Spotlight Stocks: AIG, Costco, Genentech, Toyota
Thursday's top stories and stocks with potential to move.
Stocks to watch for Thursday, August 7, 2008:
- American International Group (AIG) posted a 2Q loss of $5.36 billion, or $$2.06 per share, down from earnings of $4.28 billion, or $1.64 a share a year ago. Over the past three quarters, AIG has lost more than $25 billion, pretax, to credit default swaps, and more than $15 billion, pretax, in other investments. The company's general insurance unit saw operating income decline 54.3% to $1.39 billion. Its life insurance segment lost 10% to $2.61 billion.
- Costco (COST) reported same store sales were up 10% in July, beating analyst estimates of 7.8%. International sales also were up 11%. Costco said total sales in the four weeks ended August 3 percent rose 14 percent to $5.70 billion. Reuters reports the company plans to open six new warehouses by the end of its fiscal 2008 on August 31.
- Genentech's (DNA) cancer drug Avastin, which is sells along with Swiss company Roche, may work against an expanding list of tumors, according to tests. Roche has recently offered Genentech $89 a share for the 44% stake it currently does not own. The Avastin news may cause this price to rise significantly. If tests are successful, the drug's $3.4 billion in annual sales will grow by $2.2 billion should doctors begin using the treatment before colon tumors spread to other organs, said one analyst.
- Toyota (TM) reported fiscal 1Q profits of 353.66 billion yen ($3.23 billion), down 28% from 492 billion yen a year ago. Sales for the quarter fell 4.7% to 6.215 trillion yen ($56.8 billion). The company cited a strong yen and rising costs of materials for the decline. Toyota sold 2.19 million vehicles worldwide, as it saw sales drop in North America and Europe.
- Asian trading closed with the Hang Seng +0.70%, Nikkei -0.98%, Sensex +0.29%, Taiwan -0.02% and Shanghai +0.30%.
- A quick check across the pond finds the CAC +1.08%, DAX +0.30%, FTSE +0.47%, ATX +1.50%, Swiss Market +0.19% and Stockholm +0.60%.
- Commodities are in the green as crude oil trades higher +1.41 to 120.00 and gold is moving up +6.6 to 882.2 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