-performing loans and foreclosures. Now, prime mortgages are in trouble. In his morning missive to his traders, TradeMaster Daily Stock Alerts' Jason Cimpl had this to say:

Delinquencies on prime mortgages soared in the first quarter of this year. Delinquency rates on prime mortgages, the least risky category, were 661,914, a jump from 250,986 a year earlier. Two thirds of all mortgages in the U.S. are prime mortgages, so any percentage increase in delinquencies represents a huge absolute number of delinquent mortgages. Here is more proof that banks are in for a tough few years as they must monitor their loan portfolios even closer and suffer write-offs. If prime mortgages start going south in a big way, look for banks to stiffen lending standards even more. Either way, this will have a negative impact on their bottom line numbers

The evidence is building that the economy is nowhere near out of the woods. And we can also see that banks will be facing serious problems ahead. As I said yesterday, investors should be on their toes.

Also, we're not recommending downside positions on banks - yet. But that time will come, and there will be a lot of money to be made.

*****I'm giving my staff the day off on Friday. There will be no Daily Profit that day. And I've cajoled Jason into giving us his video chart analysis tomorrow, so we have that to look forward to tomorrow…

If you can't wait, check out Jason's video from last week and get a special opportunity to try his TradeMaster service. Click here.

 

Bankrate Inc (Nasdaq:RATE), First Bancorp Inc  (Nasdaq:FBNC) and United America Indemnity Ltd (Nasdaq:INDM) are among the new 52-week lows in Wednesday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Gildan Activewear Inc (Nasdaq:GIL), First United Corp Maryland (Nasdaq:FUNC), Investors Title Co (Nasdaq:ITIC), Albany International Corp (Nasdaq:AIN), Texas Capital Bancshares Inc (Nasdaq:TCBI) and NACCO Industries Inc (Nasdaq:NC).

H&E Equipment Services Inc. (Nasdaq:HEES), ManTech International Corp. (Nasdaq:MANT) and First Bancorp Inc. (Nasdaq:FBNC) are among the biggest percentage losers in Wednesday's trading among companies with market capitalizations under $1 billion.

Also included among the results: United America Indemnity Ltd. (Nasdaq:INDM), Pharmasset Inc. (Nasdaq:VRUS), Telvent GIT SA (Nasdaq:TLVT), Bankrate Inc. (Nasdaq:RATE), Teekay Tankers Ltd. (Nasdaq:TNK) and NACCO Industries Inc. (Nasdaq:NC).

Small-cap stocks pushed higher early Friday as investors chose a “glass half full” approach to this morning’s dreary employment data, hoping that the bad news will push lawmakers to move quickly next week to bolster the economy. Some of today’s small-cap gainers were Omniture, Inc. (Nasdaq:OMTR), Skyworks Solutions (Nasdaq:SWKS) and TeleCommunication Systems Inc. (Nasdaq:TSYS).

Other Market Watch highlights today included:

• However, there were some thoughts that the dismal reading will simply prod lawmakers to be more aggressive in agreeing to a big stimulus package.  
• By any measure, the jobs report presented a bleak picture of the U.S. economy.  
• Small-cap stocks pushed higher early Friday as investors chose a “glass half full” approach to this morning’s dreary employment.  
• The chart structure for the Russell 2000 has eased into a mini-trading range within the elongated extended trading range.

Small Cap Gainers:

• Business optimization software provider Omniture, Inc. is up 17% after reporting big revenue jumps in Q4 earnings Thursday. (See Nasdaq:OMTR)  
• Chip maker Skyworks Solutions is up 17% to $5.88 on stronger-than-expected Q1 earnings released after Thursday's close. (See Nasdaq:SWKS)  
• Wireless communications technology company TeleCommunication Systems Inc. is up 17.2% to $8.50 after reporting positive Q4 earnings late Thursday.(See Nasdaq:TSYS)
• Air freight company Atlas Air Worldwide Holdings Inc. is up nearly 13% to $15.04 after this morning announcing it will trim freighter fleet and cut staff. (See Nasdaq:AAWW)  

Small Cap Losers:

• Consumer finance website operator Bankrate was down 13% in premarket after reporting weaker-than-expected Q4 profits late Thursday. (See Nasdaq:RATE)  
• Disease-management program administrator Healthways Inc. is down 23% in pre-market after announcing late Thursday that a loss of contracts and the overall weak economy will hurt revenue in 2009. (See Nasdaq:HWAY)

SM&A (Nasdaq:WINS), First Regional Bancorp (Nasdaq:FRGB) and Ardea Biosciences Inc. (Nasdaq:RDEA) are among the biggest percentage gainers in Friday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Idenix Pharmaceuticals Inc. (Nasdaq:IDIX), Bankrate Inc. (Nasdaq:RATE), Cbeyond Inc. (Nasdaq:CBEY), Loral Space & Communications Inc. (Nasdaq:LORL), DivX Inc. (Nasdaq:DIVX) and Great Atlantic & Pacific Tea Co Inc. (Nasdaq:GAP).

Here are the biggest percentage gainers among small caps:

Shares of Bankrate Inc. (Nasdaq:RATE) dipped by nearly 3% this morning following an analyst’s downgrading of its stock.

This morning, Collins Stewart downgraded the North Palm Beach, Fla.-based Internet banking firm to “sell” from “hold.”

By late morning, the stock was at $33.10, down $0.98 from Wednesday’s close. The stock has traded as low as $24.54 and as high as $57.32 during the past 52 weeks.

For detailed price information and news stories on Bankrate, click RATE.

SurModics, Inc. (Nasdaq:SRDX), Evergreen Solar Inc. (Nasdaq:ESLR) and Palm Inc. (Nasdaq:PALM) are among the most actively traded companies in Thursday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Solarfun Power Holdings Co Ltd. (Nasdaq:SOLF), Bankrate Inc (Nasdaq:RATE), Ceragon Networks Ltd. (Nasdaq:CRNT), Brigham Exploration Co. (Nasdaq:BEXP), Dress Barn Inc. (Nasdaq:DBRN) and Clean Energy Fuels Corp. (Nasdaq:CLNE).

Here are the most actively traded companies among small caps:

Ahead of today’s opening, Bankrate Inc. (Nasdaq:RATE) began its previously announced stock repurchase program of up to $50 million. The company said the share repurchases are being done through Credit Suisse under Securities and Exchange Commission guidelines.

“We have over $75 million in cash and our business is growing and generating excellent cash flow which allows for investing in Bankrate stock as well as continuing to seek accretive strategic acquisitions to assist in executing on our plan,” said Thomas Evans, president and CEO, in a statement.

In pre-market trading, shares of Bankrate, an Internet-based banking and finance network, are mostly flat, at $25.54, up $0.01 from Friday’s close. During the past 52 weeks, shares of Bankrate have ranged from $25.05 to $57.32.

Interactive Intelligence Inc (Nasdaq:ININ), FirstFed Financial Corp (Nasdaq:FED) and Virtusa Corp (Nasdaq:VRTU) are among the new 52-week lows in Monday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Landmark Bancorp Inc (Nasdaq:LARK), Orthofix International NV (Nasdaq:OFIX), Build-A-Bear Workshop Inc (Nasdaq:BBW), Bankrate Inc (Nasdaq:RATE), CCA Industries Inc (Nasdaq:CAW) and Umpqua Holdings Corp (Nasdaq:UMPQ).

Here are the new 52-week lows among small caps:

As of late, the subprime mess has made many investors run from any stocks having to do with real estate or mortgages, but before you head for the hills just yet, consider this: additional interest rate cuts by the Fed would likely encourage a new wave of mortgage refinancing. This would not only benefit Bankrate.com, Inc. (Nasdaq: RATE), and Move, Inc.’s (Nasdaq: MOVE) Realtor.com, but also the investors who roll the dice in the general direction of these two mortgage shopping websites.

Bankrate.com is the leading online website for mortgage shopping, and owns and operates several Internet-based consumer banking sites.

Its flagship site, Bankrate.com, aggregates information that allows consumers to compare mortgages, home equity loans, auto loans, credit cards, money market and CD rates and ATM fees. Bankrate.com gathers this information from approximately 4,800 financial institutions and 575 markets nationwide. 

Revenues are generated from selling advertising on its consumer finance websites, which include Bankrate.com, Interest.com, FastFind.com and Mortgage-cacl.com. In addition, the company sells advertising in its published mortgage, CD and deposit rate guides and through its subscription newsletters. It also generates fees from licensing its data to research organizations.

Recent acquisitions are enabling Bankrate.com to extending its reach into new consumer finance segments. In December and January, the company acquired Nationwide Card Services, a Web-based credit card marketer; SavingsforCollege.com, which specializes in 529 savings plans for college tuition; InsureMe, which operates a website where consumers can compare insurance rates; and Lower Fees, which operates Fee Disclosure, an online site for comparing mortgage transaction and closing fees. The combined purchase price of the four businesses was approximately $98 million, excluding potential cash earn-outs based on achieving certain financial performance metrics. 

Bankrate.com’s total revenues increased 20% in 2007 to $95.6 million from $79.6 million, driven by 31% year-over-year growth in on-line revenues, 26% improvement in graphic advertising revenues and a 38% gain in hyperlink revenues, which was partially offset by a 24% decline in print publishing and licensing revenues. Despite doubling net income in 2007 to $20 million, or $1.04 per share, from $10 million, or $0.56 per share last year, Bankrate.com’s shares fell due to lower-than-expected December quarter results. 

Bankrate, Inc. (Nasdaq: RATE), owner and operator of an Internet-based consumer banking, said this morning that it acquired Nationwide Card Services, Inc. and Savingforcollege.com in separate transactions.

The small cap acquired Nationwide Card Services, which markets a line of consumer and business credit cards via the Internet, for $26.4 million in cash with an additional $7 million in potential earn-out based on achieving specific financial performance metrics over the next two years.

Bankrate also acquired Savingforcollege.com LLC, a privately owned business run by college finance industry specialist Joseph Hurley for $2.25 million in cash and an earn out of $2 million for the achievement of certain performance metrics over the next two years.

The acquisition also provides Bankrate with copyright ownership of Mr. Hurley's highly regarded books, guides and other industry publications such as "Family Guide to College Savings," widely recognized as the industry standard.

Savingforcollege.com provides information about 529 college savings plans and is designed to help consumers and financial professionals learn more about options for college financing.

The company said it expects both acquisitions to be accretive in 2008 and is forecasting revenues of between $140 and $145 million. Fifteen analysts polled by Thomson Financial are on average projecting revenues of $118.84 million.

Shares of Bankrate (RATE) rose 5.95%, or $2.25, to $40 in pre-market trading. Shares of Bankrate have been trading in the range of $ 32.70 to $53.80 for the past 52 weeks.

The Russell 2000 is below the flat line in midday trading, while the Dow is on track for a new record close.  Among small caps, shares of Sigma Designs, Inc. (Nasdaq: SIGM) are sagging on news of an analyst downgrade, while positive analyst coverage has boosted Bankrate, Inc. (Nasdaq: RATE).

At 2:32 p.m. ET the Russell 2000 had lost 5.82 points, or 0.70 percent, to 823.88.  The Dow Jones Industrial Average was up 16.01 points, or 0.12 percent, to 13,136.95.