Tag - Citp

Small-cap stocks took a nosedive on the opening, knocked to the canvas by yet another rout in financial stocks and by a dramatic morning plunge in technology stocks. At 10:03 a.m. ET, the Russell 2000 (NYSE:IWM) was down 8.99, or 1.25%, at 707.31, reaching the lowest point since April 24.

The tech-laden Nasdaq 100 Index was off about 2% this morning, with big-name tech stocks like Research in Motion (Nasdaq:RIMM) and Oracle Corp. (Nasdaq:ORCL) leading a jolting slide in the tech arena to start the day. RIMM shares were off 10% as its forward guidance disappointed. Oracle reported solid quarterly results, but provided a cautious outlook for the next quarter. Shares for the third-largest software maker were off 3% early.

The selling mood was also fueled this morning by a steep climb in crude oil prices, which shot back above $138 dollars a barrel. Commodity markets look firm to start the day amid a soft tone in the U.S. dollar. Corn prices are called sharply higher, copper prices were up 1.5% overseas and aluminum prices are up 10% so far in June, which keeps nagging inflation fears right in front of the market at a difficult time for the economy and for interest rate policy makers.

Analyst downgrades also took a toll on stocks this morning as researchers at Goldman Sachs lowered its rating on General Motors Corp. (NYSE:GM) overnight to a “sell” from “neutral,” and the stock tumbled 10% shortly after the open. Goldman put Citigroup (NYSE:C) on its sell list and the nation’s top bank slumped more than 5% early. Goldman also slashed its rating on the brokerage industry, so those stocks could be under pressure this morning as well. Merrill Lynch (NYSE:MER) shares were off 4%, joining the weakness seen in financial shares after the opening.

Financial stocks were taking a hit overseas, with European bank Fortis sinking some 10% on news that it will cancel its dividend and raise capital. European stocks were also off more than 1% heading into the U.S. open, while Asia shares were . . .

LHC Group, Inc. (Nasdaq:LHCG), Volcom, Inc. (Nasdaq:VLCM) and PC Connection Inc. (Nasdaq:PCCC) are among the biggest percentage gainers in Thursday's trading among companies with market capitalizations under $750 million.

Encore Capital Group (Nasdaq:ECPG), O2MICRO Intl Ltd. (Nasdaq:OIIM) and Comsys IT Partners (Nasdaq:CITP) are also among the top small-cap percentage gainers.

Here are Thursday's biggest percentage gainers among small caps:

Small-cap shares pushed higher after a soft opening, lifted by a firm U.S. dollar and ideas that Wednesday afternoon’s dramatic downturn after the rate cut announcement may have been overdone. At 10:02 a.m. ET, the Russell 2000 (NYSE:IWM) was up 2.82, or 0.39%, at 719.00.

The ISM Manufacturing Survey — released at 10:00 a.m. ET — came in at 48.6%, which was up just slightly from the forecast at 48.0% . The market was little changed immediately after the report. The Construction Spending report also came out in tandem with ISM, and was down 1.1%, which was below the forecast for a loss of 0.6%.

Weekly Claims data this morning came out before the opening, and showed a jump to 380,000, which was above the forecast. The rise in jobless claims keeps concern about the economy and the employment picture on the front burner ahead of Friday’s big monthly jobs report. Given relatively soft price action since FOMC, investors appear to be in the mood to either book profits on winning longs ahead of that jobs event risk, or else sit on the sidelines and wait for the number before diving back into the fray.

The dollar was on a charge this morning, jumping well over 100 bps, or nearly 0.9%, versus the euro to the highest point since late March. Crude oil was down . . .

Comsys IT Partners, Inc. (Nasdaq: CITP) this morning reported fourth-quarter results in line with the Street, but issued first-quarter earnings and revenue guidance below the consensus on Wall Street.

The provider of information technology staffing and consulting services issued revenue guidance for the first quarter of 2008 in a range of $181 million to $186 million and net income guidance in the range of $5.1 million to $5.9 million, or approximately $0.25 to $0.29 per diluted share. The consensus of two analysts polled by Thomson Financial was for earnings of $ 0.41 per share on revenues of $187.60 million.

Comsys noted that the estimated net income amounts include the seasonal impact of payroll-related taxes that the company experiences in the first quarter of each year and are based on an effective tax rate of 24% (up from 7.6% in the first quarter of 2007).

“… Guidance for the first quarter is below consensus expectations due to slowing demand given building macro headwinds,” Robert W. Baird analyst Mark Marcon wrote in a research note this morning.

News of the company’s first-quarter guidance took the forefront, pushing the stock downward despite fourth-quarter results that clocked in in line with the Street.

For the three months ended Dec. 30, 2007, the Houston, Texas-based company recorded net income of $8.7 million, or $0.43 per diluted share, in line with the mean estimate of two analysts polled by Thomson Financial.

Comsys noted that results for the fourth quarter included a pre-tax charge of $1 million, or $0.05 per diluted share, related to the potential uncollectible accounts receivable exposure resulting from the bankruptcy of VMS provider.

The Russell 2000 (NYSE: IWM) is falling as investors take a dim view of the state of the U.S. housing market. At 1:53 p.m. ET, the small-cap index was down 3.57 points, or 0.49%, to 720.38. The Dow Jones Industrial Average (INDU) was up 3.41 points, or 0.03%, to 12,830.90.

Stocks have trimmed their morning gains and small caps have fallen in the red following news that Countrywide Financial Corp. (NYSE: CFC), the biggest U.S. mortgage lender, is facing swelling debt-protection costs.

There’s speculation that the Calabasas, Calif.-based company, which had liquidity problems last summer due to the meltdown in the subprime mortgage sector, could file for bankruptcy later this week.

That’s a stark reminder of the depth and size of the mess in the subprime mortgage sector, which began as U.S. home prices started to decline in the second half of 2006, leading to a wave of foreclosures and loan delinquencies.

A number of mortgage lenders have called it quits since then, but Countrywide will potentially be the biggest casualty yet.

That has apparently spooked investors.

Shortly after the start of trading the National Association of Realtors reported that pending U.S. home sales fell a more-than-expected 2.6% in November to a reading of 87.6. The October reading was an upwardly revised 89.9. The figure for September was also revised higher.

The Russell 2000 (NYSE: IWM) lost ground today following news of an unexpected downsizing in U.S. manufacturing in November. The small-cap index fell 12.48 points, or 1.63%, to 753.55. The Dow Jones Industrial Average (INDU) dropped 220.86 points, or 1.67%, to 13,043.96.

The first session of 2008 belonged to the bears following news that U.S. manufacturing unexpectedly shrank in December.

The Institute for Supply Management reported after that its manufacturing index fell to 47.7 in December, down from 50.8 in November and well below economists’ projections for a reading of 50.5. A level above 50 indicates an expansion.

The decline, which comes after 10 months of expansion, is due to a fall in new orders, production and exports. The data tell us that tighter lending conditions and the ongoing problems in the U.S. housing sector have taken their toll.

The numbers also renew fears that the slowing U.S. economy could tip into recession. Manufacturing comprises about 14% of gross domestic product.

Small-cap stocks started just above the flat line but dropped immediately after the report’s release at 10 a.m. ET.

Equities experience a short-lived bounce in the afternoon when the U.S. Federal Reserve released its minutes from the meeting on Dec. 11, when it decided to lower the target interest rate 0.25% to 4.25%.

The Russell 2000 (NYSE: IWM) is in the red as investors respond to news of an unexpected contraction in the U.S. manufacturing sector. At 1:31 p.m. ET, the small-cap index had lost 13.87 points, or 1.81%, to 752.20. The Dow Jones Industrial Average (INDU) was down 242.40 points, or 1.83%, to 13,022.42.

The bears are dominating trading today on news that U.S. factory production unexpectedly shrank in December.

The Institute for Supply Management reported after the start of trading that its manufacturing index fell to 47.7 in December. Economists were expecting to see a reading of 50.5, down from 50.8 in November. A level above 50 indicates an expansion.

The decline tells us that tighter lending conditions and the ongoing problems in the U.S. housing sector have taken their toll. The data also renewed fears that the slowing U.S. economy could tip into recession.

Manufacturing comprises about 14% of gross domestic product.

Meanwhile, construction spending in November surprisingly increased 0.1% from the level in October, according to the U.S. Census Bureau. Economists were expecting to see a decline of 0.4%.

The Russell 2000 (NYSE: IWM) and the other major U.S. indices are falling on unexpected news that the manufacturing sector is contracting.
 
At 10:47 a.m. ET, the small-cap index had lost 8 points, or 1.04%, to 758.03. The Dow Jones Industrial Average (INDU) was off 98.28 points, or 0.74%, to 13,166.54.

Stocks opened with small gains but quickly sunk after 10 a.m. ET on news that the U.S. manufacturing sector is contracting.

The Institute for Supply Management reported that its manufacturing index fell to 47.7 in December from 50.8 in November. Economists were expecting to see a level of 50.5, which would have been the 11th consecutive month of growth. A reading above 50 indicates an expansion.

New orders, production and exports declined considerably, while imports posted a modest gain.

The numbers tell us that the slump in the U.S. housing sector has spread to other sectors of the economy.

With the bears running the show and economic fears coming to the forefront, investors are largely disregarding upbeat construction news.

CMGI, Inc. (Nasdaq: CMGI), American Electric Technologies, Inc. (Nasdaq: AETI) and Hoku Scientific, Inc. (Nasdaq: HOKU) are among the biggest percentage gainers in Tuesday's trading among companies with market capitalizations under $750 million.

Here are today's biggest percentage gainers:

Diamond Mgt. & Technology Consultants Inc. (Nasdaq: DTPI), Accredited Home Lenders Holding Co. (Nasdaq: LEND) and LIN TV Corp. (NYSE: TVL) are among the biggest percentage gainers in Friday's trading among companies with market capitalizations under $500 million.

Here are today's biggest percentage gainers: