Stocks to Watch: Oct. 31

SAN FRANCISCO – Among the companies whose shares could see active trade in Monday's session are Anheuser-Busch Co. Inc., General Motors Corp. and Wal-Mart Stores Inc.

P&O, formally known as Peninsular and Oriental Steam Navigation Co. (PO) has been contacted by a Dubai port operator regarding the possible sale of the British ports and ferries company, The Wall Street Journal reported in its online edition. The potential deal is valued at nearly $5.32 billion, the report said.

Wal-Mart (WMT) said it expects its October same-store sales in the U.S. to be up 4.3%. The retail giant had previously forecast comparable sales up 2% to 4% for the month. Without gasoline, the estimated comparative percent would have been about 30 basis points lower, Wal-Mart said.

General Motors (GM) said it plans to produce gasoline-electric hybrid vehicles for the Chinese market with its partner SAIC Motor Corp. GM said it expects to manufacture hybrids in China by 2008.

Anheuser-Busch (BUD) garnered notice in Barron's Online, which said the stock will regain its lofty levels. The St. Louis-based behemoth controls 50% of the U.S. beer market, is twice the size of its nearest competitor, has far more pricing power and commands the "most potent" distribution and marketing system in the U.S., the weekend magazine said.

Charles Schwab Corp. (SCH) said it will ask shareholders to declassify the company's board of directors. Currently, Charles Schwab directors are elected to three classes of staggered, three-year terms. The new plan would provide for directors at the San Francisco-based financial services company to be elected annually, after their terms expire.

Electronic Data System's Corp. (EDS) could see action on Monday after Barron's Online said a turnaround long in the planning appears to be bearing fruit for the company. Barron's said results due Nov. 1 will make clear EDS' improvement and could spark a "major stock-market rethink. It said EDS' earnings in 2006 could be almost double this year's expected 55 cents a share.

M-Systems Flash Disk Pioneers Ltd. (FLSH) said it has filed a shelf registration statement with the Securities and Exchange Commission which will permit it sell up to $200 million of its ordinary shares. Israel-based M-Systems makes flash storage products.

Vivendi Universal (V) could be active Monday after Barron's Online said the stock is cheap and on an upward path. Barron's called Vivendi's ADRs a "bargain," trading at just under six times 2006 cash flow compared with a multiple of around nine-to-11 times for other media companies.

After Friday's closing bell, Merrill Lynch & Co., Inc. (MER) said two of its funds have favorably resolved litigation brought to recover losses on an earlier investment. The two funds are the Merrill Lynch Global Value Fund Inc. and the Merrill Lynch Fundamental Growth Fund Inc.