Financial News USA (press release)
Shares of Dana dropped a penny to $6.87 in after-hours trading. They rose 14 cents, or 2.1 percent, to close at $6.88 during the regular session. ...
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Sequenom Inc. (NASDAQ: SQNM) is surging higher again today. At 10:35 AM EST we have not seen an exponential volume alert as the volume is now just over 7 million shares versus 9.4 million on average. But the stock is up another 9.8% at $3.67. This one has risen since meeting with the SEC and other regulatory and enforcement agencies. Traders keep touting that there may be no intentional wrongdoing from management and the top brass that was recently canned, although it seems a bit premature to make any definite assumptions along that line. Trust is just hard enough to come by, let alone in companies which have had issues such as this. This is still very much an at-risk company, although making any predictions at this point would be based entirely upon incomplete data that still has many unknowns. Stay tuned.  -JON OGG
AVANIR Pharmaceuticals, Inc. (NASDAQ: AVNR) is surging on strong volume this morning. The company announced additional detailed results from the confirmatory double-blind Phase III STAR trial evaluating two doses of the investigational drug Zenvia⢠in the treatment of pseudobulbar affect among patients with underlying multiple sclerosis (MS) or amyotrophic lateral sclerosis (ALS). Zenvia met the primary efficacy endpoint by reducing PBA episode rates by an incremental 11.9% beyond placebo. The lower dose Zenvia group did not achieve a statistically significant reduction in PBA episode rates compared to placebo. Where this ultimately trades is still up in the air, but shares at 8:43 AM EST have seen 385,000 shares trade and the last trade was up 13% at $2.60. The average volume is 1.95 million shares and the 52-week trading range is $0.23 to $4.09. -JON OGG
eBay Inc. (EBAY) shares have hit 52-week highs today as a lawsuit against Skype is dropped and shares were upgraded at Kaufman to a Buy. Shares are trading 15X forward earnings, and estimates seem too low for a company still seeing growth in core assets like Skype and PayPal, with the ability to spin off these assets as well. Earnings are set for October 21st and November call action is exploding, as 17,677 November 426 calls and 25,087 November $27 calls trade against low open interest with shares at $25. A massive block of over 1.3 million shares traded around the same time so a large covered call position is responsible for much of the volume. The 200 week EMA at $27.50 is the next resistance area that coincides with the 38.2% Fib level. Implied volatility is relatively cheap at 43% considering the 15% move after last quarter’s results.
-Joe Kunkle, OptionsHawk.com
Plug Power Inc. (NASDAQ: PLUG) has just seen a major volume spike with a move to the upside on a news headline. A press release was issue that 3M (NYSE: 3M) and Plug Power entered into an exclusive commercial supply agreement for 3M membrane electrode assemblies to be used as a critical component in Plug Power’s GenSys proprietary proton exchange membrane reformate stacks. The continuous run GenSys(R) prime power fuel cell systems are being deployed into rural India and will replace diesel generators at remote telecommunication sites.
PLUG shares are now up 20% at $1.10 on over 2 million shares as of 10:17 AM EST. The headline hit at 10:14 AM EST so this is a sudden burst move as the average daily volume here is only about 600,000 shares. The 52-week trading range is $0.64 to $1.55 and the market cap is a mere $145 million.
JON C. OGG
DryShips, Inc. (NASDAQ: DRYS) is seeing a surge in pre-market trading, although it may seem muted in comparison to the good old days when this would open up or down by more than 10% on what felt as though was almost every day. This higher yesterday at $6.73 on the Baltic Dry index but then Alcoa is helping. If metals fabrication is up, then hopefully mining is and therefore hopefully shipping is not very far behind. At 8:49 AM EST we are seeing a 4.5% gain to $7.03 on over 500,000 shares. DRYS trades 23 million shares a day and this oen is still way down from those old $100+ highs.  This appears to be the highest trading level since September 24 when it hit an intraday high of $7.08 and had seen highs of $7.30 and $7.28 in the two days before that. -JON C. OGG
Alcoa Inc. (NYSE: AA) has just posted a surprise profit after it was expected to lose money in the quarter. Here are the full details, but we took a 4:20 PM EST snapshot and many metals companies are running up that are not just in the aluminum space:
Century Aluminum Company (NASDAQ: CENX) $9.65 close; $10.41 A-H; +7.88% on 139,411 shares
Steel Dynamics, Inc. (NASDAQ: STLD) $15.23 close; $15.45 A-H; +1.44% on 22,381 shares
Titanium Metals Corporation (NYSE: TIE)Â Â Â $9.80 close; $10.10 A-H; +3.06% on 8,333 shares
AK Steel Holding Corporation (NYSE: AKS)Â $18.88 close, $19.35 A-H, +2.49% on 42,645 shares
United States Steel Corporation (NYSE: X) $42.59 close; $43.60 A-H; +2.37% on 52,037 shares
Cliffs Natural Resources Inc. (NYSE: CLF) $33.21 Close; $33.99 A-H; +2.35% on 14,691 shares
ArcelorMittal (NYSE: MT) $36.37 close; $37.09 A-H; +1.98% on 4,390 shares
JON C. OGG
OCTOBER 7, 2009
Sirius XM Radio Inc. (NASDAQ: SIRI) is seeing some elevated trading and it looks like the average daily volume may be hit before the noon hour today. As of 9:49 AM EST we have seen some 37 million shares trade hands and the drop is by 7% at $0.535. Average volume is about 50 million shares and the recent highs were $0.78. The WSJ called the stock ‘Not yet a Buy’ this morning. And then there is word of all the insider selling taking place soon. JON OGG
Repros Therapeutics Inc. (NASDAQ: RPRX) has more than doubled this morning on the heels of yesterday;s report that Androxal® restores normal sperm counts while increasing testosterone levels in hypogonadal men. In short, this is being treated by traders as a potential fertilization clinic killer when it comes to the issue being on the men. At 8:52 AM EST we have seen some 2.2 millioin shares trade hands with the stock up over 150%. The shares are around $2.40 and the close yesterday was $0.89. Average volume is only 1.4 million shares and the 52-week range is $0.65 to $13.94. JON OGG
Alcoa, Inc. (NYSE: AA) is trading up 4% at $13.97 today ahead of tomorrow’s earnings. At 3:20 PM EST we have seen some 34 million shares trade hands, which is only an average day’s trading volume. But we are seeing elevated call option trading ahead of tomorrow’s earnings report. Here is the volume and open interest data for the selected OCT-2009 CALL and PUT strike prices:
CALLS   Volume   OpInt.
$14.00Â Â Â 28,328Â Â Â 56,582
15.00Â Â Â 10,049Â Â Â 55,084
16.00Â Â Â 12,852Â Â Â 6,745
PUT$   Volume   OpInt.
$12.50Â Â Â 12,469Â Â Â 25,712
$14.00Â Â Â 6,782Â Â Â 18,141
It is assumed that the bets are that the company is finally on the path to resuming earnings, and the notion that gold is soaring has put a bid in under the rest of the major metals companies.
JON C. OGG