Stocks to Watch: Stocks to watch: Bristol-Myers, Harris Teeter

WASHINGTON (MarketWatch) � Among the stocks that could see active trade in Monday�s session are Bristol-Myers Squibb Co., Harris Teeter Supermarkets Inc. and Bed Bath & Beyond Inc.

Companies on Monday�s earnings calendar include retailers Dollar General Corp. DG , Conn�s Inc. CONN �and Sport Chalet Inc. SPCHB �SPCHA , with Quanex Building Products Corp. NX �and Shuffle Master Inc. SHFL also due to report quarterly financial results.

A highlight at the American Society of Clinical Oncology�s weekend meeting in Chicago was Bristol-Myers Squibb BMY �and its investigational drug tested with patients having non small-cell lung cancer, metastatic melanoma and renal cell carcinoma. The New York-based company said it plans to move the drug candidate into large-scale Phase III trials late this year and early in 2013, based on �clinical activity� shown with tumors across all three cancers in a Phase I trial. Serious adverse events occurred in 11% of patients in the Phase I trial, Bristol-Myers Squibb noted.

Harris Teeter Supermarkets HTSI �said it would take after-tax charges ranging from $14 million to $16 million, or or 29 cents to 32 cents a share, against results over the latter half of the Charlotte, N.C.-based company�s fiscal year. The majority of the charges are expected to be taken in the third quarter ending July 1, the company said. The charges are an outgrowth of a deal announced late Friday, in which Harris Teeter will acquire 10 stores, all located in the central Carolinas region, from privately held Lowe�s Food Stores Inc. and the latter will acquire six Harris Teeter locations in western North Carolina. Terms also call for Harris Teeter to pay $26.5 million in the transaction, which is expected to close by the end of June. Three of the stores acquired by Harris Teeter will be converted to an �innovative format that we think our customers will find exciting,� featuring wine, beer and specialty foods, according to Thomas Dickson, chairman and chief executive.

Also late Friday, Bed Bath & Beyond BBBY �announced the acquisition of privately held Linen Holdings LLC, paying about $105 million for the distributor of linens, textile products and amenities for the hospitality, cruise-line, food-service and health-care industries. The Union, N.J.-based retailer said the buyout won�t have a material effect on its overall results or financial condition for the current fiscal year. Bed Bath & Beyond also said it continues to believe that the company�s current stock-buyback authorization will be completed by the end of the fiscal year, the first quarter of which ended May 26.

Kulicke & Soffa Industries Inc. KLIC �is now debt free, the Ft. Washington, Pa.-based manufacturer of assembly equipment for semiconductors and light-emitting diodes said. The company repaid in cash the $110 million balance remaining on its 0.875% convertible subordinated notes as of the June 1 maturity date; no common stock was issued. Kulicke & Soffa said it expects to realize annual savings of about $8 million and pegged its net cash position at $316 million, having generated more than $300 million in cash over the prior 12 quarters. �Eliminating the remaining debt obligation is the latest signal to underscore the strength of our balance sheet and business model,� said CEO Bruno Guilmart in a statement.

The board of Arrow Electronics Inc. ARW �approved the use of another $200 million for the repurchase of common stock. The Englewood, Colo.-based said it�s spent about $700 million executing share buybacks since 2006.

The board of Chicopee Bancorp Inc. CBNK �cleared what will be the company�s seventh stock-buyback program. The authorization is for up to 272,000 shares, or about 5% of the Massachusetts-based company�s outstanding common stock. It will take effect once Chicopee Bancorp�s current buyback program has been exhausted; it has some 31,321 shares remaining. �Our strong capital position gives us the flexibility to repurchase shares when opportunities arise and provides us another capital-management strategy to continue our commitment to maximize shareholder value,� said William Wagner, president and CEO, in a statement.

No comments:

Post a Comment