Stocks to Watch, June 9: Take-Two Interactive, Texas Instruments

SAN FRANCISCO – Among the companies whose shares are expected to see active trade in Friday's session are Take-Two Interactive Software Inc., Texas Instruments Inc. and Sharper Image Corp.

After Thursday's closing bell, Take-Two (TTWO) reported its fiscal second-quarter loss grew five-fold despite higher sales, as the company said it is taking steps to cut costs and consolidate resources amid an industry transition period that continues to challenge video game publishers.

Texas Instruments (TXN) boosted its financial targets for the second quarter, with sales helped by increased demand for cell-phone chips and its bottom line boosted by a tax benefit and a legal settlement. TI lifted its sales range to between $3.63 billion and $3.78 billion, higher than its previous target of $3.46 billion to $3.75 billion.

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Celebrate Express Inc. (BDAY) said it now expects fiscal 2006 per-share earnings of 3 cents to 5 cents, compared with its previous outlook of 25 cents to 27 cents. The Kirkland, Wash.-based retailer of party goods also said it now sees revenue of $86.5 million to $87 million, vs. its previous forecast of $87.5 million to $88 million.

Cendant Corp. (CD) said it may simultaneously spin off its Realogy and Wyndham Worldwide units in the middle of next month instead of doing it at different time as was its original intent.

Franklin Resources Inc. (BEN) , parent of the Franklin and Templeton mutual-fund groups, reported that preliminary assets under management, a key measure of fund company profitability, rose 18 percent to $492.2 billion as of May 31 from $417.3 billion in the same month a year ago.

Ingram Micro Inc. (IM) reaffirmed that it expects to earn between $49 million and $56 million, or 29 cents to 33 cents a share, for the second quarter.

National Semiconductor Corp. (NSM) reported fiscal fourth-quarter net income of $118.6 million, or 34 cents a share, down from $130.2 million, or 36 cents a share, in the year-ago period.

NeoMagic Corp. (NMGC) reported a first-quarter net loss of $5 million, or 53 cents a share, compared with a net loss of $1.65 million, or 25 cents a share, during the year-ago period.

PortalPlayer Inc. (PLAY) said it plans to reduce its worldwide workforce by about 45 employees, or 14 percent, mainly at its U.S. locations. The designer of technology platform solutions estimates the related annual cost savings will be $6 million and $7 million.

Quality Systems Inc. (QSII) said higher fourth-quarter revenue helped boost net income to $7.64 million, or 28 cents a share, from $4.79 million, or 18 cents a share, during the same period in the prior year.

Quiksilver Inc. (ZQK) earned $3.7 million, or 3 cents a share in its fiscal second quarter - a fraction of the $34.7 million, or 28 cents, of the year-ago period. Revenue jumped 21 percent to $516.9 million, largely on the back of its acquisitions of Rossignol and Cleveland Golf.

Rentrak Corp. (RENT) reported fourth-quarter net earnings of $1.58 million, or 14 cents a share, compared with $760,000, or 7 cents a share, during the year-ago period. The Portland, Ore.-based provider of video rental and sales information posted revenue of $28.4 million vs. $23.4 million.

Reynolds and Reynolds Co. (REY) said net income for the first half of the year was $47 million, or 74 cents a share, compared with $44 million, or 67 cents a share, during the same period in the prior year.

Retailer Sharper Image (SHRP) said its first-quarter loss widened from that of a year ago as sales at stores open at least at year plunged 29 percent. San Francisco-based Sharper Image said it lost $12.6 million, or 84 cents a share, compared with a loss of $4.6 million, or 30 cents a share, a year earlier. Revenue dropped to $106.8 million from $144.9 million.

Salem Communications Corp. (SALM) said it still expects second-quarter net broadcasting revenue of $54.2 million to $54.7 million.

Shuffle Master Inc. (SHFL) lost $12.7 million, or 37 cents a share in its fiscal second, a turn from a year-ago profit of $6.8 million, or 19 cents. Taking out various charges, the gambling equipment company would have earned 21 cents a share on a continuing operations basis.

Source Interlink Cos. (SORC) said higher revenue boosted first-quarter net income to $3.23 million, or 6 cents a share, from $1.67 million, or 4 cents a share, during the same period in the prior year.

Xilinx Inc. (XLNX) backed its prior view for fiscal first-quarter sequential revenue growth of 1 percent to 5 percent. The company now expects a quarterly gross margin of 62 percent, less than its prior outlook of 62.5 percent.