Wall Street Journal
The stock declined 2.9% to $53 in after-hours trading. Advance Auto Parts Inc.'s (AAP) fiscal third-quarter earnings rose 10% as the company recorded strong ...
and more »
Welcome to my new trading blog based of after hours stocks. Please subscribe for updates.
JDS Uniphase Corp. (NASDAQ: JDSU) is riding the 3Com coattails this morning. We already noted this week from OptionsHawk.com how JDSU was being tossed around as a potential buyout candidate in the options trading. There might be many hurdles in that, but shares at 8:51 AM EST have seen 132,000 shares trade hands and the last trade was up 6.6% at $7.68. This was under $6.00 just on NOV 4 and this takes it back to the levels not seen since late-September.
JON OGG
Brocade Communications Systems, Inc. (NASDAQ: BRCD) is getting its feelings hurt in after-hours trading after H-P (NYSE: HPQ) decided to spend $2.7 billion to buy 3Com (NASDAQ: COMS). Many have been under the assumption that Brocade Communications would be bought by H-P. The good news is that someone else may now need to look at Brocade. But the bad news is that Brocade is being slapped around. The stock is down 7% at $8.60 in after-hours trading. As of 5:02 BRCD has also traded 2.8 million shares in the after-hours session alone.
JON OGG
Who said home builders won’t do well as an investment? Toll Brothers Inc. (NYSE: TOL) is soaring on exponential trading volume today. We have seen almost 5X volume in the stock as at 2:10 PM EST there have been 17.2 million shares versus less than 4 million on average. The gain is to $21.10 and teh 52-week range is $13.55 to $24.30. But here is the call options and put options trading for the NOV-2009 expiration:
CALL$   Volume   OpInt
$18.00Â Â Â 1,421Â Â Â 6,094
$19.00Â Â Â 2,849Â Â Â 7,896
$20.00Â Â Â 1,387Â Â Â 10,712
$21.00Â Â Â 3,210Â Â Â 12,640
$22.00Â Â Â 2,541Â Â Â 1,127
PUT$   Volume   OpInt
$20.00Â Â Â 3,781Â Â Â 5,840
$21.00Â Â Â 1,329Â Â Â 397
This is on heels of a Wells Fargo upgrade AND on its guidance that new contracts are up 42% and fourth quarter revenue will beat analyst estimates at $486.6 million. To put this in perspective from a 2008, this is way above the $386+ million estimate from Thomson Reuters. But it is also far south of a year ago’s $691 million in revenues for the same quarter.
JON OGG
MetroPCS (NYSE: PCS) traders continue to gamble on the potential of a takeover as implied volatility sits at 77%. Today, 15,000 November $7.50 puts were closed and rolled into a bullish position with shares at $5.90. The trader sold 15,000 February $5 puts and bought 15,000 February $7.50 calls for a 5 cent debit.
-Joe Kunkle, OptionsHawk.com
A123 Systems, Inc. (NASDAQ: AONE) is trading down after it managed to beat revenue expectations last night at $23.6 million vs. $19.2 million estimates. The recent electric car battery IPO has really cpome off of highs since the IPO hype was there. The company tried to ease concerns about its relationship with Chrysler a week after the carmaker said it would dismantle its team working on electric vehicles and basically send those plans into Fiat. It also said it was in talks with 7 different auto makers. Shares closed at $17.98 yesterday and are down over 3% at $17.36 on about 20,000 shares at 8:56 AM EST.
Terra Industries Inc. (NYSE: TRA) is seeing a lot of options action today with 17,164 calls trading as of 2:00 PM EST, and 45% offer side buying with shares at $35.65. Interestingly enough, a trader bought 5,000 November $40 calls at 35 cents on a 25-40 spread, a bullish bias. Another large buyer of December $39 calls came in around 1:20pm for 5,000 calls at the offer. Implied volatility is gaining 7% today to 60% as holders are urged to reject CF Industries’ (NYSE: CF) latest takeover offer. The current offer would give a value around $40 for Terra shares. This is occurring as CF is busy rejecting Agrium’s (NYSE: AGU) raised takeover offer. It appears the with this trading today we may get some clarity soon on the M&A saga, a possibly a bid Terra can not resist.
-Joe Kunkle, OptionsHawk.com
Entertainment Properties Trust (NYSE: EPR) is getting hit after the company announced last night that plans to file a supplement to its shelf registration statement with the SEC for a public offering of 4,500,000 of common stock. J.P. Morgan and RBC Capital Markets Corporation are the joint book running managers, with Citigroup, Barclays, KeyBanc Capital Markets, and FBR Capital Markets as co-managers. We have not yet seen a pricing but this is supposed to be priced this morning and we have seen only 30,000 shares trade this morning but at a drop of 5.4% at $31.83. The 52-week range is $11.88 to $36.10.
JON OGG
JA Solar Holdings Co. Ltd. (NASDAQ: JASO) managed to turn a profit as earnings were $17.3 million, or $0.10 EPS, compared to a loss a year ago of some $18 million or -$0.36 EPS. Revenue was $193.3 million, but Thomson Reuters estimates were $0.03 EPS on $136.23 million in revenues. This quarter was also JA Solar’s highest ever quarterly shipments. Shares in JA Solar rose nearly 7 percent in pre-market trade to $4.40 per share. Shares are up 7.5% at $4.43 on over 800,000 shares at 8:54 AM EST. Average volume is 5.6 million shares and the 52-week trading range is $1.55 to $6.29.
JON OGG