Editor’s Note: Related tickers: Exxon Mobil Corporation (NYSE:XOM), Arena Pharmaceuticals, Inc. (NASDAQ:ARNA), 3M Co (NYSE:MMM), Akamai Technologies, Inc. (NASDAQ:AKAM), QUALCOMM, Inc. (NASDAQ:QCOM), VIVUS, Inc. (NASDAQ:VVUS), Facebook Inc (NASDAQ:FB), Netflix, Inc. (NASDAQ:NFLX), JPMorgan Chase & Co. (NYSE:JPM), Zynga Inc (NASDAQ:ZNGA), Intel Corporation (NASDAQ:INTC)
Exxon earnings rise on chemicals and lower taxes despite drop in production, revenue (WashingtonPost)
Exxon Mobil Corporation (NYSE:XOM) says earnings rose slightly in the first quarter as profits from chemicals production surged enough to offset declining production of oil and gas. Lower taxes also helped. Exxon reported Thursday that net income totaled $9.5 billion in the quarter, or $2.12 per share, on revenue of $108.8 billion. During last year’s quarter, Exxon earned $9.45 billion, or $2 per share, on revenue of $124.1 billion. Analysts expected Exxon to earn $2.05 per share, on average. Exxon Mobil Corporation (NYSE:XOM), based in Irving, Texas, produced 3.5 percent less oil and gas in the quarter. But chemical profits rose 62 percent and the company’s corporate and financing expenses fell sharply, which Exxon attributes to “favorable tax impacts.”
Exxon Posts Flat Profit (WSJ)
Exxon Mobil Corporation (NYSE:XOM) +0.15% said first-quarter profit was nearly unchanged from a year earlier, though both its upstream and downstream operations posted lower profits and revenue fell short of Wall Street estimates. The world’s largest publicly traded oil company has seen declining production levels of late as massive supplies of shale oil and gas unleashed in North America by hydraulic fracturing change the energy industry’s traditional trade flows and investment patterns. But at the same time, the abundance of cheap oil and gas in North America has allowed Exxon’s downstream operations to post improved profits.
Exxon Mobil raises dividend by 6 cents, or 11 percent, to 63 cents ahead of 1Q report (WashingtonPost)
Exxon Mobil Corporation (NYSE:XOM), the world’s most valuable company, says it’s raising its dividend by 6 cents, or 11 percent, to 63 cents. A long slide in Apple Inc.’s share price has allowed Exxon to retake the top spot, as measured by market capitalization. It was worth about $399 billion at Wednesday’s close. The Irving, Texas, company said Wednesday that it has increased its annual dividend for 31 straight years. The next quarterly payment will be June 10 to shareholders as of May 13. Exxon reports first-quarter results on Thursday. Analysts expect a drop in profit because of lower production.
One Little Slip Could Mean Bigger Problems for Arena Pharmaceuticals (ARNA) Shareholders (SmallcapNetwork)
Well, even though I didn’t necessarily have to, I gave Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) the benefit of the doubt… and time…. and room. It didn’t help at all. ARNA is now convincingly under the key line in the sand I talked about back on April 2nd and then again on April 15th. Now with the support level being broken, the sellers should have a much easier time pushing it lower. First and foremost, no, this isn’t a judgment call on the company. For better or worse, ARNA (the shares) are barely even loosely linked to Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) (the company), and this call is strictly based on what it looks like the stock is apt to do from here. And what the stock’s apt to ‘do’ from here is start a selling avalanche. That line in the sand is the $8.00 mark. Arena Pharmaceuticals, Inc. shares have tested the floor repeatedly since the sharp dip in January, but with only one brief exception in mid-March, the bulls have held the line…. until today. Well, actually not until Monday of this week, when ARNA shares closed at $7.97. I was willing to let it go, but the stock pulled back to a close of $7.94 yesterday, and is currently trading at $7.90 (after reaching a low of $7.88) for today. It suggests the bulls finally tired of propping the stock up, and are finally starting to trickle out.
VIVUS, Inc. (VVUS), Arena Pharmaceuticals, Inc. (ARNA): Anti-Obesity Stocks Are Attractively Priced (InsiderMonkey)
The obesity market was one of the most attractive sectors a year ago, and the shares of companies developing anti-obesity drugs were the pharmaceutical sector’s hottest properties. However, it looks like investors hugely overvalued the market for anti-obesity drugs, resulting in tepid performance of these stocks. Only one company, VIVUS, Inc. (NASDAQ:VVUS) has been able to market its drug. …Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) was the first company to get an anti-obesity drug (Belviq) approved in over a decade. However, it has not been able to launch its drug due to some regulatory issues. Arena Pharmaceuticals, Inc. (NASDAQ:ARNA)’s drug had to go through DEA scheduling, which has resulted in the delay of the launch. However, the final decision from DEA should be coming any day now, and the company should be able to market its drug with its partner, Eisai. Arena Pharmaceuticals, Inc. (NASDAQ:ARNA)’s stock has also lingered around $8 since the approval of the drug, and analysts have been reducing their price targets.
Downtrend Movement Permanent? Arena Pharmaceuticals Inc. (NASDAQ:ARNA), Silver Wheaton Corp. (USA)(NYSE:SLW), Rio Tinto plc (ADR) (NYSE:RIO) (NISMagazine)
Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) fell 1.71% at $8.06 after trading 2.67 million shares. Arena is a biopharmaceutical company focused on discovering, developing and commercializing novel drugs that target G protein-coupled receptors, or GPCRs, to address unmet medical needs. BELVIQ® (lorcaserin HCl), Arena’s internally discovered drug, was approved by the US Food and Drug Administration in June 2012 and is under review for regulatory approval in additional territories. Arena announced early this month that Eisai Laboratorios S. de R.L. de C.V., a subsidiary of Eisai Inc., had submitted a marketing authorization application (MAA) for BELVIQ (lorcaserin HCl) in Mexico with the Federal Commission for the Protection Against Sanitary Risk (COFEPRIS). The company also announced earlier this month that it had initiated dosing in a Phase 1 clinical trial of APD334, a novel oral drug candidate that targets the sphingosine 1-phosphate subtype 1 (S1P1) receptor for the potential treatment of autoimmune diseases.
Wall Street to open up after flood of earnings, claims data (Reuters)
U.S. stocks were poised for a higher open on Thursday, as investors dealt with a raft of earnings, including those of 3M Co (NYSE:MMM) and ExxonMobil, with added support from a drop in initial jobless claims. ExxonMobil Corp dipped 0.5 percent to $89 in premarket trading. The largest U.S. company by market capitalization said its quarterly profit edged up, helped by higher earnings in its chemicals business but oil and gas production fell.
3M cuts 2013 outlook on slipping demand, forex (Reuters)
Diversified U.S. manufacturer 3M Co (NYSE:MMM) slashed its 2013 profit forecast on Thursday, saying weakening demand and foreign currency fluctuations hurt results more than expected. The lowered outlook came after first-quarter profit and revenue both missed Wall Street expectations. 3M, which makes a range of products from Post-It notes to films used in television screens, blamed “softer demand in some end markets” and it was unclear which areas were the weakest. Analysts said 3M’s 2012 purchase of ceramics maker Ceradyne likely weighed on margins. The unit makes parts for the semiconductor market, which has been weak in recent quarters, and bulletproof vests for the U.S. military, which is winding down overseas operations.
3M posts flat earnings, lowers full year forecast (StarTribune)
3M Co (NYSE:MMM) reported nearly flat earnings growth for the first quarter and cut its 2013 guidance in the wake of slowing demand, officials said Thursday. The Maplewood-based conglomerate reported a 2 percent rise in sales to $7.6 billion for the quarter and earnings of $1.147 billion, up barely from $1.141 billion for the same period one year ago. 3M’s health care and consumer goods posted the largest gains for the quarter, rising at 4 percent and 3.7 percent, respectively. CEO Inge Thulin said “We achieved record first quarter sales and solid operating margins in the face of a low growth economic environment and the strong U.S. dollar. At the same time, we further strengthened the company through investments in innovation, commercialization and manufacturing.”
Akamai results beat on increased online traffic (BaltimoreSun)
Internet content delivery company Akamai Technologies, Inc. (NASDAQ:AKAM) posted stronger-than-expected first-quarter results due to increased traffic by its media clients. Akamai shares, which have fallen about 12 percent in the last three months, were up 11 percent in extended trading. “Traffic levels in our media division were higher than expected towards the end of the quarter, primarily in large social media accounts and electronic gaming and software download accounts,” Chief Executive Tom Leighton told Reuters. Akamai’s 132,442 servers across the world carry content for clients ranging from Facebook Inc (NASDAQ:FB) to Netflix, Inc. (NASDAQ:NFLX).
Akamai Technologies Stock Rating Upgraded by JPMorgan Chase (AKAM) (Zolmax)
Akamai Technologies, Inc. (NASDAQ:AKAM) was upgraded by investment analysts at JPMorgan Chase & Co. (NYSE:JPM) from a “neutral” rating to an “overweight” rating in a note issued to investors on Thursday, StocKRatingsNetwork.com reports. Akamai Technologies, Inc. (NASDAQ:AKAM) opened at 36.091 on Thursday. Akamai Technologies has a 52-week low of $25.90 and a 52-week high of $42.53. The stock’s 50-day moving average is currently $35.08. The company has a market cap of $6.420 billion and a price-to-earnings ratio of 32.22.
U.S. HOT STOCK FUTURES: HOT STOCKS TO WATCH (Nasdaq)
Among the companies with shares expected to actively trade in Thursday’s session are 3M Co (NYSE:MMM). Akamai Technologies, Inc. (NASDAQ:AKAM) and Zynga Inc (NASDAQ:ZNGA). 3M Co (NYSE:MMM) posted a notable miss in first-quarter profit and revenue and cut its profit outlook for the year. Chief Executive Inge Thulin cited the stronger U.S. dollar and “softer demand in some end markets” for the outlook cut. Shares fell 3.6% to $104.40, a decline that if persists would knick about 30 points of the Dow Jones Industrial Average. Akamai Technologies, Inc. (NASDAQ:AKAM) first-quarter earnings rose 65% as the company logged a strong performance in its media delivery service business. The Internet technology company also offered a bright outlook for the current quarter. Shares jumped 19% to $42.81 premarket.
Qualcomm Revenue Rises 24% (WSJ)
Chip maker QUALCOMM, Inc. (NASDAQ:QCOM) -4.62% continued to benefit from strong demand for mobile devices in its latest quarter, though profit fell 16% due to a large one-time gain in the year-earlier period. The San Diego-based company said revenue jumped 24%, and projected a range for revenue growth in the current quarter with a midpoint of nearly 31%. Qualcomm’s results for its fiscal second quarter, which ended March 31, are the latest evidence of the health of the markets for smartphones and tablets compared with personal computers. Intel Corporation (NASDAQ:INTC) +0.21% the leader in PC chips, last week said revenue slid 2.5% as consumers shifted dollars from laptop computers to newer mobile devices.
Qualcomm raises revenue forecast, EPS outlook falls short (ET)
Leading cellphonechipmaker QUALCOMM, Inc. (NASDAQ:QCOM) raised its full-year revenue forecast as demand for smartphones continues to grow, but its estimate for full-year earnings was shy of expectations and its shares fell sharply. San Diego-based Qualcomm is benefiting from strong demand for smartphones and a shift by network operators worldwide to a high-speed wireless technology known as long-term evolution (LTE), where the chipmaker is ahead of rivals. Qualcomm said it expects full-year revenue of $24.0 billion to $25 billion, up from its prior forecast of between $23.4 billion and $24.4 billion.
A Boost for Cornell’s Tech Campus on Roosevelt Island (WSJ)
Two Cornell University alumni—QUALCOMM, Inc. (NASDAQ:QCOM) -4.68% co-founder Irwin Jacobs and his wife, Joan—have provided a critical boost to the upstate school’s fledgling technology campus on Roosevelt Island with a $133 million donation. The gift allows the school to move forward with a new interdisciplinary center, which will offer dual degrees from Cornell and Technion-Israel Institute of Technology in the sciences with exposure to New York’s major industries: media, urban planning and health. City and school officials announced the creation of the Joan and Irwin Jacobs Technion-Cornell Innovation Institute at a news conference Monday. The institute will offer its first classes beginning in fall 2014.
