BUZZ-U.S. Stocks on the Move-Coach, Corinthian, Curis, Integrys
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U.S. stocks were set to open little changed on Monday after a six-day rally in the benchmark S&P 500, as upbeat manufacturing data in China was offset by soft readings on business activity in Europe. Dow Jones industrial average futures were down 0.02 percent at 16,854, S&P 500 futures were up 0.06 percent at 1,954.5 and Nasdaq 100 futures were up 0.03 percent at 3,794.25.
** CURIS INC, Friday close $1.63, +7.36 pct premarket
The drug developer said partner Roche Holding AG filed for an U.S. regulatory approval to start mid-stage trial on their lung disease drug.
** HYDROGENICS CORP, Friday close $18.55, +0.54 pct premarket
The Canadian fuel cell maker formed a joint venture with Kolon Water & Energy, part of a leading conglomerate in South Korea, to power Kolon's renewable energy projects. The partnership includes the supply of a fuel-cell array and a 20-year maintenance and service agreement. The First 1 mega watt of production expected to be ready for delivery by early 2015.
** COACH INC, Friday close $34.73, -1.12 pct premarket
Wedbush downgraded the upscale retailer's stock to "underperform" from "neutral", citing worse near- and mid-term earnings than previously expected following the company's sales warning last week. "We are also concerned about the simultaneous renovation and upgrade of the store fleet as we question the investment given the secular trend towards digital...and Coach's assertion that retail store traffic will not likely improve for some time," analyst Corinna Freedman said and cut her price target to $26 from $40.
** CORINTHIAN COLLEGES INC, Friday close $0.3341, +28.11 pct premarket
The for-profit education provider said it reached an agreement with the U.S. Department of Education that would prevent it from having a cash shortfall. Corinthian said it would immediately receive $16 million in federal student aid funds earned through enrollments that will allow its students to continue their programs. The college operator said last week that its ability to continue as a going concern was in jeopardy after the department extended the waiting period to draw down federal student aid funds.
** ACTAVIS INC, Friday close $216.89, +2.36 pct premarket
JP Morgan resumed the Generic drugmaker's stock with an "overweight" rating. Analysts said they see a strong case for multiple expansion for Actavis shares, setting price target of $300. Actavis "has transformed itself into a leading global specialty pharma player," the analysts said.
** AMERICAN APPAREL INC, Friday close $0.689, +2.32 pct premarket
Dov Charney, who was fired as the The clothing retailer's chairman last week, plans to engage in talks with the company to shake up its board and management, the company said. Charney holds a 27.2 pct stake in American Apparel. (1.usa.gov/1iyOA2G)
** ORACLE CORP, Friday close $40.82, +0.76 pct premarket
** MICROS SYSTEMS INC, Friday close $65.77, +3.13 pct premarket
Oracle said it would buy Micros Systems in a $5.3 billion deal to expand its offerings for the hospitality and retail industries. The offer of $68 per share represents a premium of 3.4 percent to Micros' Friday close. Micros shares have risen 14 percent since Bloomberg reported on June 17 that the companies were in talks over a deal.
** ABBVIE INC, Friday close $53.3, +0.86 pct premarket
The drugmaker, which is trying to buy London-listed Shire Plc, said it expects business performance to remain strong for the rest of the year and raised its full-year adjusted earnings forecast to $3.06-$3.16 per share from its prior forecast of $3.00-$3.10.
** LULULEMON ATHLETICA INC, Friday close $40.23, +4.00 pct premarket
Founder Chip Wilson turned to Goldman Sachs as he sought a board shakeup at the yogawear retailer, the Wall Street Journal reported. He may consider a proxy fight or joining a private equity firm in a buyout, the Journal said.
Wilson is working on building a team of advisers that will likely include Goldman, a source familiar with the situation told Reuters.
** CUBIST PHARMACEUTICALS INC, Friday close $72.24, +1.05 pct premarket
The United States FDA approved Cubist's drug, Sivextro, for treating acute bacterial skin infections on Friday.
Jefferies raises price target to $88 from $87, maintains "buy". Analysts said sales would reach about $175 million in 2024, assuming the drug is launched in Europe by 2016.
** INTEGRYS ENERGY GROUP, Friday close $60.95, +11.75 pct premarket
Wisconsin Energy Corp said it would buy the energy holding company for $9.1 billion in cash, stock and assumed debt. Shareholders will get 1.128 Wisconsin Energy shares and $18.58 cash per Integrys share - translates to $71.47
** CENTRAL GARDEN & PET CO, Friday close $9, +10.56 pct premarket
** HARBINGER GROUP INC, Friday close $12.96
Harbinger offered to buy the retailer for $10 per share, or acquire its pet business for $750 million. The $10 offer represents a 11.1 percent premium to the stock's Friday close. Harbinger may increase the offer if Central Garden engaged in "a constructive dialogue" and grants access to diligence materials.
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