Month: December 2012

We have reaffirmed our Neutral recommendation on Huntington Bancshares Incorporated ( HBAN ) based on its fundamentals and capital deployment activities in light of the current economic environment. Third Quarter Result Huntington’s earnings of 19 cents per share in the third quarter of 2012 included a state deferred tax valuation allowance benefit of 2 cents per share. Excluding that benefit, the results were in line with the Zacks Consensus Estimate of 17 cents […]

We are retaining our Underperform recommendation on Allegheny Technologies ( ATI ) following its disappointing third quarter results. Earnings of 32 cents a share fell well short of the Zacks Consensus Estimate of 39 cents. Revenues sagged nearly 10% year over year to $1,220.5 million, also missing the Zacks Consensus Estimate of $1,297 million […]

UGHS enters Dallas market with acquisition of second core hospital By Steven Ralston, CFA Today University General Health System ( UGHS ) announced the acquisition of the South Hampton Community Hospital, a 111-bed, 270-physician facility located in Dallas, Texas. Of the $30 million purchase price, $28.5 million will be financed by Houston National Bank through a 4.25% 10-year installment promissory note. The transaction, which is expected to close by year-end 2012, is anticipated to add at least $40 million in revenue and $15 million in adjusted EBITDA in calendar 2013, implying only a two year payback on adjusted EBITDA. […]

Tiffany & Company ’s ( TIF ) dismal performance compelled us to take a bearish stance on the stock, and therefore we downgraded our recommendation to “Underperform” with a price target of $53.00. Earlier, we had a “Neutral” view on the stock. Missing Zacks’ Expectation Tiffany posted lower-than-expected third-quarter 2012 results. […]

We expect meat producer Smithfield Foods Inc ( SFD ) to miss expectations when it reports second quarter 2013 results on December 5. While Smithfield Foods has generated positive surprises in the past, it has not done very well this year, missing the Zacks Consensus Estimate by 18.9% and 11.1% in the April and July quarters, respectively. […]

Rising earnings estimates on the back of strong third quarter 2012 results – including a 68.1% earnings surprise – helped Banner Corporation ( BANR ) achieve a Zacks #1 Rank (Strong Buy) on December 1. Moreover, this commercial and retail banking service provider has delivered positive earnings surprises in eight straight quarters with an average beat of 122.4%. With a solid year-to-date return of 73.0%, long-term expected earnings growth rate of 7.7% and a history of beating quarterly earnings estimates, this stock offers an attractive investment opportunity […]

MeadWestvaco Corporation ( MWV ), in sync with its strategy of expanding in emerging markets, has acquired a leading producer of corrugated packaging materials in India, Ruby Macons Limited. The company will become a part of MeadWestvaco’s global Industrial Packaging segment. Founded in 1986, Ruby Macons currently operates two mills containing three paper machines in and around Vapi, Gujarat […]

We have reaffirmed our long-term ‘Neutral’ recommendation on Charles Schwab Corporation ( SCHW ), based on its third quarter results, synergies from the acquisitions and a stable capital position. However, we remain concerned about the company’s financials, which continue to be impacted by lower trading activities, unstable equity markets and volatile interest rates. Schwab’s third quarter 2012 earnings were slightly ahead of the Zacks Consensus Estimate. […]

TD Capital Trust II – a subsidiary of The Toronto-Dominion Bank ( TD ) – announced that it will redeem all the outstanding TD Capital Trust II Securities – Series 2012-1 (TD CaTS II). The redemption will take place on December 31, 2012. These securities would be redeemed at $1,000 per share. […]

NextEra Energy Resources LLC, a business arm of utility major NextEra Energy Inc. ( NEE ), announced the completion of the acquisition of Cimarron I Wind Energy Center from CPV Renewable Energy Company, a subsidiary of Competitive Power Ventures Inc. […]

UGHS enters Dallas market with acquisition of second core hostipital By Steven Ralston, CFA Today University General Health System ( UGHS ) announced the acquisition of the South Hampton Community Hospital, a 111-bed, 270-physician facility located in Dallas, Texas. Of the $30 million purchase price, $28.5 million will be financed by Houston National Bank through a 4.25% 10-year installment promissory note. The transaction, which is expected to close by year-end 2012, is anticipated to add at least $40 million in revenue and $15 million in adjusted EBITDA in calendar 2013, implying only a two year payback on adjusted EBITDA. […]

On Monday, Connecticut-based People's United Financial Inc. ( PBCT ) announced the pricing of nearly $500 million worth of senior notes. The offering is anticipated to culminate on December 6, 2012, subject to customary closing conditions […]

Ford Motor Co. ( F ), Mazda Motor Corp. and China’s Chongqing Changan Automobile Co […]

Johnson Controls Inc. ( JCI ) now has a new contestant in its attempt to buy the bankrupt automotive operations of Waltham, Massachusetts based lithium-ion battery maker A123 Systems Inc. China’s auto parts conglomerate Wanxiang Group Corp […]

Canadian Solar Inc. ( CSIQ ) announced that it has signed a financing agreement with Deutsche Bank AG ( DB ). Per the agreement Deutsche Bank will provide $139 million in non-recourse, short-term construction financing to Canadian Solar for the construction of solar power projects in Ontario, Canada. […]