Tag - Sma

Infinera Corp. (Nasdaq:INFN), Mesabi Trust (Nasdaq:MSB) and North American Galvanizing & Coatings Inc. (Nasdaq:NGA) are among the biggest percentage losers in Monday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Sanderson Farms Inc (Nasdaq:SAFM), Symmetry Medical Inc. (Nasdaq:SMA), Vocus Inc. (Nasdaq:VOCS), NL Industries Inc. (Nasdaq:NL), MutualFirst Financial Inc. (Nasdaq:MFSF) and Numerex Corp. (Nasdaq:NMRX).

Small-cap stocks pushed higher Tuesday, as investors tried to balance ongoing worries about the economy and corporate profits versus hope for fresh stimulus funds. Short-term oversold conditions likely played a supportive role as well. The Russell 2000 (NYSE:IWM) closed up 4.99, or 1.06%, at 473.79 and is now down 5.1% for the year, while the Dow is off 3.7% and the S&P 500 is down 3.4%.

As the market lurches forward into the earnings season, the picture remains gloomy with Alcoa Inc. (NYSE:AA) kicking off the proceedings Monday after with a larger-than-expected loss and big-cap bellwether General Electric Co. (NYSE:GE) taking a hefty 5.6% hit today amid negative analyst comments. In general, no one is expecting earnings to be a positive story, but if things veer too far south of an already dour forecast, it could generate enough worries to send the market back toward a retest of the lows. All that said, in some ways it’s actually a positive to see the overall market holding up reasonably well today given the slide in GE shares.

Despite the seeming preponderance of negative input again today, small caps held in well throughout the session, perhaps hinting that some investors are willing to take a shot at riskier fare given the recent pullback off the highs. In addition, energy and commodity stocks often have a powerful directional bias on small caps and those sectors were on better footing today.

Crude oil prices closed out the day with a modest gain of $0.19 a barrel, which was off the U.S. trading session highs, but still quite a bit better than losses seen in overseas action. U.S. crude finished up 0.5% at $37.78, underpinned by talk from Saudi officials that they had cut production beyond the scope of previous announcements and by a brutal cold front pushing into the northern Midwest that could spike up . . .

Small-cap stocks edged slightly lower on the open, pulled down by declines in overseas markets but a bounce in crude oil prices into the stock market opening helped limit selling interest, as did Federal Reserve comments on the TARP.  Some of today’s small-cap gainers were ZymoGenetics (Nasdaq:ZGEN), Lexington Realty Trust (NYSE:LXP) and Symmetry Medical Inc. (NYSE:SMA).

Other Market Watch highlights today included:

• Europe stocks were down about 2%, while Asian equities were off about 3%, with mining, energy, telecom, bank and tech stocks taking a hit.  
• In overseas trading, European and Asian markets appeared to be “catching up” with the slide Monday in U.S. equities.  
• Crude oil prices were down about $1 a barrel overnight, but rallied back into positive territory just ahead of the stock market open today.  
• The international trade report showed that the U.S. deficit narrowed by 28.7% in November, which marked the largest contraction in 12 years.  

Small Cap Gainers:

• Bristol-Myers buys ZymoGenetics’ experimental Hepatitis C drug; shares of ZymoGenetics pop 53% in pre-market. See (Nasdaq:ZGEN).
• Lexington Realty Trust rose 14%, essentially recovering Monday’s big decline. See (NYSE:LXP).  
• Symmetry Medical Inc. climbed 13% as the medical implant firm tried to rally after sinking to the lowest daily close in more than a year on Monday. See (NYSE:SMA).
• InterOil Corp. rose 12% as the firm updated drilling progress on a reservoir in Papua, New Guinea. See (NYSE:IOC).  

Small Cap Losers:

• Cepheid gapped lower and fell 18% gene analysis firm reported earnings that didn’t match up with investor expectations. See (Nasdaq:CPHD).  
• Prestige Brands lowers guidance; stock slumps over 13%. See (NYSE:PBH).   
• AMB Property Corp. slipped 8% as the firm made some dividend announcements. See (NYSE:AMB).  

Small-cap stocks edged slightly lower on the open, pulled down by declines in overseas markets but a bounce in crude oil prices into the stock market opening helped limit selling interest, as did Federal Reserve comments on the TARP. At 9:54 a.m. ET, the Russell 2000 (NYSE:IWM) was up 3.79, or 0.81%, at 472.58.

The market appeared to slip initially, then stage a recovery move during the first speech of the year by Federal Reserve Chairman Ben Bernanke, who was speaking ahead of the open this morning in London. Bernanke said that financial stress has spilled over into the global economy and that the timing of a recovery remains “uncertain.” He also said that the government should mop up some of the toxic assets that supposedly were the initial focus of the TARP, which appeared to stir the recovery pop off pre-market lows.

The international trade report showed that the U.S. deficit narrowed by 28.7% in November, which marked the largest contraction in 12 years. However, the narrowing of the trade gap wasn’t because U.S. manufacturers suddenly sold a bunch more widgets, it was because of weak demand for import goods and sinking energy prices. In all, the November import number collapsed 12%, which was a record decline.

Crude oil prices were down about $1 a barrel overnight, but rallied back into positive territory just ahead of the stock market open today, which might have helped the early action in energy and commodity stocks. Shortly after the open, crude oil prices were up about $0.70 a barrel. Copper futures touched limit losses of 5% in China trading overnight, which is a troubling sign for the economy as copper is seen as a key barometer of industrial and construction demand. China imports and exports were down in the latest report, which also sends shivers about global growth . . .

Medtox Scientific Inc. (Nasdaq:MTOX), Hill Rom Holdings Inc. (Nasdaq:HRC) and Symmetry Medical Inc. (Nasdaq:SMA) are among the new 52-week lows in Wednesday's trading among companies with market capitalizations under $1 billion.

Gaylord Entertainment Co. (Nasdaq:GET), Live Nation Inc. (Nasdaq:LYV) and Symmetry Medical Inc. (Nasdaq:SMA) are among the biggest percentage losers in Wednesday's trading among companies with market capitalizations under $1 billion.

Also included among the results: Layne Christensen Co. (Nasdaq:LAYN), US Airways Group Inc. (Nasdaq:LCC), Diana Shipping Inc. (Nasdaq:DSX), VIST Financial Corp. (Nasdaq:VIST), Callon Petroleum Co. (Nasdaq:CPE) and AK Steel Holding Corp. (Nasdaq:AKS).

Symmetry Medical Inc. (NYSE:SMA) CEO Brian Moore said the orthopedic maker is “encouraged” by the industry environment and his firm’s momentum. Moore made the comments during a Tuesday morning conference call with analysts and investors.

The Warsaw, Ind.-based company said in a Tuesday morning release that it expects fiscal 2008 revenue of between $395 million to $405 million, up from a previous range of $350 million to $360 million. The new revenue range is greater than Wall Street analysts’ projection of $359.2 million.

Symmetry also said it expects fiscal 2008 earnings to range from $0.75 to $0.77 a share. Wall Street only expects $0.72 per share. The earnings guidance factor in $3 million in professional fees related to an accounting investigation, CFO Fred Hite said.

Symmetry said reasons for the raised outlook include current market conditions and order flow, foreign currency rates, anticipated customer demand and improved operations at its Sheffield, U.K.-based facility. The firm expects to incur a loss at the Sheffield plant during the second and third quarters, but turn to a profit during the fourth quarter.

Hite said Symmetry anticipates ending fiscal 2008 with gross margins of about 27%. He said the gross margin improvement will be powered by the improved operations at its Sheffield site and improved profitability at its other facilities.

Symmetry reported early Tuesday that its first-quarter revenue rose 57% to $101.9 million, from $64.7 million a year earlier. The results topped Wall Street’s . . .

The Russell 2000 (NYSE:IWM) has slipped below the flat line in the final hour of trading. At 3:12 p.m. ET, the small-cap index was down 2.70 points, or 0.38%, to 711.03. The Dow Jones Industrial Average was down 3.99 points, or 0.03%, to 12,605.43.

Small-cap stocks lost their earlier gains and fell into negative territory at about 2:40 p.m. ET, as the bullish mood following news of a $5 billion injection for a major lender wore off.

The major U.S. indices opened in the green on news before the opening that Washington Mutual Inc. (NYSE:WM) is near a deal to receive a $5 billion investment from a private equity group. The liquidity boost will help the struggling Seattle, Wash.-based company deal with liquidity issues stemming from the subprime mortgage meltdown.

Shares of orthopedic implant maker Symmetry Medical Inc. (NYSE:SMA) also opened in positive territory but have since descended.

“We think SMA is positioned to continue gaining share in the medical device supplier market as it capitalizes on outsourcing and vendor consolidation trends,” wrote Michael Matson, a senior analyst with brokerage house . . .

The Russell 2000 (NYSE:IWM) closed in positive territory today as investors disregarded bearish economic news. The small-cap index rose 3.99 points, or 0.57%, to 705.27. The Dow Jones Industrial Average (INDU) fell 16.04 points, or 0.13%, to 12,532.60.

On a year-to-date basis, the Russell 2000 has declined 7.93%, while the Dow is down 5.52% and the S&P 500 has shed 7.86%.

Despite a rocky start, small-cap stocks rose for the third consecutive session as the momentum from Monday’s rally empowered the bulls despite generally bearish economic news.

The Conference Board reported before the opening that its index of consumer confidence fell to a five-year low of 64.5 in March from an upwardly . . .

Shares of Symmetry Medical Inc. (NYSE:SMA) closed in negative territory on news before the opening that the maker of orthopedic equipment was downgraded to “Market Perform” from “Outperform” by brokerage house Wachovia Capital Markets, LLC.

“We are concerned that Symmetry Medical may guide below the consensus EPS estimate [of $0.94 per share] when it issues 2008 guidance,” wrote senior analyst Michael Matson in a research note published today.

The Warsaw, Ind.-based company, which has not issued earnings guidance for the full year 2008, announced on Feb. 14 that it projects revenue between $350 million and $360 million. The consensus on Wall Street is for revenue of $359.67 million.

“We continue to be encouraged by the overall strength of the orthopedic markets and the uptake in orders across our global network,” said president and CEO Brian Moore in a statement. “We believe that we are well positioned to meet any increased demand from our orthopedic customers, confirming our decision to sustain capacity during periods of slower industry growth.”

Like a fine wine, life gets better with age, but sometimes parts need replacing to keep your engine going. With the inevitable onset of age permeating the baby boomer generation, boomers are getting a new lease on life—in the form of hip and knee replacements, the demand for which is expected to steadily increase.

Last year, nearly 8,000 people were turning 60 each day, amounting to 330 every hour, and their ranks will only get larger, according to the U.S. Census Bureau. On a global scale, industry analysts predict 8% annual growth in the $4.6 billion worldwide knee replacement market and 6% annual growth in the $5.2 billion hip replacement market.

The rise in growth in the joint replacement market is already benefiting Symmetry Medical Inc. (NYSE: SMA) and Orthofix International (Nasdaq: OFIX), two small caps that deal in equipment for orthopedic applications.

Warsaw, Ind.-based Symmetry Medical designs, develops and produces implants and related instruments for orthopedic device manufacturers. Its implants are used in hips, knees and other joints. The company also provides trauma implant systems used to repair damaged bones and spinal implants for the treatment of degenerative spine disease. (Spinal implants represent a $5.3 billion market that is growing 11% annually.) Symmetry Medical also manufactures surgical instruments, orthopedic cases for storing and transporting orthopedic devices, endoscopy cases for endoscope sterilization and dental cases for dental implants and instruments.

The company served 863 customers in 2006, gained 111 new customers last year and counts among its clients leading implant system manufacturers such as Zimmer, Stryker, Wright, Biomet, the Deputy division of Johnson and Johnson, and Smith and Nephew. Approximately 60% of Symmetry’s sales are made in the United States.

Symmetry Medical Inc. (NYSE: SMA) shares are down after the maker of orthopedic devices reported after Thursday’s closing that its U.K.-based unit has overstated revenue numbers since 1999.

Symmetry, which acquired the Sheffield, U.K.-based unit in 2003, said it is in default under its credit agreement, as a result of the accounting problems. The company said it may have to restate revenue numbers for the period since the acquisition.

Symmetry estimates the unit overstated revenue by $12 million to $16 million since 1999. The Warsaw, Ind.-based firm said it is in discussions with its bank to remedy the credit situation.

"We are treating this matter with the utmost importance. I do want to stress that, based upon available information, we believe that this matter affects only the Sheffield, UK operating unit,” CEO Brian Moore said in a statement. “Changes have been made to the Sheffield site management by the Company and I will assume interim responsibility for the Sheffield facility.”

The U.K. unit’s employees believed to be involved with the accounting problems are no longer with the company or have been suspended pending a review, Symmetry said in a statement.

In afternoon trading, SMA shares are down 6.99%, or $1.24, at $16.50. Over the last 52 weeks, shares have ranged from $12.52 to $18.62.