Stocks to Watch, Dec. 1: Novell, Warner Music, Synopsys
SAN FRANCISCO – Among the companies whose shares are expected to see active trade in Thursday's session are Novell Inc., Warner Music Group Corp. and Synopsys Inc.
Del Monte Foods Co. (DLM) is expected to post fiscal second-quarter earnings of 19 cents a share, according to analysts polled by Thomson First Call.
Finisar (FNSR) is expected to post a per-share loss of 2 cents in its fiscal second quarter.
Gildan Activewear Inc.'s (GIL) fiscal fourth quarter is expected to show a per-share profit of 45 cents.
Jackson Hewitt Tax Services Inc. (JTX) is expected to report a loss of 33 cents a share in its fiscal second quarter.
Kellwood Co. (KWD) is seen posting third-quarter earnings of 56 cents a share.
Movado Group Inc.'s (MOV) third quarter is expected to show a per-share profit of 48 cents.
Novell Inc.'s (NOVL) fiscal fourth quarter is seen showing earnings of 3 cents.
Omnivision Technologies Inc. (OVTI) is expected to report fiscal second-quarter earnings of 31 cents a share.
Warner Music Group Corp. (WMG) is seen posting a fiscal fourth-quarter loss of 4 cents a share.
World Wrestling Entertainment Inc. (WWE) is expected to post a per-share profit of 7 cents in its fiscal second-quarter.
After Wednesday's closing bell, Synopsys Inc. (SNPS) narrowed its fourth-quarter loss and forecasted financial targets above Wall Street's current expectations.
Ace Ltd. (ACE) will pay some legal costs of its directors and executives stemming from investigations that have swept the insurance industry this year, according to a Securities and Exchange Commission filing.
Aeropostale Inc. (ARO) said same-store sales in November rose 7.3% compared with an increase of 4.1% a year ago. The young men's and women's clothing retailer said total sales for the 4-week period ended Nov. 27 rose 26.7% to $134.3 million from $106 million last year. Aeropostale said November sales were driven by a strong Thanksgiving week.
American Eagle Outfitters Inc. (AEOS) said same-store sales in November rose 1.7% compared with the year-ago period. Total sales for the month ended Nov. 27 increased 6.9% to $202.4 million, compared with sales of $189.5 million during the same period last year. Additionally, the Warrendale, Pa.-based clothing retailer said that based on its current view of business, it now expects fourth-quarter earnings of 70 cents to 72 cents a share, down from its previous forecast of earnings between 73 cent and 75 cents a share. The outlook includes a tax charge of about 2 cents a share related to the repatriation of foreign earnings.
Bally Total Fitness Corp. (BFT) said it has hired a financial adviser to explore strategic alternatives, including a possible sale of the company. The fitness chain also reported financial results for the third quarter of 2005, for the full-year 2004 and restated results for the years 2000 through 2003. Bally reported a 2005 third-quarter net loss of $1.6 million, or 5 cents a share, on revenue of $264.8 million. For 2004, the company posted a net loss of $30.3 million, or 92 cents a share, on revenue of $1.05 billion. For 2003, Bally reported a restated net loss of $106 million, or $3.24 a share. It had previously reported a 2003 net loss of $646 million, or 44 cents a share. For 2002, the company posted a restated net loss of $100.9 million, or $3.14 a share, vs. its previously reported net loss of $4.5 million, or 34 cents a share.
Bombay Company Inc. (BBA) said same-store sales for November were down 12.4% compared with the same period last year. The Fort Worth, Texas-based decor company reported that the month's total sales were $50.1 million, down 13% from $57.8 million last year.
Citi Trends Inc. (CTRN) said same-store sales in November rose 26%, compared with an increase of 0.9% in the year-ago period. Total sales for the period ended Nov. 26 rose 43.5% to $24.7 million. The Savannah, Ga.-based clothing retailer said its November sales benefited from increased traffic following Hurricanes Katrina, Rita and Wilma. The company has opened 27 stores to date in fiscal 2005, and plans to open 10 more in the fourth quarter. The total store count is currently 227, the company said.
Convera Corp. (CNVR) reported a third-quarter net loss of $2.49 million, or 5 cents a share, vs. a net loss of $4.52 million, or 13 cents a share, in the year-ago period. Revenue at the Vienna, Va.-based search technology provider fell 26%, to $4.51 million from $6.13 million. Convera also said separately that the Federal Bureau of Investigation has executed an annual contract to access its Excalibur Web search technology.
Hot Topic Inc. (HOTT) said same-store sales in November were flat compared with a decrease of 8% a year ago. Net sales for the 4 weeks ended Nov. 26 rose 13% to $54.7 million. Analysts surveyed by Thomson First Call were expecting Hot Topic's same-store sales to fall 4.2% for the month.
Lamson & Sessions Co. (LMS) raised it fourth-quarter financial outlook. The company now expects earnings of 70 cents to 75 cents a share on revenue of $125 million to $130 million. The Cleveland-based maker of thermoplastic products had previously forecast earnings of 30 cents to 33 cents a share on revenue of $110 million to $115 million. For 2005, the company expects earnings of $1.56 to $1.61 a share on revenue of $475 million to $480 million.
Men's Wearhouse Inc. (MW) reported November U.S. same-store sales increased 5.8%. The month's total sales were $133.7 million, up more than 7% from $124.3 million last year, the clothing retailer said.
MTC Technologies Inc. (MTCT) said it now expects fourth-quarter net earnings of 34 cents to 37 cents a share on revenue of $96.8 million to $100.8 million. MTC had previously forecast earnings of 32 cents to 40 cents a share on revenue of $108.7 million to $114 million. Additionally, MTC said it now sees full-year 2005 net earnings of $1.34 to $1.37 a share on revenue of $373 million to $377 million. The company had previously forecast earnings of $1.32 to $1.41 a share on revenue of $384.9 million to $390.2 million. MTC also said the expected acquisition, for which it delayed its fourth-quarter and 2005 outlook, will not occur this year. Conditions necessary for the acquisition to occur were not able to be satisfied and may never be satisfied, the company said.
Zumiez Inc. (ZUMZ) said November same-store sales rose 18.8%, compared to a 1.8% increase in the year-ago period. The Everett, Wash.-based apparel, footwear and accessories retailer said total sales in the month increased 38.5%, to $18 million from $13 million last year.