Spotlight Stocks: Citigroup, Home Depot, Microsoft, Staples
Tuesday's top stories and stocks with potential to move.
Stocks to watch for Tuesday, May 20, 2008:
- Citigroup's (C) Falcon Strategies hedge fund is causing serious pain for three large US banks who hoped they'd see nice returns on a controversial type of employee life insurance, reported The Wall Street Journal. While Citi has already agreed to give back some money to individual investors, it may now be pressured into giving some back to the banks which put more than $1.6 billion into the fund. Fifth Third Bancorp (FITB) has filed a suit against Citi while Wachovia (WB) was the most heavily exposed of the banks.
- Home Depot (HD) reported 1Q earnings of $356 million, or 21 cents a share, down sharply from $1.05 billion, or 48 cents a share a year ago. The company cited the slowdown in the US housing market and also charges related to store closures and a new store pullback for the decline. Total sales fell 3.4 percent to $17.9 billion.
- Microsoft (MSFT) has made a new proposal to Yahoo (YHOO), offering to buy its search business and take a minority stake in the company, reported Reuters citing a person familiar with discussions. As part of the deal Yahoo would put its Asian assets, including significant minority stakes in Yahoo Japan and China's Alibaba Group, up for sale, while Microsoft would buy a chunk of what remains of the company, the source said.
- Staples (SPLS) made a hostile offer of 1.5 billion euros ($2.34 billion) for Corporate Express N.V. (CXP) which was unwilling to negotiate terms of a deal it rejected last week. Staples has received a credit line of $3 billion for the deal.
- Asian trading closed with the Hang Seng -2.23%, Nikkei -0.77%, Sensex -1.17%, Taiwan -2.43% and Shanghai -4.48%.
- Over in Europe we find the CAC -1.11%, DAX -0.94%, FTSE -1.36%, ATX -1.71%, Swiss Mkt. -1.29% and Stockholm -1.18%,
- Commodities are edging higher as crude oil trades +0.08 to 127.13 and gold +1.3 to 907.2 this morning.
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.
Daily Recap Newsletter