Stocks to Watch: Analog Devices, Staples and MGM Mirage

Among the companies whose shares are expected to see active trading in Tuesday's session are Analog Devices Inc., Staples Inc., and MGM Mirage.

American Eagle Outfitters Inc. (AEO) is expected to report first-quarter earnings of 35 cents a share, according to a survey of analysts by Thomson Financial.

Analog Devices (ADI) is expected to post earnings of 35 cents a share for the second quarter.

AutoZone Inc. (AZO) is expected to report third-quarter earnings of $2.15 a share.

Computer Sciences Corp. (CSC) is expected to post earnings of $1.49 a share for the fourth quarter.

Gander Mountain Co. (GMTN) is expected to report a first-quarter loss of 69 cents a share.

Medtronic Inc. (MDT) is expected to post earnings of 62 cents a share for the fourth quarter.

Men's Wearhouse Inc. (MW) is expected to report first-quarter earnings of 64 cents a share.

Shanda Interactive Entertainment Ltd. (SNDA) is expected to post earnings of 29 cents a share for the first quarter.

Staples (SPLS) is expected to report first-quarter earnings of 29 cents a share.

Tech Data Corp. (TECD) is expected to post earnings of 39 cents a share for the first quarter.

After Monday's closing bell, shares of MGM Mirage (MGM) jumped as much as 11 percent after Kirk Kerkorian's Tracinda Corp. said it's in talks to buy two of MGM's best-known Las Vegas landmarks: the luxurious Bellagio casino, and the $7 billion City Center development now under construction.

Watch List

Accuride Corp. (ACW) announced a secondary offering of 5.4 million shares by selling stockholders KKR 1996 GP LLC, Albion Mezzanine Fund LP, Albion Mezzanine Fund II LP and Caravelle Investment Fund LLC. Evansville, Ind.-based Accuride, a manufacturer and supplier of commercial vehicle components, said it won't receive any proceeds from the offering. Bear, Stearns & Co. Inc. is acting as sole book-running manager and sole underwriter for this offering, the company noted.

American Science and Engineering Inc. (ASEI) reported fiscal fourth-quarter net earnings of $5.79 million, or 60 cents a share, up 23 percent from $4.73 million, or 51 cents a share, in the year-ago period. The fiscal 2007 fourth quarter included 23 cents a share in stock option expense, the company said. The Billerica, Mass.-based supplier of X-ray inspection systems said revenue in the three months ended March 31 rose 13 percent to $45.9 million from $40.8 million in the comparable period last year. Analysts polled by Thomson Financial were expecting, on average, a per-share profit of 80 cents on revenue of $47.2 million.

Apollo Group Inc.'s (APOL) fiscal second-quarter income fell to $60.3 million, or 35 cents a share, from $79.1 million, or 45 cents a share, a year earlier. Excluding items, Apollo Group earned 44 cents a share. The Phoenix education company's revenue climbed to $608.7 million from $570.6 million. Wall Street expected earnings of 47 cents a share for the second quarter ended Feb. 28, on revenue of $597.5 million, according to the average estimate of analysts polled by Thomson Financial. The company also filed restated results after an internal investigation showed certain former officers may have tried to hide deficiencies in options accounting.

Appliance Recycling Centers of America (ARCI) said the U.S. District Court for the Central District of California has dismissed the action filed by Jaco Environmental Inc., SEG Basis GmbH, and SEG Umwelt-Service GmbH for lack of prosecution. Minneapolis- based ARCA said the ruling means that the case is over unless the court sets aside the dismissal or a new action is filed.

A federal judge in Brooklyn dismissed criminal charges against CA Inc. (CA) after the software maker completed the terms of its deferred prosecution agreement with prosecutors.

Charles Schwab Corp. (SCHW) named Benjamin Brigeman as head of Schwab Investor Services and Charles Goldman as head of its Schwab Institutional enterprise. Brigeman, currently in charge of strategy, planning and administration for Schwab Investor Services, will assume the role vacated when Walt Bettinger was appointed chief operating officer of the company in February. Goldman, currently COO of Schwab Institutional, will succeed Deborah Doyle McWhinney, who is retiring. Charles Schwab is based in San Francisco.

DCP Midstream LLC (DPM) said it has agreed to acquire Momentum Energy Group Inc. for $635 million. MEG is a portfolio company of investment firms including Yorktown Energy Partners LLC, Banc of America Capital Investors and Lehman Brothers MLP Partners L.P. Following the closing of the deal, DCP Midstream Partners will acquire certain subsidiaries of MEG from DCP Midstream LLC for $165 million. DCP Midstream LLC owns the general partner of DCP Midstream Partners. The transactions are expected to close during the third quarter. Separately, DCP Midstream Partners said it has entered an agreement to privately place $100 million of common units, contingent upon the successful acquisition of certain MEG subsidiaries from DCP Midstream LLC.

EchoStar Communications Corp. (DISH) said a Texas jury has found in favor of the company in a lawsuit brought by Forgent Networks Inc. (FORG) . The jury found the patent Forgent accused EchoStar of violating to be invalid, Englewood, Colo.-based EchoStar said. Forgent had sought more than $200 million in damages. "While others had settled, we always believed Forgent's patent was invalid, and we appreciate the efforts of Judge Davis and of the jury vindicating our position,' said David Moskowitz, EchoStar's general counsel, in a statement.

KongZhong Corp.'s (KONG) first-quarter net income fell sharply to $1.56 million, or 4 cents per American depositary share, from $8.61 million, or 24 cents a share, a year earlier, as operating and product development expenses rose and revenue fell 28 percent. Excluding items, earnings were 6 cents per share. The Beijing wireless services company's revenue fell to $20.1 million from $27.9 million. Analysts polled by Thomson Financial expected, on average, earnings of 6 cents a share on revenue of $20 million. Analyst estimates typically exclude items. KongZhong expects second-quarter revenue of $16 million and $18 million.

Novartis AG (NVS) said it's pursuing its legal defense of Lotrel after a federal judge temporarily halted the effort by Teva Pharmaceuticals (TEVA) to market a generic version of the high blood pressure drug. Earlier, a judge extended a temporary restraining order until May 29, but allowed Teva to sell Lotrel generics already shipped to distributors and customers. Novartis also said it's evaluating the potential impact of Teva's actions on full-year 2007 results. The company said it will continue to vigorously defend its intellectual property rights, including the validity of the Lotrel patent, against any generic challengers.

Pacific Sunwear of California Inc. (PSUN) reported a first-quarter net loss of $5.06 million, or 7 cents a share. During the same period a year ago, the Anaheim, Calif.-based apparel retailer posted net earnings of $11.9 million, or 16 cents a share. Lease termination charges and additional inventory impairment costs accounted for 3 cents per share of the loss, the company said. Revenue rose to $320.6 million from $300 million, while total company same-store sales fell 1.2 percent. Analysts polled by Thomson Financial were expecting, on average, a per-share loss of 4 cents on revenue of $308 million. Additionally, Pacific Sunwear said it still expects second-quarter per-share earnings of 18 cents to 20 cents. The outlook assumes a low single-digit second quarter same-store sales increase, and excludes anticipated lease termination and agency fee charges associated with the previously announced store closures. Analysts are currently looking for earnings of 18 cents on revenue of $323 million for the quarter.

Symantec Corp. (SYMC) and Huawei Technologies Co. said they are forming a joint venture company to develop and distribute security and storage appliances to global telecommunications carriers and enterprises. The new company will be headquartered in Chengdu, China, with Huawei owning 51 percent of the joint venture and Symantec owning 49 percent. Huawei will contribute its telecommunications storage and security businesses, while Symantec will contribute some of its enterprise storage and security software licenses, and $150 million. The joint venture is expected to close later in the year.

The9 Ltd.'s (NCTY) first-quarter net income rose 12 percent to $8.6 million, or 34 cents per American depositary share, from $7.6 million, or 31 cents per ADS, a year ago. The Shanghai online game operator said net revenue increased 27 percent to $35 million from a year earlier. On average, analysts polled by Thomson Financial predicted first-quarter earnings of 32 cents a share.

Wet Seal Inc. (WTSLA) said that President and Chief Executive Joel Waller plans to step Feb. 1, 2008, when his employment contract expires. The Foothill Ranch, Calif.-based apparel retailer said it has hired an executive recruiting firm to assist the company in its search for Waller's successor.

Copyright 2007 MarketWatch, Inc.