Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Ticker Shock: Abercrombie, Intel Get Pumped


Tuesday's top stories and stocks with potential to move.


As we all know, the House of Representatives rejected the bailout plan yesterday afternoon. Both Republicans and Democrats voted against the bill. Perhaps not surprisingly, many oberservers around the world didn't look upon this too favorably. The Nikkei is off, and the Russians took a beating.

The good news, however, is that Europe is a mixed bag, and Minyanville's Why Wall Street Will Never Be the Samehere in the States it appears that our elected officials will eventually get off their collective hindquarters, do their jobs, and get something inked before we are all end up sitting on the edge of a smoldering financial crater. The Dow futures are actually up triple digits prior to the open.

Abercrombie & Fitch (ANF)
Prior to the open, a Friedman, Billings, Ramsey analyst upped her rating on the well-known retailer from "Market Perform" to "Outperform."

I think this is a bold move: Abercrombie isn't exactly known for being affordable, and consumers are still reluctant to part with their hard-earned money. Plus, the stock continues to languish.

I do wonder whether she isn't catching that old falling knife here. Earnings estimates for the October quarter have declined from $1.18 to $1.14 over the last 30 days, and the average estimate for the year has gone from $4.99 to $4.93 a share during that time.

In other words, I like this idea of bargain-hunting, but I'm not sure this is the right time to stick one's neck out on Abercrombie.

What are the pro traders saying about your stocks?
Minyanville's Buzz & Banter- 14 day FREE Trial

Intel (INTC)
The 800-pound gorilla of chip-making received a much-needed upgrade this morning from Piper Jaffray. The analyst upped his rating from "Neutral" to "Buy." The analyst called it a "sound investment in an uncertain world."

My take: I can understand wanting to dip into Intel at these levels. After all, it has terrific products and a great market position. But the shares are right near their 52-week low, and quite susceptible to tax-loss selling.

< Previous
No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.

Featured Videos