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Thursday, November 06, 2008
Market Winners & Losers: D.R. Horton, XL Capital
David O'Brien
FOXBusiness
Today things went from bad to worse; we had bad retail numbers to be followed up by worse employment figures. Here are a few of the stocks that managed to hang on and a sample of those that felt the tightening grip of this bearish market.
Winners
Hercules Inc. (HPC)
The proposed buyout from Ashland Inc. (ASH) drove the stock up nearly 10%, to $18.92 a share, on a day when there weren’t too many stocks in the green. The proposed deal is reportedly worth more than $2.3 billion.
D.R. Horton Inc. (DHI)
With a tax refund of more than $600 million awaiting the company, the stock rose 7.5% to $7.32. This deal is worth more than two times the original estimate, and eliminates any worries that investors had about the company being able to pay debts over the next few years.
General Growth Properties Inc. (GGP)
Things are taking a turn for the better for the nation’s second-largest mall developer. The company, which at one point was selling for more than $51 a share, continues to hover just above its 52-week low. It closed up 4.9% at $2.36.
King Pharmaceuticals Inc. (KG)
The company just beat earnings estimate and saw third-quarter profits of $85 million, which drove the stock up 4.2% to $9.44. The quarterly gain was largely due to cuts in operating costs.
Compuware Corp. (CPWR) $6.03 $0.12 2.03%
The computer product and service provider had recently announced that is was cutting 300 jobs, with hopes that it would slow the decline in the stock price. This temporary fix saw the stock end up just over 2% at $6.03.
Losers
Big Lots Inc. (BIG)
The discount retailer saw its stock plunge more than 25% to $17.31 after reporting weak sales during the third quarter. The stock is getting good ratings for the long term, but tough times lay ahead as the holiday shopping season continues.
XL Capital Ltd (XL)
The insurance provider saw a loss of $1.65 billion during the last quarter, largely due to investment losses. While the company had projected this downturn, the stock still dropped more than 21% to close the day at $7.95.
Hartford Financial Services Group Inc. (HIG) $13.58 $-3.5 20.82%
Days after posting a third-quarter loss, the company continues its decline, falling 21% to $13.58 after finishing in the green yesterday. It may be some time before the insurance provider climbs back to its near $99 52-week high.
Consol Energy Inc. (CNX)
As oil prices continue to fall more than 50% above their mid-July highs, the coal-centric energy company saw its stock fall more than 20% to $25.12.
Developers Diversified Realty Corp. (DDR)
Even after unloading $65 million of assets Thursday, the company continued to post sharp losses. The stock has fallen over $5 since the start of the month and ended the session down 19% at $9.23.
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